/biz/ - Business & Finance

>>12332052
WE ARE IN UNCHARTED WATERS MARINE

>Satoshi explained:

You could say coins are issued by the majority. They are issued in a limited, predetermined amount. […]

[I]ndeed there is nobody to act as central bank or federal reserve to adjust the money supply as the population of users grows. That would have required a trusted party to determine the value, because I don’t know a way for software to know the real world value of things. If there was some clever way, or if we wanted to trust someone to actively manage the money supply to peg it to something, the rules could have been programmed for that.

In this sense, it’s more typical of a precious metal. Instead of the supply changing to keep the value the same, the supply is predetermined and the value changes. As the number of users grows, the value per coin increases. It has the potential for a positive feedback loop; as users increase, the value goes up, which could attract more users to take advantage of the increasing value.

-2008

>What is the take away here ?

That would have required a trusted party to determine the value, because I don’t know a way for software to know the real world value of things. If there was some clever way, or if we wanted to trust someone to actively manage the money supply to peg it to something, the rules could have been programmed for that.

> trusted party
> determine the value
> real world value of things
> peg it to something
> could have been programmed for that.

Honestly, Why is it that the one token whos name shall not be said related perfectly, perfectly to what bitcoins idea was... with one minor detail being the fact that the trusted 3rd part and real world data issue is solved.

2019.
Current year.
Not owning said coin.

>>12199398
https://www.youtube.com/watch?time_continue=8&v=-qfB8clUIaY

>>11563140
Seek Delphi