/biz/ - Business & Finance

if ETH becomes deflationary according to the plan, then doesn't that make it less useful as a currency (by that I mean, you won't want to trade with it if you know there's going to be less of it in the future)? does that not mean the transaction speed going up is a little pointless, as there will be less transactions with it anyway?

genuine question, not trying to start anything-I'm new and trying to learn

>>50768523
Eth is going to unironically be $30,000 some day so I don't feel too down about it

>>50768523
cool

>>50768561
economist always say that the currency should be a bit inflationary because this incentivizes spending it, but this is doesn't make the currency more or less useful, they want spending to boost the economy. technically a currency is most useful if it achieves perfect price stability.

>>50768561
Don't take this personally, anon, for I'm saying it with all the compassion I can muster, but you're unironically too stupid to think. Either fucking ape in with everything you have and more right now or midwit your way out of making it.
>>50768568
As long as you have 32 ETH, you'll be future aristocracy. Your grandchildren will be running the very same validator. That's your legacy.

>>50768596
Well I mean, >>50768590 this guy was a bit more helpful, but I'm not taking it personally-everyone's stupid when they don't know what it is they're doing, and I'm fine with looking dumb to get more information before going all in on something.

how does the whole deflationary asset thing work anyway? What happens when all the eth that isn't already owned by someone else gets burned through, does it just stabilise?

gas fees will be even higher post merge.
chainlink has nothing to do with eth block building. chainlink is not a fucking lego set you dumb nerds

>>50768590
Fiat currencies need to be inflationary so the government can devalue debt kek

>>50768637
Being humble is a step in the right direction, you have my respect for that, anon. You're, however, wrong about that anon being more helpful. His answer was simplistic at best.

Look, this is a purely logical problem so I doubt any explanation would be helpful. Either you can work out the logic or you won't get it.
I'll just say this:
a) ETH is not a currency in the traditional sense, it's more akin to, say, oil, except instead of combustion engines, it's powering the finance
b) you've been lied to about currency needing to have inflation built in
>does it just stabilise?
ETH will be deflationary until it reaches equilibrium, at which point it will be neither inflationary nor deflationary. Market will decide where the equilibrium lies and it will be a moving goalpost.

>>50768637
part of the transaction fee is being burned, so when you move your eth or execute a smart contract, then the overall eth supply decreases slightly. this is already implemented btw, it just doesn't fully compensate for the block reward that is currently still given to miners, so overall the supply still remains inflationary on most days. but after the switch to PoS the block reward will be greatly reduced such that the supply will most likely start to shrink consistently.

>>50768682
I think that note about ETH does help to visualise it better actually, thank you! that also makes the recent senate bill trying to define ETH as a digital commodity make more sense too. >>50768684 there are a lot of helpful people in this thread, thanks guys. is there any recommended reading around this sort of thing?

>>50768523
>ETH at $800 was the last guaranteed 20x you'll ever see in your lifetime.
Wrong.

>>50768523
>filename chad
what an insecure pedophile

Cringe how you act like the merge already happened with success. You don't even comprehend how bad it can crash and burn.

I have this eerie feeling the merge is going to wreck biz. Too many people going all in on eth and the flippening. Something seems off.

>>50768523
I did 5x in the past 6 months by shorting 3 times and buying twice.

20x? Sorry, I don’t need idiotic worship if I can do 5x in 6 months with 100k initially, I already pulled out my initial investment and now just continue with what I made.

>>50769327
this. eth bozos truly about to be wrecked

>>50768523
you are so retarded. even if you bough after a 1 or 2x, in your scenario you'd still have another 18x.
you are so fucking retarded trying to get others to fomo. buying the bottom literally doesn't matter you homo mcdonalds wagie.

>>50768523
ctrl+f
>L2
>layer
>rollup
>Zero results
Everyone in this thread, especially OP, is retarded