Bitcoin only partially fixes this.
And I see two problems that get often dismissed.
Bitcoin is a hedge against inflation only if it's completely or mostly out of the hands of custodians (which already is not the case). As custodians (government licensed companies) can increase supply through fractional reserving the underlying asset. This comes in many different flavours and it's already a thing.
The other thing is that KYC in combination with Bitcoin transparency is a perfect tool to increase tax coercion. So we will see likely less effects through inflation tax, but more taxation through direct taxation including potential wealth tax/unrealised capital gains.
Monero is much more powerful when it comes to direct taxation. Bitcoiners who think Bitcoin alone will fix most of our problems are ignoring the details and often outright dismiss the adversarial environment all of this takes place.
Bitcoin is a great store of value if no KYC.
Monero could arguably have less effective inflation than BTC because it's not listed at custodians. And supply stays < BTC until 2040 anyways.
Which leaves Monero with a small risk of an undetected inflation bug that everybody should hedge with a Bitcoin position.
#Monero #Bitcoin
npub1ah3…l76e
2024-06-30 12:57:23
in reply to nevent1q…rp6g
Author Public Key
npub1ah3aj4mhfew4c7txfdd4paf3wr5syntkeyxenl9fxf9rejte2wpqwcl76ePublished at
2024-06-30 12:57:23Event JSON
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"content": "Bitcoin only partially fixes this.\n\nAnd I see two problems that get often dismissed.\n\nBitcoin is a hedge against inflation only if it's completely or mostly out of the hands of custodians (which already is not the case). As custodians (government licensed companies) can increase supply through fractional reserving the underlying asset. This comes in many different flavours and it's already a thing.\n\nThe other thing is that KYC in combination with Bitcoin transparency is a perfect tool to increase tax coercion. So we will see likely less effects through inflation tax, but more taxation through direct taxation including potential wealth tax/unrealised capital gains.\n\nMonero is much more powerful when it comes to direct taxation. Bitcoiners who think Bitcoin alone will fix most of our problems are ignoring the details and often outright dismiss the adversarial environment all of this takes place.\n\nBitcoin is a great store of value if no KYC.\n\nMonero could arguably have less effective inflation than BTC because it's not listed at custodians. And supply stays \u003c BTC until 2040 anyways.\n\nWhich leaves Monero with a small risk of an undetected inflation bug that everybody should hedge with a Bitcoin position.\n\n#Monero #Bitcoin ",
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