Bitcoin is deflationary and ethereum is inflationary

Bitcoin Is Deflationary And Ethereum Is Inflationary. There are only 21 million BTC that can ever be mined and with the scheduled reduction in Ethereums supply the demand for Ether may go up. With this change ETH would end up being sometimes inflationary and sometimes deflationary. 18032021 Ethereums monetary policy will actually change in Eth2 so that it actually wont just be just be less inflationary than Bitcoin it would actually be deflationary. Bitcoin is deflationary like Gold or any other natural resources.

Especially because the rest of the world practices inflation. 3092019 This is the common argument against bitcoin being a viable currency. Money supply and economic activity. It is just slightly less deflationary than bitcoin. 19072018 Because Bitcoin is a deflationary currency you should expect it to only increase in value. It is instead programmed to be disinflationary culminating in a constant monetary base without changes to the supply.

It has no counter-party risk there is consensus risk but fiat has it as well and it solves the double-spend problem.

So then every year there is actually less and less Ether in existence because its being burnt. 18032021 Ethereums monetary policy will actually change in Eth2 so that it actually wont just be just be less inflationary than Bitcoin it would actually be deflationary. So then every year there is actually less and less Ether in existence because its being burnt. It is just slightly less deflationary than bitcoin. To explain it we have to look at two things. Looks one Results to turns out out that a pretty significant Part the Users quite happy with it seems to be. One potential drawback when it comes to burning the base fee is the fact of losing control over the long term monetary policy of ETH. Reduced supply and scarcity are characteristics that Bitcoin has wielded to present itself attractive to investors over the years. Especially because the rest of the world practices inflation. This limited supply of bitcoin will make sure that it will become rarer and precious with time. Bitcoin is deflationary like Gold or any other natural resources.