JKC - yes, 21 Million is the limit that is often quoted as the max. number of Bitcoins that will ever exist, based on the exponential hockey stick of effort needed to create that last incremental Bitcoin. Anyway… we already have money in place that acts very similar to Bitcoin and that is of course Gold. The richness of ore grades are decreasing, and the cost of energy to get each incremental ounce out of the ground and refined is increasing… so we have a nature enforced limit to growth of the system. Gold is wonderful because it is almost infinitely divisible- every 197 grams contains 6.02 x 10EE23 atoms that are each a unit of Gold… WOW… lots of divisibility! 23 orders of magnitude right there!Never let anyone tell you there is not enough Gold around to become a reserve currency… it's just a question of allowing the value of each Nanogram (billionth of a gram) to grow to meet needs of the economy. As I have said in the Bitcoin thread… we have all been programmed to believe that is somehow not possible… but that is a lie.
My point is that between Gold, and Silver, and Bitcoin, we really don't have to invent anything else… we just have to take what we have and break away from the reins of control and propaganda enforced today by the bankers and TPTB.
Mark_BC said,
I envision more of a system like they have in India where people use gold and silver as the vehicle of savings and the currency as simply a vehicle fro transactions. This is why the bankers hate India... It's really hard to extract wealth from a populace that simply doesn't place its wealth in the central currency and that currency is continually inflating as a result.So true! I just don't know that I consider inflation as an effective limiting mechanism.. because in extreme cases it becomes hyperinflation, which is so destabilizing historically. Where is the point of loss of confidence? How often will the Gov't money need to reset? I think you see the problems in something like a "Greenback" that is simply a Gov't printed money with nothing backing it... there are certainly no easy answers. We are in a very unique period of time where the current debt-based fiat paradigm continues to be buoyed along by shear inertia.. all of the abused fiat currencies referencing against each other in a context of mutual assured destruction.. and with Gold being suppressed, no external reference available. I am convinced that this will be looked back upon as abject insanity. I am also convinced that China's insatiable appetite for physical Gold is their effort to opt out of the (mutually assured) destruction to come.