Comment Re:Vive le Galt! (Score 1) 695
> I'm waiting for someone to tell me why US Dollars are such a wonderful idea.
Because it is a stable currency, actively managed to maintain a fairly constant value. If a business needs 2000# of steel to build a car, they build a car and get paid in a currency that gives them the required profit, but if when they go buy the materials for the next car, they can only afford to buy a 1000# of steel, then they are out of business solely because of the currency they choose to use. Everyone using bitcoin currently is more or less used for fun money, if lost they can all feed their family still. Bitcoin is not the money I get paid for working for a week, then use it to feed my family the next.
The other reason you have to have the ability to loan money to have a growing economy. Loaning money creates the need for money growth, and regulation that is enforced. In a economy where 10,000 bitcoin exist and 100 people loan their 100 bitcoin out for 5% return in a year. They have doubled the amount of bitcoin in existence temporary (bank counts that loan as a asset, that loans is spent to buy something, and that person counts it as a asset as well) Then when that bitcoin is paid back, they need to pay back 10500 bitcoin, more than exists. This is why the Fed prints money when banks stop loaning, because money disappeared. This is why the fed enforces reserve limits on anyone doing banking. This is why I can be confident I can retire someday with the money in my bank account... And I realize bitcoin allows for constant growth, but constant doesn't maintain a constant volume, as lending levels, etc change.