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A comment on Bitcoin exchange rate reached $100 USD per BTC. Parent comment

Re:Bitcoin exchange rate reached $100 USD per BTC by miles on Monday April 01, 2013 @02:27PM (#5474923)
A currency can't make value out of nothing for long.

Why, my dear fellow, that is exactly how every government-backed currency works today!

And, thanks to its inflationary nature, it becomes virtually worthless over time:

Although inflation has remained low in recent years, it ravages the value of paper money over time. A dollar in 1900 is only worth about $0.04 in today's currency.

Quoted from: http://finance.yahoo.com/blogs/daily-ticker/bitcoin-prices-b...

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Re:Bitcoin exchange rate reached $100 USD per BTC by calinet6 on Monday April 01, 2013 @02:56PM (#5475108)
Ah yes, of course, but that currency is undergoing inflation. Bitcoin is rapidly deflating. Huge difference.
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Re:Bitcoin exchange rate reached $100 USD per BTC by miles on Monday April 01, 2013 @05:28PM (#5476035)
My point was simply that no currency is backed by "stuff" any more. I was responding to your criticism of Bitcoin ("A currency can't make value out of nothing for long").

Of course Bitcoin is deflating - it was designed that way. And of course fiat currencies are inflating - there is no limit to how much can be printed except reason, which is apparently in short supply.

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