Re:The Pirate Bay is now accepting Litecoin donations
by Aqueous on Saturday April 27, 2013 @10:26AM
(#5617834)
The fixed BitCoin limit means the rate of production of BitCoin is also fixed, or changes in a determined way. It can't be decreased or increased in response to changes in the rate of spending. I think a monetary policy algorithm might actually adjust the rate of production of the coin upwards to counteract deflation.
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Re:The Pirate Bay is now accepting Litecoin donations
by nwh on Saturday April 27, 2013 @10:30AM
(#5617849)
I imagine you'd struggle to do that reliably though. There's little indicators in the blockchain as to what an individual coin is worth, and relying on any external source for data would ruin the decentralised mantra that the currency is built upon.
Re:The Pirate Bay is now accepting Litecoin donations
by Aqueous on Saturday April 27, 2013 @10:43AM
(#5617886)
you mean the exchange rate? it wouldn't need to know the exchange rate, just what volume of bitcoin is changing hands at any given point in time which is part of the blockchain.
Re:The Pirate Bay is now accepting Litecoin donations
by comex on Saturday April 27, 2013 @10:52AM
(#5617926)
This could be fairly easily manipulated, though.
Re:The Pirate Bay is now accepting Litecoin donations
by nwh on Saturday April 27, 2013 @11:25AM
(#5618008)
I could make two node spam transactions between themselves to drive the rate up, or make non-relay nodes to poison the network and make it go down. There's no way of really knowing how many parties are using the blockchain.