reply on: The Paradox of Bitcoin Adoption \ stacker news ~bitcoin

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No. Bitcoin is volatile today, yet it has value. What I'm saying is that that condition will remain true, as it is now.

I dont understand. As it increases in value, I believe the volatility will decrease. As more people adopt it, it will only become stronger.

Remember that that assumption implies:

First, that the fiat monetary base will stop augmenting, in which case, fiat currency will stop devaluing and thus become as robust as bitcoin, hindering its adoption, so back again to the paradox.
Second, that bitcoin will gradually replace fiat for exchanges (otherwise, if liquidated en masse -possible because the fiat counterpart will still exist- can still suffer extreme volatility at any point regardless of value) so that fiat stops being a liquidable counterpart, a deprecation process that yet again implies extreme volatility, which while already damaging by itself, will add for sure the hands of the state to the matter.

First off, I dont know what dream world you want to live in, but fiat is going to exist forever.

Let's take that for granted. That makes matters worse, as I pointed out, and condemns bitcoin to strict marginal adoption (for the masses).