Hanshan on Nostr: We have transaction fees also? 🤨 There is a cost to block space. It's a necessary ...

We have transaction fees also? 🤨
There is a cost to block space. It's a necessary ingredient.

As long as there are people who want to *use it* there will be incentive to *mine it*.
That tail emission will have value (price) as long as there is demand for the network.

Tail emission is a fixed amount, 6 units per block.
so over time that becomes a smaller percentage of the total supply. The percent of inflation increase as time goes on approaches zero. Because the supply grows at 6 units every 2 minutes, but the amount of growth is always the same.

Gold has famously retained its purchasing power over millennia.
The rate of XMR increase is already LOWER than golds annual increase and as I just said, it only decreases from here.

If we look at the history of money, it is obviously *incorrect that a fixed supply is a prerequisite of good money.
In fact, no economist in history has ever suggested we should just cap the amount of monetary units. It is purely an invention of Bitcoin Maximalism, not good monetary policy.