Comment by yyqux

I found this remarkably unconvincing: none of the arguments really seem to address the actual concerns with deflationary currencies, but seem to be directed at some (vaguely implied) strawman. I mean, why is the fact that there is a liquid market for bitcoins relevant at all? I don't think that has any bearing on whether a deflationary currency is bad or not. One failure mode for a currency is that it's completely illiquid, but that's not the most likely problem. E.g. there was always a liquid market for gold but it's probably the main example of a deflationary currency in practice.