> money supply isn't large enough, so Bitcoin, like gold, becomes a store of value and is useless as a currency.
This isn't true though, the supply of the money has no relation to whether or not something becomes a store of value. The key attribute is that it's finite (deflationary).
However, I need to say that a finite currency isn't deflationary forever, it can only be deflationary until there is no more demand for the currency, which has to happen at some point, then the currency becomes stable and mature.
The money supply is important as well, bitcoin is infinitely divisible (easy network upgrades possibly required) so for all practical reasons money supply (liquidity) will never be a problem for bitcoin, but it has been a problem for every single currency which came before. Gold especially because it's expensive to deal with changing and re-issuing the money supply each time you want to add liquidity.
Today, it's much easier with digital banking but liquidity is still not 100% all the time so when liquidity needs to be added or removed, it's done in unnatural ways, which leads to instability in markets.
This isn't true though, the supply of the money has no relation to whether or not something becomes a store of value. The key attribute is that it's finite (deflationary).
However, I need to say that a finite currency isn't deflationary forever, it can only be deflationary until there is no more demand for the currency, which has to happen at some point, then the currency becomes stable and mature.
The money supply is important as well, bitcoin is infinitely divisible (easy network upgrades possibly required) so for all practical reasons money supply (liquidity) will never be a problem for bitcoin, but it has been a problem for every single currency which came before. Gold especially because it's expensive to deal with changing and re-issuing the money supply each time you want to add liquidity.
Today, it's much easier with digital banking but liquidity is still not 100% all the time so when liquidity needs to be added or removed, it's done in unnatural ways, which leads to instability in markets.