Ethereum new deflationary policy EIP1559

[dragononcrypto]

Many have argued that Ethereum was never meant to compete with Bitcoin, as the former is a blockchain platform designed and built for finance applications, the other is as a currency and stable store of value.

With Bitcoin's inflation as of last year reduced to +1.6% (-50% every four years), and now Ethereum proposing to become a deflationary asset with a -1% inflation rate per year, then it's now seems possible for Ether to compete with Bitcoin as no.1 cryptocurrency in my personal opinion.

If approved by the network, this could lead to being an even more interesting experiment than a fixed supply and fixed reducing inflation that Bitcoin created over a decade ago, as far as a I understand. This would make it the largest deflationary cryptocurrency asset in existence, given that despite Bitcoin's great economic policy of regulated inflation, it's still inflationary (until 2140 at least).

The idea that the more the network is used, the more it deflates, the less it is used, the more it can inflate - at least as far as I understand. The requirement of always having more gas produced/mined is a requirement for the platform to function (unlimited supply), but it doesn't mean that it can't be reducing in quantity over-time either, as long as more will always be produced. It's certainly given me a lot of food for thought.

Reference: https://www.coindesk.com/ethereum-improvement-proposal-1559-london-hard-fork