JPMorgan says that Bitcoin’s fixed production schedule would be harmful during “liquidity crisis.” Following a major economic shock, central banks tend to inject more money in order to soften the blow. However, what JPMorgan sees as a weakness, Bitcoin investors see as a strength, because no central authority can inflate away the value of Bitcoin. When new money is injected into an economy, the resultant inflation serves as a sort of hidden tax on everybody.
WSJ: Blockchain Could Reshape Wall Street’s Machinery
