This can make the 'rate of deflation' that occurs worse:
* https://en.bitcoin.it/wiki/Deflationary_spiral
* https://isps.yale.edu/news/blog/2014/06/the-perils-of-bitcoi...
* https://crypto.bi/deflationary/
† I am aware of satoshis.
The only "problem" Bitcoin poses for economies is for governments to fine-tune their local economies via currency production and related controls. In that sense, we should watch how events unfold in Turkey.
* among major "regular" economies, Turkey has the highest % of people holding crypto (≈20%). Second only to special zones UAE and Singapore (31%, 24%).
* Turkish lira is steadily inflated over the last 30-40 years, well over 10% and recently over 50%.
* Turkey does not have mandate for pricing goods in local currency: you can pay in dollars or euros, along the local lira.
* When you enter Istanbul airport, Every. Single. Gate. is marked with BTCTurk ad, inside and outside - the major crypto exchange in the country.
* Istanbul city market is full of traders who use USDT on Tron.
The experiment of social game "Bitcoin" boils down to this: will the people self-organize the functioning economy with monetary freedom, while the gov loses its grip on it; or will the economy collapse without government's regulation and protective management?
Because the authoritarian government took over the previously independent central bank and lowered interest rates. Higher inflation was predicted by mainstream economists, and they were right.
* https://www.aljazeera.com/news/2021/3/20/turkeys-erdogan-sac...
* https://en.wikipedia.org/wiki/Currency_interventions_under_E...