~hyperlinks

no, it doesn't. _I will die on this hill_. 

https://stacker.news/items/738907

Good framing. Gresham's Law does apply here. Strategy spends the bad money and hoards the good, which is rational. The article's focus is on the other side of that trade: STRC holders gave up dollars that could buy bitcoin to receive payments in the currency being debased. From Strategy's side it's a speculative attack on fiat, but from the STRC holder's side it's the other side of that coin.

daniella

denlillaapan

Gresham's law is a monetary principle stating that "bad money drives out good". For example, if there are two coins in circulation containing metal of different value, which are accepted by law as having similar face value, the more valuable coin based on the inherent value of its component metals will gradually disappear from circulation.

I think it would reasonably be a ponzi-like scheme if dollars were actually scarce, and the two currencies were roughly equivalent in issuance.  But if you assume they actually keep producing dollars at a rate of 7%+ per year, then it just seems more like a speculative attack on the currency.

bitcoin

STRC reconstructs the Cantillon Effect on top of Bitcoin

This also sounds like Gresham's Law.

> Gresham's law is a monetary principle stating that "bad money drives out good". For example, if there are two coins in circulation containing metal of different value, which are accepted by law as having similar face value, the more valuable coin based on the inherent value of its component metals will gradually disappear from circulation.

I think it would reasonably be a ponzi-like scheme if dollars were actually scarce, and the two currencies were roughly equivalent in issuance.  But if you assume they actually keep producing dollars at a rate of 7%+ per year, then it just seems more like a speculative attack on the currency.