19 Oct '12, 10am

Schneier on Security: Analysis of How Bitcoin Is Actually Used: submitted by rakista [link…

Supposedly somebody somewhere can magic up more bitcoins by moving around the decimal point or changing the base currency to fractions of a bitcoin or something like that. Each bitcoin is divisible by 8 decimal places. Just do something like that then get everybody to accept this change and presto more bitcoins. Or more fractions of bitcoins. Cash does not have a finite amount that can ever be made. There are two tricks that are used to increase the money supply: fractional reserve banking and the government issuing more.

Full article: http://www.reddit.com/r/technology/comments/11qnfq/schnei...

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