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Woofun AI reports that Starknet co-founder Eli Ben-Sasson has ignited a debate within the cryptocurrency community by challenging the sustainability of Bitcoin’s fixed supply model. The controversy centers on Ben-Sasson’s assertion that the rigid 21 million coin limit fails to account for inevitable asset loss, prompting calls for a structural adjustment to Bitcoin’s monetary policy.
In a recent post on X, Ben-Sasson proposed replacing the hard cap with a maximum annual inflation rate of 4%. This adjustment aims to offset the reduction in effective circulating supply caused by misplaced private keys. The proposal directly confronts the traditional view that the 21 million limit is an immutable feature rather than a flexible parameter.
The deeper driver is the economic risk posed by an infinite timeline where forgotten wallets and inaccessible coins accumulate. Ben-Sasson argues that this gradual disappearance of assets could trigger a deflationary spiral or a severe liquidity crisis. A capped issuance rate, rather than a total supply cap, would theoretically maintain sufficient liquidity to support a growing global population and economy.
Structurally, Bitcoin’s current mechanics are designed to halve the block reward approximately every four years, with the final coin expected to be mined around 2140. This deflationary schedule underpins the "digital gold" narrative, positioning Bitcoin as a hedge against inflationary debasement by central banks.
However, critics argue this model ignores the compounding impact of lost coins over centuries.
Per Woofun AI, the implementation of such a change would require a contentious hard fork and widespread consensus among miners, developers, and users. Bitcoin maximalists contend that the fixed supply is a feature, not a bug, as lost coins effectively increase the value of remaining holdings. They view any deviation as a threat to the trustless nature of the network, contrasting it with fiat currencies.
While immediate adoption is unlikely, the proposal forces stakeholders to reconsider monetary policy evolution over centuries, not just years. This marks a significant philosophical divergence in the cryptocurrency ecosystem regarding the long-term viability of fixed-supply digital assets.