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That was the very first thing I said; the production rate is ramping down exponentially.

I agree that if you're a consumer, Moore's law has less to do with BitCoin, but the whole point of the comment was stop looking from a consumer's perspective. From the point of view of a miner -- i.e. of the computational clusters which compete to make the ledger work -- Moore's law has plenty to do with BitCoin. The fact that the production rate is constant means that there's essentially a fixed-size "pie" in any given time-frame. The fact that electronics are becoming cheaper and better means that your investment of $X today can be matched by an investment of k $X tomorrow for some k < 1. The person who does that will eat up part of the pie, leaving less for you.

And why should you look at it from the point of view of the miners? Because the economic pressures on the miners determine whether the system eventually stabilizes into an oligopoly. If it does, then it can degenerate into a central-authority currency.



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