1) From your link "Today the Bitcoin network is restricted to a sustained rate of 7 tps by some artificial limits. These were put in place to stop people from ballooning the size of the block chain before the network and community was ready for it. Once those limits are lifted, the maximum transaction rate will go up significantly."
2) Bitcoin money supply is currently INFLATING at fast clip of over 10%/year. Refer to nobel economist Milton Friedman and others to read about a constant-supply currency.[1]
The volatility is because the sum(bids+asks) on the exchanges is small relative to speculator's pockets. This is getting better with time.
2) Bitcoin money supply is currently INFLATING at fast clip of over 10%/year. Refer to nobel economist Milton Friedman and others to read about a constant-supply currency.[1]
The volatility is because the sum(bids+asks) on the exchanges is small relative to speculator's pockets. This is getting better with time.
[1]http://www.econlib.org/library/Columns/y2006/Friedmantranscr...