[ExI] [mta] Re: "Crypto Coin Law" vs "Law of the Crypto Coin"?

[Mirco Romanato]

Il 17/08/2013 03:03, Alan Grimes ha scritto:
> Mirco Romanato wrote:
>> The current internal inflation of Bitcoin is around par with the US$
>> (because for various reasons the network is finding new blocks faster
>> than designed, for now).
> 
> I don't understand. I thought there was an algorithm in place that would
> simply increase the difficulty of the next block until the rate came
> back into balance?

There is, but the algorithm readjust the difficulty every N blocks, and
N is large.
As the hashing rate of the network increase because of technological
improvements, the difficulty readjust with a notable lag.

http://bitcoin.sipa.be/

IIRC, every readjustment should happen every two weeks and currently
happen every eleven days. Faster blocks are discovered faster the
readjustement happen.

Mirco