Regarding your point about bitcoin’s diminishing block reward, this is one of the reasons why I think that dogecoin is underrated. Dogecoin’s fixed block reward creates stable miner revenue within the protocol, which enhances its security. Many say that bitcoin has a long history, but early bitcoin had large block rewards relative to fees, so dogecoin is perpetually like early bitcoin. Late-stage bitcoin is another experimental crypto that relies on transaction fees to fund miners in an era when energy prices are likely to rise. What I think will most likely happen is that more and more banks and institutions will hold bitcoin and transactions will occur on the banking layer. Over time, institutions will hold most bitcoin and will be able to enforce censorship, sanctions, OFAC-like controls etc. People can still take their bitcoin off ETFs or banks and self-custody and transact, but institutions can launch coordinated spam attacks to discourage this and make it very expensive.
Regarding your point about bitcoin’s diminishing block reward, this is one of the reasons why I think that dogecoin is underrated. Dogecoin’s fixed block reward creates stable miner revenue within the protocol, which enhances its security. Many say that bitcoin has a long history, but early bitcoin had large block rewards relative to fees, so dogecoin is perpetually like early bitcoin. Late-stage bitcoin is another experimental crypto that relies on transaction fees to fund miners in an era when energy prices are likely to rise. What I think will most likely happen is that more and more banks and institutions will hold bitcoin and transactions will occur on the banking layer. Over time, institutions will hold most bitcoin and will be able to enforce censorship, sanctions, OFAC-like controls etc. People can still take their bitcoin off ETFs or banks and self-custody and transact, but institutions can launch coordinated spam attacks to discourage this and make it very expensive.