After all BTC is mined, circulating supply will slowly decrease due to loss. Will that ever be a problem?

It doesn’t seem like an issue in the near future, because the purchasing power of 1 BTC will just slowly increase as the circulating supply drops.

Could it ever be a problem in the very distant future?

Maybe adding smaller subdivisions in a higher layer is the way to deal with that.

Or maybe that would be so far in the future that we will either all be dead, or all be part of the AI hive mind, and money won’t even be a thing anymore.