whitepaper on inflation "Steem .. WILL achieve an instantaneous annual rate of approximately 12% after just 1 year"
@steem @dan
Why doesn't the whitepaper explain how reward and inflation may - or may not - change over time?
( - and earlier in the Whitepaper just along with mentioning those static/current numbers)
While the Whitepaper mentions self-regulating/dynamic interest rates,
the minting of new Tokens is presented through static numbers,
with no indication of change over time! (I'm refering to the 100% additional Tokens/year - 90% for vesting Steem Power and 10% for authors, voter, miners, liquidity) - also called "100% APR long term inflation rate" and the 10:1 split every 3 years)
The only clue about possible change over time is given through:
"According to the tool for estimating future inflation included with the Steem source code,
Steem by contrast will achieve an instantaneous annual rate of approximately 12% after just 1
year (not including the effects of SMD operations)."
Yet this remains vague (How to find/use that tool? https://github.com/steemit/steem/search?utf8=%E2%9C%93&q=inflation ?)
https://steemit.com/steem/@dan/draft-steem-constitution "4.0 Capped Inflation Rate" suggests voting to change rewards and inflation later. Is such voting implemented? Then how can the "tool for estimating future inflation" predict that?
Thanks
The current high price of STEEM is actually hindering the platform right now I think - strange as that may sound, because the higher the price of STEEM the more it costs in STEEM Dollars to produce STEEM Power. Having a high rate of inflation in this case should at least be some kind of a break on the price rising too fast. Ideally the price should always be low enough to incentivise new people to start using the platform.
that is only if you think people are psychologically affraid when the price is high in USD. Else your thought could be answered by the fact that newbies get their free dollars to start and people may decide to invest by marketcap or marketcap devided by active-users, rather than price per coin?
(My post above is not opinion about inflation but quesiton about the whitepaper)
Why did you source a search for all the code with the string of "inflation"? Is that suppose to tell us something? And the currency will constant devalue itself due to inflation according to what I understand. But the way to protect yourself from this is to invest in steem power so that you can get that 90% inflation back into your investment. Hope you learn something new and stick with the community, perhaps your perception might change? Cheers!
Hi:) Thanks. Yes, I read and understood the whitepaper. I actually raised specific question and suggestion about it but no opinion, so no idea how you want me to learn and change my perception. The first/main tag was meant to be "Whitepaper", but that is not editable seemingly. Check my other post asking about editing & blockchain https://steemit.com/whitepaper/@rosetower/steem-blochain-bloat-edit-history-historical-correctness-vs-right-to-be-forgeotten-nothing-in-the-whitepaper
Congratulations @rosetower! You have received a personal award!
Click on the badge to view your own Board of Honor on SteemitBoard.
For more information about this award, click here
Congratulations @rosetower! You have received a personal award!
Click on the badge to view your Board of Honor.
Do not miss the last post from @steemitboard:
SteemitBoard World Cup Contest - Home stretch to the finals. Do not miss them!
Participate in the SteemitBoard World Cup Contest!
Collect World Cup badges and win free SBD
Support the Gold Sponsors of the contest: @good-karma and @lukestokes
Congratulations @rosetower! You received a personal award!
You can view your badges on your Steem Board and compare to others on the Steem Ranking
Vote for @Steemitboard as a witness to get one more award and increased upvotes!