You are viewing a single comment's thread from:
RE: Upcoming changes to MinnowBooster - 🔥 BURN PROMOTION SERVICE! 🔥
It's basic economics that printing money via inflation devalues a currency. Steem has an 8.6% annual inflation which reduces by 0.5% per annum, the burning helps alleviate the oversupply. I would agree with you if Steem was a static supply token, however it is not, more gets printed all the time that can be dumped on exchanges to lower the price, bruning helps reduce the selling pressure.
If the steem user-base/economy grows at 8.6% annually, then the -inflation- is essentially 0%.
Yes correct, 8.6% is not a big ask in terms of growth, however it has been rather dwindling of late.