SwiftNodes vs. SmartNodes - Block Rewards

in #smartcashlast year (edited)

One way of knowing how much a system is designed to make early adopters whales is to look at how fast block rewards are set to fall. Every system is going to be more benefitial to those who adopt it earlier rather than later. But I would argue from my experience that too big of a steep curve is a red flag and can be a pump and dump scheme unless the founders and early adopters plan to somehow keep holding massive amounts of coins in order to artificially cause the price to keep going higher.

In this post I want to compare the block rewards allocated to smartnodes in the next 12 years as opposed to block rewards allocated to swiftnodes in the new chain and then make some comparisons with bitcoin block rewards and explain my reasons why I think swiftcash will have a much better inflation compared to both smartcash and bitcoin.


SwiftNode rewards(per block) in the next 12 years.



SmartNode rewards(per block) in the next 12 years.

As you can see above, the curve for SwiftNodes is much better for future adopters. If you join 4 years from now, SwiftNodes will be getting 100 SWIFTs per block whereas with SmartCash, if you join 4 years from now, SmartNodes will be getting about 30 coins per block. Keep in mind that smartcash accumulates this amount and pays 10 nodes every other block. That means right now SmartNodes are getting about 20 coins every other block and in 4 years, they will be getting about 6 coins every other block. That is 50% decline in 4 years with SwiftNodes vs. 70% decline with SmartNodes. On the other hand, SmartCash block rewards started with 5000 and are now about 1000. That is 80% decline in almost 15 months! So if we compare the launch of smartcash with the launch of swiftcash, things will look even worse!

Bitcoin took 4 years to halve while smartcash halved in less than a year! SwiftCash like Bitcoin will also halve in 4 years from its launch but instead of halving at once, it will halve eventually. Bitcoin halved again 8 years after launch but SwiftCash will halve again 12 years after launch. Bitcoin will halve again 12 years after launch while the third halving with SwiftCash will happen 28 years after launch! This type of inflation will make the distribution of block rewards much better and fairer for future adopters.

The reason I think halving eventually is better than halving suddenly is because sudden halving sets up the stage for whale trading and pump and dumps. While halving eventually will be good for stablizing the price. Another great thing thought of in order to stablize the price of SwiftCash in the long run is airdrop propoals based on price actions. Plan is to airdrop holders in bear markets instead of every month which is what smartcash does with smartrewards. 10% of block rewards are allocated for this type of airdrops and maybe hopefully we can later build this into the blockchain and it won't have to be manual and/or through proposals.

I personally believe that price stability is very important, and it is what is really lacking in most cryptocurrencies if not all of them due to the greed of the founders. We still haven't finalized the inflation curve and are open to ideas and suggestions. If you have any and would like to chip in, do join us on Discord! We would love to hear your thoughts and consider them before launching swiftcash and there will always be a way to change things through community proposals after launch but some changes are better done from the beginning!

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Sounds like you guys are putting lots of thought into this. Good stuff.

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