The inflation is just leaking out of the pipe, and it's a huge waste of purchasing power.
Hard fork 16 dramatically reduced the inflation. The inflation is what actually pays the rewards/interest on the platform. If inflation is zero, then rewards/interest is zero.
I have changed my mind on SBD now, and I think SBD can be the magnet that will pull value into the system. How? By adding utility to it, and creating a P2P economy built on top of SBD.
I'm glad you finally came around. This was the whole point of SBD in the first place. We just don't have the P2P economy based on STEEM/SBD yet. That'll take time to build. But yes - SBDs are far more likely to be used as a currency than STEEM. I believe that was the purpose of having the peg.
Yes, and I think it will be further reduced in the next one after POW will be eliminated. I am fine with the inflation as it is now, I would not touch it further. The supply side is already stable.
Now we need to work on the demand side,as I described in the article.
Of course, I am a huge fan of P2P decentralized economics. I think it will be the next big niche for all online entrepreneurs.
I am still skeptical about SBD's peg system though, however I think if the demand will start to come, then I don't think it will be an issue. We will see how it will work out.
can you elaborate proof of work , what will it do
POW is the mining system. But since Steem is largely whale based, then it makes more sense to make it POS.
POS is very advantageous when you have trusted whales holding the network, who have also a large stake in it, and since they also hold the risks, they can be more trustworthy.