How to reduce volatility is something that i have no idea. Probably more Economy knowledge is needed to come up with a solution.

Another very interesting analogy that I have been working from - thinking about it like this, an effort to lower SBD would be akin to an effort to lower GDP. It is self defeating at both the individual and aggregate level.

I am not really sure if the price of a currency is directly related to the GDP...

On the "real world" the increase of GDP is related to the increase of money being generated inside the economic system (production, exports, consumers)

The relation i see is that the inflation increase (in this case, SBD inflation), is that it stimulate people to use the SBD, and not to HODL. The problem here is the question of how is the value created (GDP increase) inside the ecosystem.

Atm, i only see a few things that create value (SBD being spent to generate more money):

• Trading SBD to STEEM, adding value to an account
• Bidbots, where people spend the SBD to "produce" more SBD, and the bot owner gets profits

The only way that i see to actually SBD gaining a true money value, and i consequence, increase Steemit GDP, is to push its use as a currency outside Steemit.

STEEM on the other hand is working fine, each of it corresponding to a "share" of the ecosystem, and working as an investment. I just don't have a final conclusion if it should also be created Indefinetly.

Another model would be at some point in the future (maybe when inflation rate reach the minimum established on the code), no more STEEM were created, only SBD. That way we would definetly have a economic model with an "investment" asset and a "cash" asset.

Damn... its so fun think about all the repercussions that cryptos and blockchains are creating at this moment...