Author Topic: The need for change  (Read 7920 times)

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Offline santaclause102

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what do you mean by "work"?

Offline CLains

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If inflation for Delegates works anything like what I imagine the effect will not be as subtle as all that..

Offline santaclause102

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We should approach this experimentally.

BitShares X is trying the deflate-for-dividends model while BitShares DNS is trying the inflate-for-delegates model.

Both are likely better than burn-for-distribution/security model, but who knows?

The inflate-for-delegates is certainly the most interesting category, and if it works efficiently for the system, will be the most revolutionary.
ceteris paribus not fulfilled for your test ;)

Offline CLains

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We should approach this experimentally.

BitShares X is trying the deflate-for-dividends model while BitShares DNS is trying the inflate-for-delegates model. Both are likely better than burn-for-distribution/security model, but who knows?

The inflate-for-delegates is certainly the most interesting model right now, and if it works efficiently for the system, will be the most revolutionary.
« Last Edit: August 02, 2014, 03:31:45 pm by CLains »

Offline santaclause102

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No need to. Inflation can be used to pay for radical market expansion (marketing) and further development.
There was a good discussion here https://bitsharestalk.org/index.php?topic=4713.0;all

Offline Empirical1

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How have they abandoned it?

BitShares X has no inflation and has already burnt a few hundred thousand BTSX which acts as dividends for shareholders.

(Granted it's negligible, and personally I hope we'll get some quality re-investment options going via delegates vs. burning, but the business has just started.)

Offline tonyk

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The History of BitShares
Part Three


Bytemaster recognized that Bitcoin could be viewed as an unprofitable company and its coins as stock in that company.  Stock value was generally rising because demand for its services (efficient private money transmission) exceeded supply.   But, meanwhile it was bleeding red ink.  100% of its transaction fees were going to pay its employees (the miners).  But that still wasn’t enough.  It had to print more money (up to 12% annual inflation) also to pay its employees.  So Bitcoin is a company with annual losses near 12%.  (And the employees were only getting to keep a few percent of the money being wasted on them.)

He decided that eliminating those employees was a key objective that would inevitably lead to a whole new generation of profitable crypto-businesses.  Assets based on destructive mining would go the way of the dinosaur, unable to compete with profitable business models of second generation assets that could afford to pay dividends and interest to their holders.  It was just a matter of time.



What is the reason for abandoning this core, imo, idea?



Lack of arbitrage is the problem, isn't it. And this 'should' solves it.