Have we passed a centralization tipping point?

[fluxer555]

Once, the developers work for the blockchain and get payed by "capital infusion" there will be no more I3 .. and all funds that are owned by I3 will be gone

Firstly, inflation is not "capital infusion". It's a redistribution of wealth. No new money is entering the system, and the market cap does not increase as a result.

Secondly, when I say 'I3', I'm not talking about the company. I'm talking about the stake that make up I3, because this is what matters for voting. If I3 is made up of developers, and the AGS fund is used to pay those developers, then that does not help diversify the voting power.

I just want to be clear that I have no doubt that the dev team are doing an amazing job, and it is in my opinion that they have good intentions. But this isn't about opinion, this is about centralization and game theory.

[xeroc]

I3 also has the expenses in terms of paying developers ... toast, nathan, vikram, Stan, and some others on the team .. such that the funds of I3 are spread among the people that are working (hard) for the BitShares ecosystem..

Also, I3 will be dismantled as soon as the funds from AGS and others are depleted (read: "spread/pay towards the developers")
Once, the developers work for the blockchain and get payed by "capital infusion" there will be no more I3 .. and all funds that are owned by I3 will be gone

the only thing left will be the individual funds that developers hold in there private pocket .. and to be honest .. they deserve any penny/larimer ..

However, for transparency Stan should consider upgrading the google docs to reflect all AGS funds:
https://docs.google.com/spreadsheet/ccc?key=0AqTwk-e7yzJydDFnQmlkTVlkbWpubnJBbzR2UG5ucnc&usp=sharing#gid=0
https://docs.google.com/spreadsheet/ccc?key=0AqTwk-e7yzJydFZ3bVVWT0o1OUwzXzdESHFBY0FkUWc&usp=sharing#gid=0

[fluxer555]

For transparency reasons, I think this is important for shareholders to know how much BTS I3 will own after November 5th. It is possible that we may have passed a tipping point of shareholder centralization.

Consider this:

- I3 were some of the first to mine PTS, and also did not dump despite massive gains.
- I3 gained massive PTS during the AngelShares donation period
- Members of I3 undoubtedly donated their own "personal" funds (aka mined + purchased PTS) to the AngelShares address
- There is no distinction between 'I3 funds' and 'personal funds of I3 members' as far as voting is concerned.

In other words, every PTS that I3 donated to the AngelShares address gave them extra voting power, at absolutely no cost.

On top of all this, I3 has been purchasing BTSX with AGS BTC, giving them even more voting power.

If the direction of the BTS SuperDac is to be determined by vote, then we may as well all sit back, grab some popcorn, and let I3 run the show. (Many of you want this, maybe?)

To seal the deal, decisions for wealth redistribution (aka inflation via delegates) are determined by vote, and now all of I3 want to be hired as inflationary delegates. Can you see where this is going?

I propose that I3 should not be able to vote with BTS derived from AGS and PTS donated to the Angel address, and BTSX/BTS purchased from AGS BTC. While I'm still not sure if this saves us from passing a centralization tipping point, this at least makes the situation far more reasonable.

I also propose that we don't hire I3 immediately and redistribute wealth to them. In fact, the vesting plan they have set out is effectively going to act as a paced redistribution toward I3, as they have the most BTS to be released over the next two years. After the snapshot, we will be able to determine the effective inflation rate that I3 will have without even being hired.

I3, what percentage of BTS will you have control over after Nov 5th?