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RE: The Game Theory Behind Speculator Fees

in #hive3 years ago

After thinking about this more I don't see a reason to come off of 13 weeks for the power down. Instead leave it at 13 weeks and introduce the early extraction fee to instantly get payout now of 10%.

Is part of the issue however that HIVE simply has too many APRs and is printing out too much HIVE that we never see an increase in price really? There's plenty of increase in tokens but there's really no decrease in tokens being that there's no fees etc on the chain. Perhaps that should be another topic of discussion which would be how to we incorporate sinks to keep the supply in check. Having a APR on Hive and now HBD simply just pumps out that many more tokens. A APR on staked hive makes sense such as a PoS system. But you now have...
Hive APR
HBD APR
Curation rewards
Author rewards
Maybe I'm missing something else? All pumping out hive. Is there a set rate to this each day? I don't know the inner workings well enough to know.

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Since the extra rewards come from speculators who exit instantly, there is no inflation. What this does is raises the APR on your hive power holdings without diluting the supply. So there would be no more sell pressure as there are not more coins being printed besides the inflation we already have. That's why I'm a fan of this method, raise rewards for HP holders without raising inflation.