Jump to content

Recommended Posts

  • 3 weeks later...

I was thinking of a dynamic calculation of the demurrage fee. Right now it is 5%. And this could be also the End Goal if Freicoin is established in the Crypto Economy, but right now it is hurting more the development of the coin. 

Keeping Freicoin is punished, but there is no way to spend any coin or lend it to someone,

So it would better to have a demurrage fee based on current hash rate / cost and total transactions. The demurrage Fee should pay out the miners and give them an incentive of 10% percent higher than real invested cost into mining. Additional the increase of transactions would be an indicator of real use and could be also used as a factor to set up market realistic Fee.

Example: Very rough one!

30.000.000 MIL Freicoins are circulating = 1.500.000 is the current Demurrage = round about 15.000 Dollar

So if the total mining cost is only, let say 5.000 Dollar, then the incentive for mining would be 300%. Additionally, there must be a way to limit the hashrate reaching BTC-Wasting-Energy rates. ( i assume here that all demurrage fee goes to miner, I am not sure if this fact)

Maybe this is something that could be solved in sort of Chain-Governance, (what is Difficult, because manipulation could take please)

Freicoin itself, should not become an "Energy-Wasting" Monster. 

An example is also Freicoin Exchange itself (without criticizing it!) Withdrawal fee is 2% in order to keep the demurrage outflows balanced. But I doubt somebody will accept the loss of 2% coins, if the price reaches a level, that would be really hard to accept.

For me, Demurrage Fee should pay miners to keep the chain going. But it should be not a punishment, as, in a world of alternatives, every rational human being would avoid keeping Freicoin and seeking for alternatives (>1000 exists). In a monetary system only with Freicoin as a single currency,  people would seek to invest the coins, as that is the main logic of the theory.


I have created a freicoin discord (unofficial one). It is pretty silent, but I would be glad if we got you also in.



Link to post
Share on other sites

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now
  • Create New...