Post
Topic
Board Altcoin Discussion
Topic OP
Do altcoin devs need to understand economics?
by
Bizmark13
on 07/02/2015, 02:01:27 UTC
While I am quite a fan of NXT overall, it's interesting to note that the founder of NXT admitted he had very little knowledge of economics:

Economics is not my area of expertise.  I can say nothing about the issue.

Which was posted in response to:

4]  Virtual goods store.  The goods will be provided by ordinary users (books, links, game codes, anything represented as plain text)

It's hard to sell goods for bitcoins due to ever-increasing price. Nxt will have even "worse" deflation, number of Bitcoins is increasing while number of Nxts is set in stone. The store will fail unless sellers adjust their prices each day.

NXT is somewhat unique in that its goal is to create an "ecosystem" rather than a simple coin. Hence you have things like an asset exchange, digital goods store, monetary system, etc. Because of this, you would think that an understanding of economic theory would be very important for a dev.

And yet despite the founder admitting he knows very little about economics, NXT has still maintained its position in the top 10 and new features continue to be rolled out successfully.

Where do you stand on this issue? How important do you think it is for a dev to understand the economics behind their creation?