Post
Topic
Board Announcements (Altcoins)
Re: [ANN][FAIR] Faircoin Dev team launch Faircoin 2.0 White paper. PoC
by
drakandar
on 12/06/2015, 07:30:18 UTC

I don't believe that PoS will work on a long term basis for any coin, at least not in its current form. People are like "hey, let's buy in large now and when the value goes 'to the moon', I can just sit on my butt and get money for free'. That doesn't work in the real world, why would it work with digital coins? Why would the coin 'go to the moon' if no one puts effort in it? It doesn't work for MintCoin, ZeitCoin and even not that well for BlackCoin. Yes, PeerCoin is somewhat holding up, but that coin is relatively old already and mostly in the hands of a few holders (https://bitinfocharts.com/top-100-richest-ppcoin-addresses.html).

I believe that every coin generated has to be counterbalanced at some point. PoS is counterbalanced by the large pile of coins you have which will just get larger. It's like everyone has tomato plants, which generate tomato plants while nobody wants tomato's. Normally interest (which you can best compare PoS with) is counterbalanced by loans and long term inflation to nullify the effect of those loans. These are all principles that have proven not to be in the best interest of the common people.

When I first heard of Proof of Cooperation, I was a bit surprised how it would replace Proof of Stake. But when I thought it through, it was the only logical option we could take to differentiate us from the rest of the Crypto world. With Proof of Cooperation we have a valid counterbalance, namely the human consensus and effort that was put to into cooperation. Coins gets meaning and a history because you'll have to work for them to get them. Proof of Cooperation will give you something to talk/blog about, something to be proud of and to show off with. It allows you to explore and start up new initiatives. And if those initiatives are great, you can request funding from the FairCoop. So basically it allows anyone to become an entrepreneur without having the risk of losing it all.

All this adds up to the awareness and value of FairCoin and the FairCoop Smiley


With all this said, it also makes sense that we have to counterbalance those 50 million FairCoin that have been generated in the first place. A lot of it already has been counterbalanced by the FairCoop and the FairCoin holders who bought in for long time investment, but there's still some FairCoin roaming about that has been collected for free (by simply clicking a button on a web page). Making that balance will stabilise the coins value.