I don't understand how Xaurums' inflation can be profitable.
As I understand it most of the new coins goes to an organization which sells the coins to buy more gold. So as long as the coins are being traded above gold price the additional gold will be split among all holders.
So if 1 XAU is worth 1g of gold and they sell it for 1.1g of gold then the remaining 0.1g of gold will be added to the gold store. Now every coin would be worth 1.00000001g of gold instead of 1g.
This is ofcourse only an example.
Very interesting concept. So, if the Xaurum gets pumped into bubble, this mean that devs will buy much more physical gold and than the new price floor will be set?