Yeah you get everything right. This system to function is very costy - 50XBY is a really high fee for transfer funds. If it won't be below 1XBY this coin will never got a massive popularity.
A month or 2 ago when valuation was 20M USD transfer cost 3USD - and it was a joke. It was more expesive than LTC and almost like BTC, but network isn't in any usage at all.