Quote from: wizzardTim on January 21, 2014, 01:58:31 PM

Quote from: FrictionlessCoin on January 21, 2014, 11:35:06 AM

Quote from: notsoshifty on January 21, 2014, 11:21:38 AM

Quote from: FrictionlessCoin on January 21, 2014, 10:12:32 AM

PROPOSAL:

Implementation of the following PROOF OF BURN: https://bitcointalk.org/index.php?topic=422309.0;topicseen FOR NEX

Quote from: Level Coin on January 19, 2014, 07:31:37 AM

Level 1 (LV1) coins are the name of the currency that will be distributed via the pre launch fundraiser. These are the coins that will be on exchanges and can be bought and sold. These coins will generate 1 additional LV1 coin per week for every 1,000 LV1 coins that you own (updates fractionally on the blockchain every 15 seconds and are rounded up to the nearest millionth). This means that in one year of holding 1,000 LV1 coins, you will receive roughly 50 LV1 coins, or 5% per annum. Doesn't seem like much? Keep reading.

Level 2 (LV2) coins can only be obtained by burning Level 1 coins. For every 1,000 LV1 coins that are burned you will receive one LV2 coin. These coins can not be exchanged, sold, or discarded by any means and will be attached to the wallet indefinitely. Each LV2 coin will generate five LV1 coins per week. In one year of holding one single LV2 coin, you will receive roughly 250 LV1 coins. This equates to an increase of 25% per annum. Much better isn't it?

In summary, this looks like an excellent idea. Pre-launch NEX coins will be LV1 coins and new coins will be LV2 coins.

This proof of burn functionality is superior to the 'forging' feature of Nxt.

The LV1 coins will be called "NEX Foundation Coins"

The LV2 coins will be called "NEX Proof of Stake Coins"

Note: Only NEX Foundation Coins are exchangeable as described by the proposal.

We will refine this over time.

Very interesting proposal. Do we get our bonus LV1 coins only when we're forging, or does the network give us them even when we're not forging? Or is there no forging going on at all?

The best way to think about this is to make the analogy between banks and enterprises.

Actually, I should rename the LV1 and LV2 coin, "NEX Bank Coin" and "NEX Enterprise Coin" .

With the NEX Bank Coin you get 5% interest. You never lose your principal.

With NEX Enterprise Coin you consume NEX Bank Coin but in the process you stand to gain 25% of what you gain.

It is actually a quite excellent and simple system.

Finally some innovation!! That's the spirit if we're gonna surpass NXT.

Yes, from Level Coin: https://bitcointalk.org/index.php?topic=422309.0