Looks like this coin is taking off. Can someone please explain what will happen when the mining drops to only 1 coin per block? I want to get into this coin but I am concerned about what will happen in 2.5 weeks. I know users can mint coins in their wallets at 20% annually but what will new people get?
new ppl get what they get, dust. Buy now!
But you need new people to drive the market. I don't quite understand. Will this become a hoarding thing? If so then no one will spend them and it is not a currency but something more like a collectable item. Just trying to understand. What will keep interest in the coin if you can't get it or spend it? Maybe I am missing something.
learn more about PoS and you will understand that the ammount of coins sitted in your wallet correespond to a mining % i dont know how much time here but you will receive coins actually not mining iin terms of hardware! just hold it in your wallet and receive coins for interest (mining,forging) like with NextCoin.
Thank you for the answer. I kind of understand that part already. Can anyone help with my other points? In particular what will keep interest in the coin if you can't get it or spend it? Maybe I am missing something.
people will be incentivized to spend the interest and not touch the principle, I don't think that is a problem.
Ok. Thanks. So they won't get interest on their interest, only on the original principle? Is that correct. And why would they be incentivized (sp?) to spend the interest? Also why even have the mining continue at 1 coin? Seems pointless when there are 100 billion floating around. Who would continue mining then?
No you get interest on whatever coin is being held in your wallet... so you could compound your interest over time.. or just sell of interest earned immediately..
Generally speaking with a PoS coin.. what will happen is that a majority of coins will end up going into wallet for Interest generation... as you wont need to mine and spend anymore power on getting the coin...
After we get down to 1 block rewards... the attraction will be for investors... in that they can still buy from the market to build up their stack of Mint and generate interest from that.... this system potentially reduces the amount of coins in the market.. as every potential investor is a potential saver...
we will of course see some trading with pump/dumps etc... refer to HBN if you want a clue to what a general PoS coin does in the market.the difference here is that mint becomes an almost pure PoS coin in another few days. so it will be interesting to watch how the market adjusts itself to that particular paradigm..
Be careful. What you are describing is a pyramid model. Is it the scarcity alone that will bring value?