Quote from: ssaCEO on March 26, 2014, 08:45:37 PM

Quote from: MuffinMaster on March 26, 2014, 08:32:19 PM

Fantastic post.

Thank you.

Quote from: MuffinMaster on March 26, 2014, 08:32:19 PM

I believe the splitting to 8 decimal places solves a lot of the non-zero sum game. Value can continue to increase per unit, so you use smaller and smaller units. Since you can split almost to infinity with computer values, its irrelevant and the value is still retained.

The thing is, that doesn't really solve the problem. It solves the problem of how to denominate it, but it doesn't solve the problem of hoarding. Because as long as you're reducing to smaller decimal places to buy a loaf of bread, for instance, the value of your Bitcoin is worth more and more loaves of bread. As long as value increases per unit of Bitcoin, you have deflation and no one will actually spend the currency. When no one spends it, the economy collapses because merchants like me can't stay in business.

As a little side note, I learned something really interesting about economics by opening the first Bitcoin casino... I learned that people gamble when the currency loses value (or in other words, inflates). It may seem obvious, but it wasn't obvious to me at the beginning. I used to be terrified that Bitcoin would go down because our holdings would lose value. But I realized pretty soon that that's exactly when people gamble their coins.

Quote from: MuffinMaster on March 26, 2014, 08:32:19 PM

There has never been a global currency that has 1% fixed inflation that cannot be messed with by any government. Bitcoin and Litecoin are good examples however their inflation is still massive, even compared to FIAT. Crypto's power lies in being free from any outside interference from government, why not make it free from inflation as well?

Black-coin is fairly distributed right now but it needs to be more so and more widely distributed. Its not an issue right now and wont be over the next few weeks but everyone should try and get their family an friends along for the ride. Get them started with a wallet with 10 BC to start or whatever amount.

Its time to take this to the next step...

I completely agree with this, and I think that's why BlackCoin is a solid bet to be a complementary store of value to BTC/LTC. I do wish that the interest rate could be tweaked, but to this point no one has set up a coin that tweaks interest rates based on market dynamics (although BC bonds could certainly be issued down the road that would fill that gap). So given where we are now, I think the distribution and the fixed interest rate are as close-to-right as you can ask for.

I don't think you should say '1% fixed inflation' though, because 'inflation' is a measure of the currency's loss in buying power not a measure of how much money supply there is alone. BTC will become deflationary long before it's done being mined... as it is right now, BC is deflationary because it's rising in value faster than it pays interest; therefore most people won't loan it or spend it.

The Loaf of bread thing, I agree with. Blackcoin cannot solve that problem however there are many difference kinds of currencies. You don't use gold to buy a loaf of bread (unless the economy is really fucked). DRK may be used to transmit funds, then stored long term in Blackcoin, then transferred to Bitcoin for ease of use to spend.

The same thing works today. Cash for transactions that are not traceable. Cash then used to buy gold for long term hedge against inflation, then sold when needed or converted to digital cash in a bank account for ease of use.

The biggest benefit of using crypto currencies is these were built by the people for the people. Not for control.