A lot of people in the crypto/libertarian community like to talk shit about central banks and how we need to revert to some kind of gold standard. What's often not discussed are the finer details: For instance, the world's central banks have presided over the money supply through the most radical expansion of wealth, higher living standards, longer lifespans and the most radical decrease of infant mortality in human history, through the course of the 19th century. They've also presided over the largest and deadliest wars in human history (although not necessarily as bad as they could have been given the technology, and for all their brutality, not necessarily more brutal than wars that had gone before).
Correlation !=causation. Can you prove there is causation?
MintCoin's strategy for lowering stake by the year seems arbitrary and may become counterproductive at any point where the currency really begins to take off. It's an incentive to hoarding, at least for the first 5 years. And it's not an incentive to financing after that.
I also believe it is arbitrary. Inflation is my forte, anyway.
The only thing that could beat BlackCoin, imho, is a currency that paid interest based on volume transacted, using some algorithm to determine which transactions were truly long-running investments and rewarding those with a higher long-term interest rate (i.e., you start by earning A% per coin per 8 hours, but after a X amount of time determined by the liquidity of the market you top out at B%, some adjustable rate of interest based on an algorithm that determines how tight the money supply should be; holding coins longer than that, it starts to go back down). In the meantime, having a very low fixed rate of interest effectively allows BC to be a carry trade instrument for Mint and other high-yield coins, should prices stabilize after a couple of years. And whatever happens to the other coins, it can remain so.
Adjustable interest rate? Interesting. The strenght of the bitcoin protocol (I am talking about the protocol, not the currency) is that it alllows to know exactly how much money exist at a certain moment, be it in circulation or not. Surely we should take advantage of this - never before in history was this possible. Is there a potential for better equality, for reducing Gini index?. Watch
Richard Wilkinson:How economic inequality harms societies in TED. There could be a potential for another coin here, but it would be better if it was a change from an already-dominating coin (like BC moving to dynamic interest rate). We have precedence of a coin changing its fundamental way of working - dogecoin has removed its maximum cap, if I remember well.
[ed] and it's worth mentioning that multi-pool mining for other coins is basically a kind of carry trade arbitrage that's already being carried out in BC.
Please explain carry trade arbitrage.