Quote from: lalakis on November 23, 2014, 02:22:24 PM

Mining for ever, without inflation.

Mining inflation or coin total inflation? Is there anyway to control mine inflation? Coin inflation can be controlled by the pos stake %. Another aspect of inflation is often over looked. Demand. If i have a 1000 total coin set up with 100% annual inflation and 100 people have one assuming equal distribution. A year later they each have 2 because they all staked and sold none. That usually means the coin inflated 100%. Dow if the same 100 people sold their coins are parts of them on exchange and 1000 new people bought those parts a year later the coin supply is 2k again but not everyone has a coin. The demand is way higher than the coins supplied as most of those people will want 1 whole coin. A perfect example of this is US dollars. They inflate roughly 3% a year on average as the they produce 3% more than the market demands. If they cut it back 6% it would be -3% anuualy inflation. The value would rise as the demand would start exceeding new production. (A whole bunch of things come into play besides this but it is a basic part). When this happens it's called deflation. Int eh dollars case if they did cut back production 6% it would not be reducing the total coin supply but simply a slit drag in its growth. So total coin amount growing at 1% does not necessary mean the coins inflating. BTC is a good example of a crypto doing this. Its price is because new coin are not being created fast enough to keep it low. Dogecoin on the other hand is a coin that is making way more than is demand needs as evidenced in its price drop from 2200 sat in feb to what it is now. there are ups and down along the way but the over all trend is down for Dogecoin.