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Board Service Discussion
Re: GAW Zen Hashlet PayCoin unofficial uncensored discussion. ALWAYS MAKE MONEY :-)
by
hazenyc
on 16/12/2014, 18:33:53 UTC

The plan from GAW's perspective is that people will keep restaking, and the few that cash out will only cash out a bit at a time.  The "market maker" staker/investors, will either have to restake their earned paycoins after 6 months in order to keep their prime controller status (because they have to maintain that 1% of all paycoins status to keep the controller status)... or sell their prime controller to another interested party.  They simply can't cash out their coins.


Well, this is a problem for a currency if the system is inducing people to hoard instead of spend! In this case it is not a currency but a speculative asset. Junk bonds are also speculative assets that earn a yield for holding them. But you can't also use a debit card to buy a danish with part of your bond.
The two mandates just don't jive: 1. it's a currency go out and transact with them and spend! 2. if you hoard them you'll get rewarded.

Keynes recognized the so-called purchasing power sink caused by hoarding money and how it can trigger financial crisis.