You are right. I am new to this coin and do not actual numbers of the inflation rate. Can you calculate for me current inflation rate and rate after 1 year?
I saw this quote
At that moment inflation will be 10% per year.
If it is the right number I can tell that it is a fine level of inflation and it will be less in the future. How is inflation affected by the masternodes BTW? I heard MN are more profitable than staking so actual inflation could be higher...
Please go through my post history.
short story:
Every year the supply increases with about 490k 8Bit, with an initial base of 101k. There was lots of hype, first dev bailed, disillusionment followed.
Ending - Inflation - Total Supply
year 0 - 488% - 0.1 MLN
1st year - 82% - 0.6 MLN
2nd year - 45% - 1.0 MLN
3rd year - 31% - 1.5 MLN
5th year - 19% - 2.5 MLN
10th year - 10% - 5.0 MLN
25th year - 4% - 12.4 MLN
We are now at roughly 200k coins which means there is still 300% to go for this year. This seems much, but we have a very low marketcap,
we just need to hang on and get through this stage...Masternode currently pays out 1188/1350 per day divided over all nodes. This is a linear(fixed) amount, in an exponentially(S-curve) growing market. More nodes get added and the less profitable mn will be, this in favor for 8Bit distribution.
Cutting payout means cutting total supply. Cutting significantly means cutting supply significantly. You'll end up with a very, very rare coin... Also when we are cutting we will cut it in a linear setting, but we are already decreasing exponentially. Cutting inflation will also cut the rate of its drop, lol.
Burning coins is also an unnecessary measure, it widens the gap between now and low inflation. It has a postponing effect but creates short term gains. I can see it being useful in a saturated market where the user base is on the decline.
IMO the solution for now is intrinsic value: [development, marketing].