If the coins don't start to stake until they mature, and the maturation is 30 days, does that mean they don't gain interest/stakeweight while maturing?
Okay, so the POS rate, while technically correct, is misleading. There is no possible way the coin can yield a 12% return given a 30-day maturation. This current setup is detrimental to the coin and incentivizes people to keep their wallets shut down. This does not help the CIF network.
If I deposit 10K CIF in my wallet on Nov 1, it won't start staking until Nov 30. If it stakes 30-days later I get 100 CIF and then I have to wait another 30 days for it to mature again. That means I get 100 CIF in 90 days. If I deposit the coins and then shut the wallet down and open it a year later, I get the full 12%. If someone stakes more often than 30 days they are screwed.
I think CIF has merit, but the reward for being a CIF holder isn't that great under the current setup. The potential exists for the coins to be maturing for more time than they actually stake.
You will need to raise the interest rate or lower the maturation period. People will lose interest rather quickly.
Hey Agozyen,
So you hit a few points but I want to clarify some things. First and foremost - to stake the wallet has to be ACTIVE AND NOT SHUT DOWN.
The point of staking is to support the network. When someone stakes the wallet has to be connected to the network (we addressed this a little but earlier on in this thread). Shutting down your wallet and removing it from the network will actually stop it from staking.
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Okay, so the POS rate, while technically correct, is misleading. There is no possible way the coin can yield a 12% return given a 30-day maturation. This current setup is detrimental to the coin and incentivizes people to keep their wallets shut down. This does not help the CIF network.
Lets be clear to define what cold storage is. When I recommend someone have a separate wallet used to hold CIF (for staking) - I mean a non-trading wallet (yet still connected to the network).
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You will need to raise the interest rate or lower the maturation period. People will lose interest rather quickly.
We realize that there is a low interest rate because we created a PoW/PoS hybrid. People can still mine the coin through traditional methods. We made sure to put a limit on the interest earned from PoS since there will be both types of mining going on. We don't want the coin to be mined too quickly by offering a large PoS while running PoW. This was done intentionally.
To be 100% transparent - the PoS/PoW piece is an add on and incentive, but not the main benefit which we hope people to derive from our project and coin. These two pieces are meant to be ancillary items to our core project. We want the community to benefit, however we have a real business objective we feel will also drive up the value of CIF. People should look at the PoS portion of CIF as a nice add on to purchasing CIF coins, in recognition of the importance of the crypto community. We'll deliver much more value to CIF investors through our actual project.
I really hope that addresses your concerns - let me know if something doesn't make sense.
Also perhaps your correct - that 12% annually is a little simplistic when describing PoS. Let's keep it at 1% post maturation and call it a day.That's how we really advertise it anyways.
