I'm looking at all these altcoins. They are mainly stores of value not money. I think of all these coins like metals (gold is bitcoin, silver is ltc).
I'm thinking how to design proper money.
So, in my view, the ideal altcoin:
1 - should have a reasonable name / logo. Dogecoins are cute, but no.
2 - algo - scrypt, or whatever prevents massive abuse from an overinvestment of fiat.
3 - number of coins - irrelevant, however, should not be too small, so that usual items would not cost 0.0000565 whatevercoin.
Mining
4 - premining - 30%. However,
premined coins must be prepaid in USD / BTC or hard currency. Exchange rate is not relevant. Developer or issuer will do the prepayment.
The coins must be immediately available at an exchange, with a strong promise to always exchange the coins is USD / BTC. This will allow:
- liquid trading (using the prepaid USD / BTC as counterparty);
- no pump and dump schemes, since the pumper must deliver real-cash to support the increase in value.
- essentially, the new coin would have an initial hard peg to usd / btc. The peg will slowly be retired when trading reaches higher level that would self-support the altcoin.
Reason for this - to prevent pump and dump and to allow immediate use of the coin to buy services and goods.
5 - mining - should be expected that mined amounts will go 70% to store of value and 30% will circulate. Mining should be difficult and coins should be released as long as there are miners, however, not exponentially at the beginning.
6 - the exchange should allow short sales. These are called loans
.