Fair number of coins kept by dev
(Please click the links, as they are essential to understanding this post.)
This is a very important question.
This is a difficult question to answer, because
developers need to be funded if we expect any realistic chance of actually fixing
our F.U.B.A.R. crypto ecosystem within any rapid timeframe.
Also we'd like the developers to have a vested interest in improving the ecosystem. Ideally every token hodler would be a developer also, but that isn't realistic so we rely on developers.
Yet when the insiders control a significant portion of the tokens (and/or the tokens
trade on a corrupt exchange), the price and market cap can be
manipulated in a way that transfers all the gains to the insiders and leaves most of the speculators holding an empty bag at the end.
Ideally we'd prefer not to rely on trust, because
trust is a honeypot that attracts those who will break the trust. And thus
trust replaces "the code is the law" with "politics is the law".
There will exist no perfected solution. For example, Monero claims they launched what
I define to be a "fair", competitively mined, free market distribution, but this just handed all their funding to utility companies because
paying for electricity for mining is financially equivalent to paying for tokens and/or to those who
amassed economies-of-scale cost advantages such as mining farms (even
stolen cloud cloud computing accounts) with cheap (even stolen) electricity. Thus proof-of-work launches are not trustless either, and they throw all the funding into the garbage can.
I plan to offer a
fair, competitively priced, free market alternative to aforementioned disadvantages of an ICO or proof-of-work launch, which can fund the developer while mathematically placing an upper bound of the percent of the launch tokens the developer can possibly own. While this can't guarantee that the percentage is less than 2% (more realistic guarantees are 10 - 20%) of the launch money supply, it can guarantee (under reasonable assumptions) that the percentage is less than 2% of the long-term money supply (assuming there is an ongoing tail distribution block reward). So while this can't entirely eliminate the possibility of the insiders owning enough coins to do some short-term manipulation to drive the price and market cap higher, it does at least provide some reasonable bounds. And the advantage is the developers are funded. So my conceptual innovation, will offer the speculator a choice to have a mathematically bounded balance between trust and trustless, with the advantage being the developers are funded. Note again, proof-of-work launches are not trustless either, and they throw all the funding into the garbage can.
I plan to use this new conceptual way to launch, to offer speculators to invest some small portion of their net worth in a project and developer(s) they feel will be good for the long-term development of our crypto ecosystem. A long-term holding for ideological reasons, not just monetary return on investment but also ideological accomplishment return on investment. Note again, proof-of-work launches are not trustless either, and they throw all the funding into the garbage can.
If you read my threads, you will know
I am against trust and politics of trust (being I am a minanarchist leaning full blown anarchist). I would prefer a launch that has no trust, but I can't think of a way to fund development without any trust whatsoever. But at least the produced token software will be a trustless protocol. So some trust and some leadership is necessary to produce the trustless end. The end justifies the means.
Perfection is for incapable dreamers who handicapped themselves with their perfectionist delusion. The real world requires a balancing act. Let's
get the balance right.
POW is the LEAST dirty way of generating coins in a fair manner since anyone in the world can mine on virtually the same ground
You can't prove how many people weren't mining with stolen cloud computing as I pointed out:
Monero and Bitcoin can never prove their distribution was any more fair than any other.
Sorry. Monero has no more "holier than thou" bullshit excuse for their lack of leadership and rapid development.