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First of all, yes they can. Proof of stake coins pay dividends. Second of all, dividends from companies don't show up 'from thin air'. They show up from the eco

by darawk 9y ago

First of all, yes they can. Proof of stake coins pay dividends. Second of all, dividends from companies don't show up 'from thin air'. They show up from the economic activity of the company. Which is facilitated by their capital investments. Just like staking in cryptos.

Retric 9y ago
Think about this really carefully. Smart contracts can pay out coins but not money. If every year your coin splits so now you have 2 coins then 4 etc no money was added. I can have 10^1000 in a database, but that's not new value.
- darawk 9y ago
  You don't actually know much about cryptos, do you? Here, read this: https://github.com/ethereum/wiki/wiki/Proof-of-Stake-FAQ https://github.com/ethereum/wiki/wiki/Proof-of-Stake-FAQ Staking doesn't produce new coins. It pays dividends from transaction fees. I.e. actual economic activity.
  - Retric 9y ago
    I said pay out coins not create new coins. Lets say I Buy '1,000' tokens including a 10 token payment for a transaction fee for 1$. Now A had 1,000 tokens and now has 1$, I have 990 tokens and another group get's 10 tokens. But, notice that other person(s) got tokens not money. If I got to keep 1,000 tokens or someone else get's those 10 tokens nothing changes because nobody who has tokens got any money. The only way people with tokens get money is if they sell some number of tokens minus a fee to someone else. It does not matter of all 10 tokens go to a miner, or miners get 5 tokens an 5 go to 'investors' or what not. It's still a (edit: negative sum game) and contracts don't change anything about this.
    - darawk 9y ago
      Money is just another form of token. I'm not sure why you're making this distinction between 'money' and 'tokens'. They are the same thing.
      - Retric 9y ago
        Bitcoins and USD may both be tokens, but they are not the same token. The same is true of say WoW gold and ISK (EVE Onlines money). I can farm WoW gold all day, that does not turn into ISK unless someone is selling ISK.

by darawk 9y ago

Retric 9y ago

Think about this really carefully. Smart contracts can pay out coins but not money. If every year your coin splits so now you have 2 coins then 4 etc no money was added. I can have 10^1000 in a database, but that's not new value.

darawk 9y ago
You don't actually know much about cryptos, do you? Here, read this: https://github.com/ethereum/wiki/wiki/Proof-of-Stake-FAQ https://github.com/ethereum/wiki/wiki/Proof-of-Stake-FAQ Staking doesn't produce new coins. It pays dividends from transaction fees. I.e. actual economic activity.
- Retric 9y ago
  I said pay out coins not create new coins. Lets say I Buy '1,000' tokens including a 10 token payment for a transaction fee for 1$. Now A had 1,000 tokens and now has 1$, I have 990 tokens and another group get's 10 tokens. But, notice that other person(s) got tokens not money. If I got to keep 1,000 tokens or someone else get's those 10 tokens nothing changes because nobody who has tokens got any money. The only way people with tokens get money is if they sell some number of tokens minus a fee to someone else. It does not matter of all 10 tokens go to a miner, or miners get 5 tokens an 5 go to 'investors' or what not. It's still a (edit: negative sum game) and contracts don't change anything about this.
  - darawk 9y ago
    Money is just another form of token. I'm not sure why you're making this distinction between 'money' and 'tokens'. They are the same thing.
    - Retric 9y ago
      Bitcoins and USD may both be tokens, but they are not the same token. The same is true of say WoW gold and ISK (EVE Onlines money). I can farm WoW gold all day, that does not turn into ISK unless someone is selling ISK.