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I heard Krebs in a radio interview say that many criminals who are practical experts in the actual use of experimental currencies require something like Liberty
by brownbat 13y ago
I heard Krebs in a radio interview say that many criminals who are practical experts in the actual use of experimental currencies require something like Liberty Dollars for price stability.
Could a cryptocurrency build price stability in as a feature?
I know this is anathema to one of Bitcoin's founding principles, but what if the payout for each round of mining was adjusted based on the average transaction size in the last few blocks? If transaction sizes are going up, you're getting deflation, so the algorithm would increase the rate at which money is being printed.
Not sure how to control for the opposite, for inflation. Maybe some small percentage of the transaction fees each round would get destroyed by the system, instead of paid out to the miners (it'd have to be a small percentage so you could keep people mining). Maybe better just leaving anti-inflation out of the design, since it isn't yet a demonstrable problem, might not ever be.
You could fiddle with how aggressively the system fights for price stability, trading off against the reliability of profitable mining.