Parking incentives in Peercoins ?!

teeneagle 2014-09-26 13:18:27 UTC #1

As many had addressed their concerns about the ever growing bubble of inflation as both the decrease and the increase of Nubits price are theoretically solved with additional supply of Nubits, many see this as an unsustainable solution .
My question is, why not paying the Parking incentives with peercoins ?
this will :
1- solve the ever growing inflation of Nubits
2- uses some of the dollars from selling Nubits through the Nubits price Suppression to buy both Nubits for raising the price again to the 1$ " immediate use of the fiat "
3- after the parking period is finished custodians will pay the incentives with peercoins which was bought through the parking time using the new fiat currency gained from new selling of the Nubits in the following price suppression process
4- this will also rise the value of peercoin as backbone of the system and maybe will be more appealing to the parkers as its value will be continuously rising due to the custodians continuous need for it

This seems as a Closed loop to me, i would like to know what you think about this idea and why you may think paying the parking incentives in Nubits is better ?

roisifjo 2014-09-26 13:34:40 UTC #2

I agree with your proposal. Actually I thought PPC price will start increasing for distributing dividends with PPC but I think most of NuShare holder selling PPC as soon as they receiving dividends.

Sentinelrv 2014-09-26 14:32:48 UTC #3

I think it’s too early to tell. Check out my thread here…

Also, this would put double buying pressure on Peercoin right, one for dividends and one for parking interest?

Ben 2014-09-26 14:37:54 UTC #4

This is not possible within the protocol. Parking incentives need to be automatically generated. There is no way that I can think of (with the current technology) that the Nu protocol could maintain a reserve of Peercoin to distribute as the incentive, because there is no way for the Nu to arbitrarily create additional supply.

teeneagle 2014-09-26 14:37:59 UTC #5

Yes from a peercoin holder point of view this is great because of this doubling , but even for the parker interest the peercoin may look more valuable than nubits , and the most important, this is better for the sake of the Nubits system’s sustainability in my opinion .

as a side note i admire your work on peercoin logo .

teeneagle 2014-09-26 15:11:35 UTC #6

But do you agree on the idea ? if so, would the developers try to figure out a way to do this ?

May be if there is a merged wallet the protocol can enforce the peercoins transactions from the custodian’s wallet to the parkers, in this case the custodian will buy the peercoins, put it in the escrow then advertise the amount of Nubits he want to be parked and the incentive he will pay !

thank you for your patience

Chronos 2014-09-26 15:51:50 UTC #7

This is impossible with current technology. Peercoins can’t be created or controlled autonomously by the Nu network.

It would be interesting to pay parking incentives with newly-created NuShares, though! I’m not sure of the long-term implications that would have.

Ben 2014-09-26 16:40:44 UTC #8

I would need to think about it, too, but one positive side effect of this activity would be that anyone who acquired NuBits (or another future Nu-backed cryptoasset) would have the opportunity to become shareholders. I imagine that there a nice positive feedback loop of incentive in that cycle.

CoinGame 2014-09-26 17:06:55 UTC #9

That’s a very interesting idea. If someone could choose whether they un-park NuBits or NuShares is something to think about. I imagine it would take quite some time for anyone to amass the 10k shares to vote, and even then the ability to impact votes would be minimal. Though it would give some stake in the network that can appreciate.

The impact would require a lot of thought. It’s a significant change.

Chronos 2014-09-29 14:05:31 UTC #10

I think I have a workable solution surrounding this idea. I would love to have everyone’s opinion.