With the title: “Surprisingly, cola issuance is not inflationary”, Peter Todd started a discussion, on BitcoinTalk, about the infinite emission of bitcoin so that miners always receive a subsidy from the network for each block mined.
The developer also wrote an article where claimed that it can show that a fixed block reward does not lead to abundant supply. He commented in this regard: “I discovered that the developer of monero ‘smooth_xmr’ also noted that queuing resulted in a stable coin supply a few years ago. There are probably others too: it’s a pretty obvious result”.
Notably Monero, whose cryptocurrency is XMR, already has a queue issue from around June 9, 2022.
“I asked on Twitter and no one responded with counterexamples”, he commented in the open thread on BitcoinTalk.
Question: does anyone have an example of a PoW currency where miners are paid exclusively by transaction fees? Any examples at all?
— Peter Todd (@peterktodd) July 2, 2022
Question: does anyone have an example of a PoW cryptocurrency where miners are paid solely by transaction fees? Some example?
Other forum members joined in with their opinions, in opposition to Peter Toddwho stated that a “hard-fork” (hard fork). For example user Vjudeu instead suggested that a soft fork could create new bitcoin, but a new class of bitcoin, different from the original.
Anthony Towns and Gregory Maxwell opined: “there is no reason to believe that paying miners a number of coins equal to the average rate of lost coins will provide sufficient PoW security, and that there are cases where you could overpay for PoW security. If a perpetual issue cannot guarantee safety and if it has a significant probability of producing additional problems, it seems preferable to stay with a finite subsidy that -although it cannot guarantee security either- at least it does not cause additional problems and is already accepted by all Bitcoiners (implicitly or explicitly)”.
In this regard, a few years ago, Peter Todd also assured: “We can create inflation in Bitcoin if necessary”.
What is clear is that, with the degree of decentralization with which the Bitcoin network has, it would be a difficult task to modify the original protocol with the consensus of the majority of the nodes. This consensus is based on the fundamentals of finite emission since it provides “shortage“, a fundamental philosophical/economic characteristic of Bitcoin.
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