mimblewimble team mailing list archive

[praxeology_guy <praxeology_guy@xxxxxxxxxxxxxx>]

Allan Niemerg,

> It's worth keeping in mind that mining is not just the distribution of the currency but is also a payment for security. Is there a reason to so drastically pay extra for security between years 5 - 15 and to pay relatively so little in years 1-5? Especially since the risk in Years 1-5 are generally the highest for both the currency and the miners?

With the 10 year to peak sinusoid, after 1 year, nominally the supply subsidy will be >= the mature 0.25% inflation supply subsidy at 20 years. Until that 1 year point, I doubt there would be that much of a market for the ledger's units.

Keep in mind that the security equation (cost to replace block = block reward = supply bonus + fees) heavily depends on the ledger units' actual market purchasing power. So even with huge nominal block rewards, a ledger history might be rewritten with low cost if the ledger's units aren't worth much. Unfortunately, there isn't much we can do about this, other than make a high quality ledger system that hopefully lots of people will recognize will be a good one and worth investing in.

So having large block rewards early, although it could allow the few people using it to wait marginally fewer confirmations... I don't think its worth the issue of the early adopters getting too much of the supply.

Cheers,
Praxeology Guy