How will BEAM remain secure in the long term as the reward dwindles into insignificance and it won’t have the constant large backlog of high-fee paying transactions that Bitcoin does, to make make up for it?
Is the finite supply cap an unbreakable social contract, or could BEAM decide to adopt a tail emission in the distant future, like GRIN had since launch?
This is less of a concern to me, Beam emissions in the medium-range future still have sufficient reward to keep the network secure.
As for the long term, no one can predict, ASIC might come, GhostDAG might kick in and other new inventions that will shake up the mining ecosystem of Beam (and many other coins).
On top of that, it looks like Beam is the move to a voting mechanism that will allow it to adjust to the perhaps changing security/mining. To my best understanding, the end outcome of the DAO is to have the power to change all and any aspect of the protocol, not just the Defi layer (but this will be a long gradual shift of power I guess)
Great question THANK YOU>
Does that include the emission itself?
Could the current supply cap ever be changed?
Could BEAM ever move away from PoW?
To my best understanding, it does include all you mentioned.
by I do not know for sure
I hope the DAO can’t vote on every aspect of the protocol especially critical things like emission schedule or inflation. To me the protocol must have some forbidden changes on those aspect. Inflation is stealing economic value from holders. Beam is already with a supply cap as ‘‘social contract’’ when you buy it. There is other coins who opt for tail emission models including a very popular one and a competitor. Any fork that support inflation will be seen as an hostile attack from my wallet perspective.
And failing security due to insignificant block subsidy is not?
Fees are here for that. L2 are for cheap transaction, so there is no need to “legitimate” thievery.
There is absolutely no plan to mess up with supply emission by the way nor any plan to switch to POS.
Do you understand?
Fees are here for that.
Tx fees are an insignificant fraction of the block reward currently. What makes you think they will rise by 4 orders of magnitude?
There is absolutely no plan to mess up with supply emission by the way
There are no such plans yet, but such plans are easily made when the very survival of the chain is in question.
Supply and demand. Already happened with Bitcoin. In 2017 half of the rewards was fees…
it’s not about “yet or not”, it’s really no plan to mess up with that as every capped PoW out there…
Do you understand?
Completely false, as shown by Blockchain.com | Charts - Total Transaction Fees (BTC)
There was one day where avg daily tx fees peaked at about a quarter of block subsidy, but over the whole year they averaged less than 10% of the 12.5 BTC block subsidy.
Fees have been much lower in recent months. For weeks at length, they’re less than 0.1 BTC per block, almost negligible compared to the 6.25 BTC block subsidy.
Beam cannot realistically hope to surpass Bitcoin’s blockspace demand for long periods of time.
Infinite facepalm: I was speaking about 2017… not today.
Anyway there is absolutely no plan to add inflation it’s part of social contract period. Controversy is closed you are free to move on.
So was I. Let me spell it out for those more eager to gloat than to comprehend:
There was one day in 2017 where avg daily tx fees peaked at about a quarter of block subsidy, but over the whole 2017 year they averaged less than 10% of the 12.5 BTC block subsidy.
It’s not as long as the coin founders are not even willing to take a side on this issue…
“Beam is a deflationary coin with capped emission and periodic halving every four years (similar to bitcoin). Beam uses a Proof-of-Work consensus algorithm called BeamHash III (created by Wilke Trei, a.k.a., Lolliedieb, with emission starting from zero (e.g., no pre-mine or ICO) and is currently mined on GPUs. See our mining guide for more information on how-to mine Beam coins.”
https://documentation.beam.mw/overview/tokenomics
“Beam is designed to be a deflationary coin with capped supply, halving every four years and stopping emission altogether after 133 years.”
“Beam’s emission schedule is primarily inspired by Bitcoin.** The main differences are that Beam has ten times as many blocks, and the year one emission is 100 Beam coins per block. The first halving occurs after year one year, with halvings occurring every four years, 33 times in total.”
"Emission denomination is in Groth, the smallest measured unit of Beam;** Named as tribute named to Jens Groth whose work in computer science and cryptography laid the foundation for zero-knowledge proofs. One Beam contains 100,000,000 (one hundred million) Groth.
The total supply is 262,800,000 Beam coins, or 26,279,999,976,873,600 Groth.
There were no pre-mine or ICO, so at the launch of Beam mainnet (January 3rd, 2019), there were 0 coins in circulation."
You buy a coin without reading it’s specs ? lmao. Straight from the horse’s mouth. That’s the contract. Next time you buy a coin read it’s documentation properly capiche ? Case closed for good.
Be nice to each other fellas. We’re on the same team
Hope you didn’t buy any Eth or Doge or Zcash or any other coin that decided to deviate from its original design specs.
As BEAM may very well do in the future as well…
I avoid buy shitcoins :)))) If this coin fail on that I guess I will go back to the only true one BTC :)))) At least they don’t breach the Trust or get influenced by newbs who just arrive and want change some crucial elements of the Contract/Trust :)))) People who breach Trust can’t get my money very simple.
True, you can pay extra and avoid SegWit. And you don’t have to use LN which steals fees from miners.
And when an infinite inflation bug is discovered (at least twice), you can trust that the developers will not print a few thousand bitcoin before conspiring to fix the bug. /s