#monero #bitcoin
no one can manipulate and dump monero
because it is hardly traded anywhere any more. not enough volume. there is a real supply shock waiting
Discussion
Lol
Monero max supply says infinite, it is a good tool to complement btc tho
This one is very common from the Bitcoin cult, and is techically true.
However, there is a lot of thought and intentional design that has gone into the supply dynamics of Monero. Monero implements a “defined supply” of 18.4m coins, and has a tail emission of 0.6XMR per block after the defined supply has been mined. That tail emission starts ~May, 2022.
This means that Monero has extremely low inflation that approaches 0% forever, and is technically “disinflationary” or “asymptotatically approaching 0% inflation”. The inflation rate is currently lower than Bitcoin and gold, and will continue to decrease. It’s also important to realize that a low inflation rate like that of Monero is a way to replace lost coins over time in circulation, but is likely even too little inflation to account for lost coins (rough estimates are ~1.5% of coins lost in circulation each year, compared to Monero’s current inflation rate of 1.12% as of writing). This would mean that Monero is in fact deflationary, even with the low perpetual issuance.
It’s also extremely important to make it clear that Monero’s supply is pre-defined, verified and enforced via consensus, and entirely predictable, just like Bitcoin’s – you can know the inflation rate and totaly supply at any point in the future without doubts.
This tail emission enables two key features in Monero
A lower bound of network security forever (miners will always be able to rely on 0.6XMR per block, no matter the fee market)
A dynamic block size (Monero’s blocks can grow/shrink to adapt to short-term increases in usage, with a penalty to mining rewards during these times).
For more on both of these, see the resources below.
Resources
Descriptive website with graphs showing the supply dynamics of Monero: https://monero.supply
“Why Monero has a tail emission”: https://localmonero.co/knowledge/monero-tail-emission
“How Monero Solved the Block Size Problem That Plagues Bitcoin”: https://localmonero.co/knowledge/dynamic-block-size
Inherent risks in not having a defined block reward in perpetuity: https://www.cs.princeton.edu/~arvindn/publications/mining_CCS.pdf
Thank you for that information, I was unaware of how the supply was issued, I will take a closer look tomorrow when I'm not so busy, but from what you shared I will probably acquire some, which I've been meaning to get to for privacy reasons anyways, but big thanks for the more detailed information
golds max supply is infinite so it must also be bad money too right?
I do not think gold is a bad money but I do prefer btc over gold
monero's rate of supply inflation is lower than golds.
so the "infinite supply" fud doesn't hold water.
a hard cap is a stupid knee jerk reaction to fiat insanity. understandable but not actually good monetary policy.
Anytime I look at other "coins" my first instinct is to look at the max supply. Just seeing the infinity sign throws me off, nostr:nprofile1qqstujgy236dsg62m0fcmlm8hwu6u2ndq6ttlqy7gn5u6y42cr4xxxqpz9mhxue69uhkummnw3ezuamfdejj7qgkwaehxw309ajkgetw9ehx7um5wghxcctwvshsz9thwden5te0wfjkccte9ejxzmt4wvhxjme0xc5xh7 provided me with more information, that I will look at more closely tomorrow
Fiat issuance is centralized, unpredictable, and arbitrary
Monero issuance is the exact opposite of those three. Shares more similarities to gold.
A fixed supply also doesn't guarantee value. You can't control demand.
https://github.com/libbitcoin/libbitcoin-system/wiki/Scarcity-Fallacy
That was one of the questions that was open for me. The idea is, the "mining" never truly stops, but instead reduces to a stable value of 0.3 XMR per
I think this is actually an interesting observation, because if you think about it .. if XMR would run (very) low, the impact would be high, but with healthy numbers, it wouldn't contribute significantly. Unless I make a mistake in my reasoning, this means it is too weak to produce inflation, but does guarantee that you can never quite run out.
Got this from one of the vids people recommended in my question here.
Is there a good #monero #primer? Ideally I'd like to see a 2(+) hour talk that discusses #monero in-depth. All the #technical ins and outs.
voila:
https://www.youtube.com/watch?v=cjbHqvr4ffo
https://www.youtube.com/watch?v=aAvSpfll9z4
https://www.youtube.com/watch?v=SWUanM-jD24&list=PLfJ_JjSwYaa9eIi2rFU7l0exz7MQJ1GLu
would add this one by Dr Kim
gold is not scarce
nostr:nprofile1qqs0npwnpyvheqz7zuvuwvv9k460c0hyqlturds40hhfn34vufvehwcpr9mhxue69uhkvet9v3ehgu3wdehhxarjxyhxxmmd9uq3jamnwvaz7tmwdaehgu3w0fhh5ttnv4e8vtn0wfnj7qgawaehxw309ahx7um5wgcrztnndpshy6mndpskkefwdejhgtcglhdp3 all, thanks, those were nice recommendations. A bit less technical than I hoped, but the discussions uncovered *a lot* of details. Very informative!