dnprock

You can read about Ethereum monetary policy here: https://docs.ethhub.io/ethereum-basics/monetary-policy/ > Ethereum's monetary policy is best described as "minimum issuance to secure the network". I think they are open to change, but generally will stay with Store of Value. DAI stablecoin runs on Ethereum. I read their whitepaper. I think it's complicated financial engineering. Maybe DAI would work. I just don't quite understand how. No worry about challenge. I did a fair amount of research on Ethereum before deciding to start a new chain with Bitflate. Starting a new chain is extremely hard to gain traction, especially 10 years after too many failed coin experiments. If there is a truly decentralized coin for transactions, my work will be done with Bitflate.

I never fully understand ETH monetary policy. ETH lacks of transparency. It seems like they change a lot. https://en.wikipedia.org/wiki/Ethereum#Supply Wikipedia says ETH upgrade may change to 0.5% to 2%. They will change it as they see how market responds. I'm not sure how the decision gets made. With a low inflation rate, I believe they still want to be a programmable Store of Value. Bitflate wants to be a transaction coin, not Store of Value. It's set with 7% inflation rate. We're going to stick with this design. I'd be very surprised if ETH decides to change to 7% inflation and compete with Bitflate. 🙂

We see big and sudden price swings in (1) hyperinflation (hyper expansion) and (2) very low inflation (hyper shrinking). They are two polars of monetary system. We need moderate inflation. That is Bitflate.

The different between digital native Bitflate and fiat inflationary is transparency. With fiat, you can't predict what the issuing authority may do to the currency. It's not in our control. With Bitflate, the rule is constant 7% inflation per year. It is set in the chain. Everyone knows. Bitflate use case is transactions. Bitflate is not an asset. Over long-term, BFL coins will lose value because of inflation.

Limited and shrinking new supply creates rush of buying and selling. On supply side, people hold. On demand side, people rush to buy. Big and sudden price swing make Bitcoin unusable for transactions. I think inflation would produce the opposite effect of HODL. At some point, holders will think about using BFL coins because next year, there're be 7% more of BFL coins on market. On demand side, companies don't rush into buying BFL coins. Next year, there will be more coins available on the market. I think inflation can smooth out price swing. Bitflate network is still small. It can be under attack. I think that is a problem with any new coin. It's unrelated to the problem Bitflate is trying to address. I hope the network will grow over time. Still, Bitflate is experimental.

> Bitcoin is a solution to inflation It is a catchy narrative. I think that is how Bitcoin caught fire. Limited supply is Bitcoin's strength. But I think it is also Bitcoin's weakness. It creates price volatility and makes bitcoins unusable for transactions. I create Bitflate as an alternative inflationary currency. Supply inflates at a constant rate. No external factors can change it. Everyone knows the rule. That is the difference.

@hexwin, I don't know how many nodes we have on the network. I think it reached more than a hundred nodes already. There's a list of nodes on the network in the explorer page: https://explorer.bitflate.org/network We hit some bumps with Unnamed Exchange. The owner is a bit unfriendly. But he is responsive and the exchange works. I buy my BFL coins there and withdraw to my local wallet. It's working for Bitflate community now. I'm not actively looking for more exchanges. They all ask money for listing. Bitflate is a decentralized coin. We don't have a central authority to pay for listing fees. I previously asked for listing fee donation. Btw, I just checked out your website. It looks like we may be able to work together. Bitflate is still early. But once we gain momentum, I think interest saving BFL account would be awesome. @soundcamphyd, Bitflate potential supply is unlimited. Its running supply is limited by inflation rate. This coin is designed to be a transaction coin. But it does reward early adopter with more coins. Reward schedule every 1 year: 0: 50 (halve) 1: 25 (halve) 2: 12.5 (halve) 3: 6.25 (end of halving) 4: 6.65 (start of inflation 7%) 5: 7.02 6: 7.51 7: 8.04 8: 8.60 9: 9.20 10: 9.85 Hi @SatoshiNakamoto 🙂 I think your design of limited supply is suitable for digital gold use case. But people hodl bitcoins. We need another coin like Bitflate that has inflation. People will use it for transactions.

Some update today. Mining activity of Bitflate is increasing. Difficulty has gone from 700K to 2.3M. Block: 52.7k. Coin supply: 2.6 million. https://explorer.bitflate.org/ Bitflate (BFL) is now trading on Unnamed Exchange. https://www.unnamed.exchange/Exchange?market=BFL_BTC Join our discord community: https://discord.gg/utnEyp8

@seriousguywithfunnypants, Bitflate is designed to be a transaction coin. I believe adding inflation would reduce price volatility, aka, stablecoin. Bitflate is digital native and decentralized like Bitcoin. I think it can help people who are not familiar to learn about crypto. I made this simple diagram to explain where Bitflate is in the market. Fiat <==> Bitcoin Centralized <==> Decentralized Centralized <=> Pegged/Centralized Stablecoin (Tether, USDC) <=> Semi-centralized Stablecoin (Libra) <=> Decentralized Stablecoin (Bitflate) <=> Decentralized I wrote a couple of articles about Bitflate. For those who are interested to learn more, checkout these articles: Bitflate - Cryptocurrency with Constant Inflation https://bitflate.org/post/2019/04/14/bitflate-cryptocurrency-with-constant-inflation.html The Next Big Thing in Crypto: Using Inflation to Create Stablecoin https://bitflate.org/post/2019/10/10/the-next-big-thing-in-crypto-using-inflation-to-create-stablecoin.html Building Stablecoin: Bitflate vs. Libra https://bitflate.org/post/2019/10/22/building-stablecoin-bitflate-vs-libra.html

@Agios, you can download the Bitflate Core client. It comes with a wallet. https://github.com/bitflate/bitflate/releases/tag/v0.18.1 Bitflate mining just passed 50k block and 2.5 million coin supply today. https://explorer.bitflate.org/block/00000000000004eb51e35bcbc0cc1c2b1d75f8dea4614b701907bda93a161435 Price on Unnamed Exchange went up to 10 sats. Please do your own research. Bitflate is experimental. https://www.unnamed.exchange/Exchange?market=BFL_BTC

@BitTyro, to be honest, I consider Bitflate is an experimental project. I think it could work. If not, I hope the idea, using inflation to create digital native stablecoin, survives. I think I have a fairly good design for the coin. It will take another 3 more years until inflation kicks in. So there is a lot of uncertainty. My current focus is community outreach and building. I want to provide better wallet options (e.g. mobile) for Bitflate. That's probably what I'll do next. I've worked through many hoops to get to this stage with software, website, stable mining, and exchange. If anyone can help, that'd be awesome. The website is basic. Bitflate is not investor backed, nothing fancy, no gimmick, just plain Proof of Work cryptocurrency.

@BitTyro, here's my thinking about the inflation rate. I intentionally picked a high rate of 7%. With this rate, coin supply doubles every 10 years. This is from Rule 72 in investment. This high rate will make Bitflate behave opposite of Bitcoin. Bitflate's goal is to NOT be a Store of Value, but a coin for transactions. High inflation rate will cause people to not HODL Bitflate coins and put them in circulation. Bitflate chain is still early. Mining started on July 2019. As of October 2019, we're about to reach 50k block and 2.5 million coins. It'll take about 30 years to reach 100 million coins. If Bitflate gains adoption, I think 7% inflation will not be enough to curtail price rise. But it's fairly high so the idea is price won't rise very much. At some equilibrium point, with efficient mining and banking account, I think we can get 4-5% interest rate. I give 1% to mining cost of new coins and 1% for banking service. In this case, Bitflate money loses 2-3% purchasing power. But this is the tradeoff for price stability. For financial planning, we can keep most of our long-term saving in Bitcoin, and use Bitflate for transactions. The choice is ours.

@hexwin, Bitflate and Libra are different. They try to achieve a similar goal of stablecoin. But Bitflate price would be somewhat stable. Libra is more stable. But Libra is more centralized than Bitflate. I think each coin may have a place in the market. On this topic, I just published an article to compare Bitflate and Libra. Building Stablecoin: Bitflate vs. Libra https://bitflate.org/post/2019/10/22/building-stablecoin-bitflate-vs-libra.html @BitTyro, after inflation starts, a Bitflate token will lose value over time. That is part of the design. It encourages people to circulate the token, not hold. We can develop interest saving to reduce value loss. This method is well understood in finance. Banks offer interest saving accounts on fiat currencies.

Hi everyone, Today's news headline has a news related to this topic: Trump’s Former Fed Pick Stephen Moore Announces Cryptocurrency to Compete With Central Banks https://fortune.com/2019/10/21/stephen-moore-trump-fed-nomination-cryptocurrency-stablecoin-frax/ It looks like this new Frax stablecoin will re-attempt to implement fractional reserve stablecoin. Previous attempt, Basis, didn't make very far due to regulatory pressure. Libra also faced similar problems. These problems show the need for a decentralized, digital native stablecoin like Bitflate. Join Bitflate Discord community: https://discord.gg/utnEyp8

@williamz902, Bitflate is running live on mainnet. Hashrate and difficulty are still low. You can mine it. Or you can buy it on Unnamed Exchange (use with caution). https://www.unnamed.exchange/Exchange?market=BFL_BTC Bitflate is a new chain with its own genesis block. I decided to start a new chain instead of forking from Bitcoin chain. Forking Bitcoin chain carries the burden of syncing a large blockchain. Bitflate is designed to be a transaction coin, not a Store of Value. I don't see benefit of attracting existing Bitcoin holders. They won't be interested in Bitflate anyway. @benithomasha, I own and operate bitflate.org site.