Ampleforth monetary policy
Aug. 10, 2020, 1:31 p.m.
First, I must admit that I haven't read every single post yet. However, I'd love to hear your thoughts on these few ideas.
I like to start economies from scratch but most often I do look at existing systems to see what's working & what isn't.
My first question:
Why is all of the supply being reduced & expanded in Ampleforth? In the "real world" only bank money is reduced or expanded and a negative rebase in a shrinking economy leads to less buying power (e.g. think of locking AMPL as collateral to purchase more AMPL).
My second question
What do you think of base money consisting of Ethereum & decentralized stablecoins = a slowly growing economy. That would make the asset interesting for people and investors as hedge for other crypto assets and the 0-interest "real world".
My third question
Since I suggest not reducing people's supply, I believe it would be good to also reduce positive outbreaks by giving x% of price increase back to a community fund whenever the price increases to heavily.
Overall, these aspects would limit negativity & extreme value-adds for predictable, continuous growth of the ecosystem.&
What do you think about this? Here's the summary
1) when < 1 reduce reserve money pool (no tax or dispossession of existing users)
2) when > 1 increase all supply
3) Base money is a basket of ETH, stable coins, etc.
4) When > 10% gains a day, 10% of these gains go to shared pool for ecosystem development (new users).
Happy to hear feedback!