I’ve just recently started learning about cryptocurrencies in general. Been enjoying learning about this project, but I’ve only just begun, so apologize in advance if this is a stupid question.
I read about how Bitcoin is going to address the problem of miners not wanting to mine as the amount distributed gets halved too many times. Something like a commission, I guess, to get those last coins out.
At any rate, it made me think about what happens when the last safecoins are distributed? With bitcoin, we don’t NEED miners, once they are all mined. But we do need motivation for people to share their storage space, even after the last coins are out.
Do farmers still get paid even after all the coins are distributed–like out of the pool of coins which are spent on using storage?
I’m sure this is a simple fundamental misunderstanding of the network on my part, but I’d appreciate anyone who could set me straight on this.
With bitcoin you do need miners to verify transactions, after all coins are mined, miners will just receive the transactionfees.
Likewise with SAFEcoin, SAFEcoins can be farmed, because people will still pay for storage or publicIDs which will send SAFEcoins back to the mothership where they can be farmed.
Actually I expect that by then I won’t be around and if the network survives then most here won’t be around. Morbid I know but I’ll explain.
Unlike the other crypto out there, SAFE recycles the coins. As people pay to upload the coins used to pay are destroyed, yes actually destroyed.
Now as farmers are paid to retrieve data the coins used to pay them are created anew.
Each coin has its own network address and once destroyed then that coin address can have the coin recreated to pay for a reward.
So it is expected that without paying for uploads that farmers can be paid for decades and by paying for uploads (which is what SAFE does) then the coins could last for 100 years before 90% exist at the same time. (that is only 10% available to create)
Interesting. So the safecoin cap is only the maximum in circulation simultaneously, not the creation cap. As opposed to bitcoin, where, once the 21 million have been mined, no new ones will be created.
The number of SAFEcoins existing at any one time can be higher or lower than a month previously
At the initial start there will be 15% of maximum possible (4.3 billion) existing. This is the 10% which is MAID at the moment and 5% to be held in reserve for initial Maidsafe company investors who may wish to swap their shares for coins at a later time. So that 5% may even remain reserved for years/decades.
