Discussion Thread: Pitch Your Idea About Burning Tokens

cryptoctopus(75)

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HIVE and Incentives

One interesting feature of the Hive Blockchain is that every day, new HIVE tokens are created to pay witnesses, proposals, curators and authors. This is great since it's the engine that fuels everything that is happening on the network. In a perfect world, all of the activities outlined above would increase the value of the blockchain overtime and grow the value of the token.

But that hasn't always been the case on the Steem blockchain. Hopefully, now that the chain is free from Steemit Inc, we can do something better together and learn from the mistakes from the past.

Now if the community doesn't grow and if there is not enough incentives for people to invest in HIVE, inflation will devalue the HIVE token and we'll all be fighting for a smaller and smaller reward pool.

Interesting enough, when the value of the token goes up, a lot more attention is brought to HIVE. More articles are written, more people learn about it, more people invest and more people create an account.

So we can see a direct correlation between the value of the token and how much attention it gets.

Let's Burn It All

One interesting way to increase the value of the HIVE token is to have some of the token being "burned". That means having people willingly destroy their tokens in exchange for something. All things being equal, the less token we have in circulation, the more value each token have.

Let's Start a Conversation About This in the Comment Section

I'm not a huge whale with my upvote, but 21K HP is what I'm going to use to upvote the best comments. (~$1.00 value)

I have a bunch of ideas about how we could create incentives for people to burn their tokens but I'm sure that I haven't scratched the surface of what we could do to create deflationary pressure in the HIVE economy.