Deflationary mechanism with immediate effect

Massa Improvement Proposals
1

I would like to discuss the deflationary mechanism with immediate effect without increasing TPS, so it can be applied now.

For example, we can burn 1% of all fees, so it’s not gonna hurt validators significantly, but from the standpoint of marketing and good moves into sustainable blockchain will play its role. The percentage can be adjusted at any time.

Any thought about that?

Previous proposals will work only with increased TPS, but this proposal is a solid step with a positive effect for the ecosystem right now and on MAS price.

2

Hello!

The proposal Dynamic inflation implies always burning 25% of all transaction fees. What changes with TPS in Dynamic inflation is emission rate of new tokens.

But since both in your proposal and in Dynamic inflation the idea is to burn transaction fees, the issue remains: if TPS is low, burns will be low in your approach as well.

To give you as sense of scale, the average TPS is currently 0.02 and each transaction pays 0.01 MAS of fees. With your solution (burning 1% of fees) would burn 0.1728 MAS per day. At the same time, because in your proposal MAS emission is not adjusted, 69120 new MAS are produced in the same timespan of 1 day.

3

Ok, I see it’s basically the same. My memory let me down.

Can we reintroduce the initial proposal with a lower percentage?

Any thoughts about burning some unused tokens from different categories like Massa Labs & Founders and 2k-builders Program?

4

Obviously that some actions must be taken to support the price with any means. To make Massa great!!!

5

For sure, feel free to add comments in the Dynamic Inflation proposal. It needs to be updated anyway with the new inflation rate.

For bruns, please check the Foundation’s answer in last AMA: https://youtu.be/UP1FgBnV1nA?t=3066