Value discussion
-
[list]Hi,
I understand there are a few posts in other topics about the value of the coin, but I’d like to create one specifically for compiling a plan of attack (POA) to increase the value of Feathercoin. At the moment, its getting a lot of trash talk about being a rip off of LTC, and I want to systematically reduce the validity of their arguments down to zero.
As far as I am aware, the things which value a coin at the moment are:
[list]
[*]Profitability - mining vs return on investment
[*]Usability - Currency that can be exchanged for goods
[*]Confirmation time - The faster, the better
[*]Reputation and originality - Innovative features of the cryptocoin which make it significantly different from the rest, in a good way. E.g. Zero’s difficulty algorithm
[*]Trade-ability - Having the coin represented on a high traffic exchange.
[*]Popularity (Trade-rate) - An amalgamation of the above influencing factors. This is an outcome which drives awareness and engages people. A key factor in value.[/list]Please comment to add any more/make any changes, as I’m not 100% on the definitions.
A lot of them are dependent on each other, for example, FTC is already listed on BTC-e, but it won’t become profitable for miners until the confirmation time reduces (when more miners come back).
I understand justabitoftime is already rallying the troops to organise various roles and responsibilities, but in my opinion the most important priority this coin must focus on, is to differentiate itself from the other altcoins flooding the scene. This won’t happen with just a difficulty change, and if it doesn’t, no amount of community support/usability etc is going to raise the value; it will simply remain constant.
Thoughts? What things do you value in a coin, and what things do you think we need to action first?[/list]
-
Great topic, I hope to hear from each of you on this topic.
-
Value comes from the community in my opinion. Anything we made mistakes on was resolved quickly because the community responded to the positive attitude Just and Bush brought to the project. They really gave people confidence in a difficult situation. But it has to be an active community otherwise we will indeed remain static.
I’m going to adjust my difficulty anticipating algorithm to 16 steps now that we move every 504 blocks. I still think 2016 is a relevant benchmarking reference.
LeatherCoin is going to be a stripped down cryptocurrency simulation environment. Instead of a blockchain, it will use a list of hashrates or transaction digests to test features and scenarios. I may even succeed in creating a network simulator using GPUs. I’m not sure how to integrate it though. I don’t want to encourage people to leave the network unprotected to experiment. Maybe make it strictly CPU based, but then we need a huge community. Maybe we could have a lottery where we rotate resources from network to research. This is another reason why I’m looking into making things more demand based. A currency that is just a ton of generation blocks and chain to chain trades is a mirage. (MirageCoin sounds like a cool name though.) Maybe reward should increase with trade activity. Yes, there’s pathological cases with that too. But that’s what innovation is about, squeezing the bad consequences into a corner and letting people know not to step in that direction.
Hard Forks are a consequence of the 51% nature of the bitcoin model. Everything that was ever said against a majority rules model is coming true. I’m going to try to create a means of soft forking so that people can have a common base and choose the features they want without losing the benefit of the larger network. Maybe pools can help by augmenting the main currency with features via various behavior filters.
Good topic. :)
-
Can we make Zero a Science Officer please?? He’s starting to sound like he’s been assymilated by the block chain! ;D.
So you’re suggesting a CPU mining coin, with soft changes every 504 blocks hard coded in, to then analyse the data and see what works and what doesn’t? Sounds like a great idea!! But how do you agree that something ‘works’ or is ‘beneficial’?
Just a few more thoughts on the things that make a coin valuable (added to main):
Popularity - I suppose this would be driven by community support, but with popularity among miners, there are a lot of coins available to trade. With lots of coins to trade, lots of people start to get involved. Once lots of people are involved, the value rises. Essentially, this is an outcome of the majority of influencing factors. And it should be our aim! Here’s my equation :)
Popularity = (Ease to mine + Community Support) x Innovative distinguishing features x (Trade-ability + Usability + Confirmation time) = Profitability
-
[quote name=“T4rQu1N” post=“4096” timestamp=“1368780266”]
Can we make Zero a Science Officer please?? He’s starting to sound like he’s been assymilated by the block chain! ;D.So you’re suggesting a CPU mining coin, with soft changes every 504 blocks hard coded in, to then analyse the data and see what works and what doesn’t? Sounds like a great idea!! But how do you agree that something ‘works’ or is ‘beneficial’?
Just a few more thoughts on the things that make a coin valuable (added to main):
Popularity - I suppose this would be driven by community support, but with popularity among miners, there are a lot of coins available to trade. With lots of coins to trade, lots of people start to get involved. Once lots of people are involved, the value rises. Essentially, this is an outcome of the majority of influencing factors. And it should be our aim! Here’s my equation :)
Popularity = (Ease to mine + Community Support) x Innovative distinguishing features x (Trade-ability + Usability + Confirmation time) = Profitability
[/quote]I wouldn’t choose popularity. I would use trading rate. But it’s hard to track off chain items. UNLESS… be right back!
