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RE: Why am I investing in EOS? (SWOT analysis)
EOS will be using delegated proof of stake. EOS token holders vote who to produce the block, and block produces gets rewarded. Token holders vote how should inflation (newly created) tokens be used. For example, we can say 1% should be used for marketing, 3% used for block producer, and destroy remainders to reduce inflation rate, etc.
I dont like the inflation part. I understand its necessary because there are no transaction costs but to me its a clear downside to the project :)
Nonetheless im in:)
I hear you, but we do not have a choice. It's better to have inflation than have transaction fee. At the end, we need to give incentive to block producers.
If EOS market cap reach 20+ billion dollar, I think inflation rate of 1% is enough to reward block producer. Then, we may only have 1% inflation rate.
Its not if its when
The smiley is not working on my post :)
Maximum inflation rate is 5%. But we do not have to use all 5%. We can always vote to destroy some portion of inflation.