Difference between revisions of "Debate on Kulupu emission curve"

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*{{Argument}} It gives investors more confidence as the total supply is not diluted.
 
*{{Argument}} It gives investors more confidence as the total supply is not diluted.
 
*{{Objection}} With this particular table, in later stage the reduction is too high. For example, in the first year the reduction (from 60 KLP to 50 KLP) is less than 20%, while in the fifth year the reduction (from 20 KLP to 10 KLP) is 50%.
 
*{{Objection}} With this particular table, in later stage the reduction is too high. For example, in the first year the reduction (from 60 KLP to 50 KLP) is less than 20%, while in the fifth year the reduction (from 20 KLP to 10 KLP) is 50%.
 +
 +
<br />
 +
 +
== '''Some middle ground''' ==
 +
Slow reduction by 5KLP every epoch until tail emission of 8KLP is reached after 11 years of mining. 7% Treasury, accounted for burn.
 +
{| class="wikitable"
 +
|Period  (520000)
 +
|Reward
 +
|blocks/period
 +
|end block
 +
|Treasury 7%
 +
|emission/period
 +
|treasury/period
 +
|emission total
 +
|treasury total
 +
|Fee burn
 +
|total burn
 +
|-
 +
|1
 +
|60
 +
|520000
 +
|200000
 +
|
 +
|31200000
 +
|0
 +
|31200000
 +
|0
 +
|1.6
 +
|832000
 +
|-
 +
|2
 +
|55
 +
|520000
 +
|720000
 +
|7.9
 +
|28600000
 +
|2860000
 +
|59800000
 +
|2860000
 +
|1.7
 +
|884000
 +
|-
 +
|3
 +
|50
 +
|520000
 +
|1240000
 +
|7.1
 +
|26000000
 +
|2600000
 +
|85800000
 +
|5460000
 +
|2.0
 +
|1040000
 +
|-
 +
|4
 +
|45
 +
|520000
 +
|1760000
 +
|6.4
 +
|23400000
 +
|2340000
 +
|109200000
 +
|7800000
 +
|2.3
 +
|1196000
 +
|-
 +
|5
 +
|40
 +
|520000
 +
|2280000
 +
|5.7
 +
|20800000
 +
|2080000
 +
|130000000
 +
|9880000
 +
|2.7
 +
|1404000
 +
|-
 +
|6
 +
|35
 +
|520000
 +
|2800000
 +
|5.0
 +
|18200000
 +
|1820000
 +
|148200000
 +
|11700000
 +
|3.2
 +
|1664000
 +
|-
 +
|7
 +
|30
 +
|520000
 +
|3320000
 +
|4.3
 +
|15600000
 +
|1560000
 +
|163800000
 +
|13260000
 +
|5.3
 +
|2756000
 +
|-
 +
|8
 +
|25
 +
|520000
 +
|3840000
 +
|3.6
 +
|13000000
 +
|1300000
 +
|176800000
 +
|14560000
 +
|8.0
 +
|4160000
 +
|-
 +
|9
 +
|20
 +
|520000
 +
|4360000
 +
|2.9
 +
|10400000
 +
|1040000
 +
|187200000
 +
|15600000
 +
|8.0
 +
|4160000
 +
|-
 +
|10
 +
|15
 +
|520000
 +
|4880000
 +
|2.1
 +
|7800000
 +
|780000
 +
|187980000
 +
|16380000
 +
|8.0
 +
|4160000
 +
|-
 +
|11
 +
|10
 +
|520000
 +
|4880000
 +
|1.4
 +
|5200000
 +
|520000
 +
|188500000
 +
|16900000
 +
|8.0
 +
|4160000
 +
|-
 +
|12
 +
|8
 +
|520000
 +
|4880000
 +
|1.1
 +
|4160000
 +
|416000
 +
|188916000
 +
|17316000
 +
|8.0
 +
|4160000
 +
|-
 +
|tail emission
 +
|
 +
|
 +
|
 +
|
 +
|
 +
|'''MAX TOTAL:'''
 +
|'''158340000'''
 +
|
 +
|
 +
|30576000
 +
|}
 +
 +
*{{Argument}}
 +
*{{Objection}}

Revision as of 16:28, 12 August 2020

Kulupu
Blockchain
Walletpolkadot.js
NodeGithub
StatusPolkadot Telemetry
ChatDiscord, Matrix
LaunchedSeptember 2019

This documents the various debate on Kulupu emission curve.

Status quo

Keep the current emission of 60 KLP per block (1 KLP per second), but still retain the ability to discuss other emission curve options later.

  • Argument Argument Kulupu needs border token distributions.
  • Argument Argument Infinite supply is a model that works for coins such as Ethereum and Grin.
  • Objection Objection Investors don't like to work with infinity in the equation, and a lot of people are currently frightened away from Kulupu, because of unclear total supply.

Supply cap of 210 million

Block reduction over a span of 20 years. Each of the next block reward is 90% of the previous one, rounded to the nearest integer. This results in a effective total supply of 210 million.

Year Reward Block count Start block number Reward Block usage Block fee burn Total burn
1 60 520000 0 (era 0) 31200000 1/10 1.6 832000
2 54 520000 200000 (era 1) 28080000 1/9 1.7 884000
3 49 520000 720000 25480000 1/8 2 1040000
4 44 520000 1240000 22880000 1/7 2.3 1196000
5 39 520000 1760000 20280000 1/6 2.7 1404000
6 35 520000 2280000 18200000 1/5 3.2 1664000
7 32 520000 3320000 16640000 1/4 4 2080000
8 29 520000 3840000 15080000 1/3 5.3 2758000
9 26 520000 4360000 13520000 1/2 8 4160000
10 23 520000 4880000 11960000 1/2 8 4160000
11 21 520000 5400000 10920000 1/2 8 4160000
12 19 520000 5920000 9880000 1/2 8 4160000
13 17 520000 6440000 8840000 1/2 8 4160000
14 15 520000 6960000 7800000 1/2 8 4160000
15 14 520000 7480000 7280000 1/2 8 4160000
16 12 520000 8000000 6240000 1/2 8 4160000
17 11 520000 8520000 5720000 1/2 8 4160000
18 10 520000 9040000 5200000 1/2 8 4160000
19 9 520000 9560000 4680000 1/2 8 4160000
20 8 520000 10080000 4160000 1/2 8 4160000
  • Argument Argument Kulupu needs border token distributions.
  • Objection Objection The current investment will still be diluted by a lot, as the current supply is only 27 million.

Supply cap of 100 million

Block reduction over a span of 7 years. This results in an effective total supply of around 100 million.

Year Reward Block count Start block number Reward Block usage Block fee burn Total burn
1 60 520000 0 (era 0) 31200000 1/10 1.6 832000
2 50 520000 200000 (era 1) 26000000 1/9 1.7 884000
3 40 520000 720000 20800000 1/8 2 1040000
4 30 520000 1240000 15600000 1/7 2.3 1196000
5 20 520000 1760000 10400000 1/6 2.7 1404000
6 10 520000 2280000 5200000 1/5 3.2 1664000
7 8 520000 3320000 4160000 1/4 4 2080000
  • Argument Argument It gives investors more confidence as the total supply is not diluted.
  • Objection Objection With this particular table, in later stage the reduction is too high. For example, in the first year the reduction (from 60 KLP to 50 KLP) is less than 20%, while in the fifth year the reduction (from 20 KLP to 10 KLP) is 50%.


Some middle ground

Slow reduction by 5KLP every epoch until tail emission of 8KLP is reached after 11 years of mining. 7% Treasury, accounted for burn.

Period (520000) Reward blocks/period end block Treasury 7% emission/period treasury/period emission total treasury total Fee burn total burn
1 60 520000 200000 31200000 0 31200000 0 1.6 832000
2 55 520000 720000 7.9 28600000 2860000 59800000 2860000 1.7 884000
3 50 520000 1240000 7.1 26000000 2600000 85800000 5460000 2.0 1040000
4 45 520000 1760000 6.4 23400000 2340000 109200000 7800000 2.3 1196000
5 40 520000 2280000 5.7 20800000 2080000 130000000 9880000 2.7 1404000
6 35 520000 2800000 5.0 18200000 1820000 148200000 11700000 3.2 1664000
7 30 520000 3320000 4.3 15600000 1560000 163800000 13260000 5.3 2756000
8 25 520000 3840000 3.6 13000000 1300000 176800000 14560000 8.0 4160000
9 20 520000 4360000 2.9 10400000 1040000 187200000 15600000 8.0 4160000
10 15 520000 4880000 2.1 7800000 780000 187980000 16380000 8.0 4160000
11 10 520000 4880000 1.4 5200000 520000 188500000 16900000 8.0 4160000
12 8 520000 4880000 1.1 4160000 416000 188916000 17316000 8.0 4160000
tail emission MAX TOTAL: 158340000 30576000
  • Argument Argument
  • Objection Objection