Governance poll: Reducing monthly DONUT issuance to 1% of total Supply

https://www.reddit.com/r/ethtrader/comments/iac1b6/governance_poll_reducing_monthly_donut_issuance/

Before the Governance Poll gets submitted I wanted to capture the general feeling of the community about this proposal and optimize the proposal. Also I do not know how to start a proposal so it would be lovely if someone could help in this regard and submit the optimized proposal.

Proposal:

We currently have 96,228,012 DONUTS outstanding and additional fixed 4 Million DONUT along with 4 Million new CONTRIB are issued monthly.

  • I propose to make the new DONUT and CONTRIB issuance proportional to the total outstanding supply of DONUT.
  • I propose to replace the current fixed issuance-model with a monthly elastic DONUT and CONTRIB issuance of 1% of the total Supply.
  • With current Supply 1% would equal a new issuance of 962280.12 DONUT and 962280.12 CONTRIB next month (1% of the total Supply), instead of 4 Million DONUT and 4 Million CONTRIB.
  • There wouldn’t be any fixed unelastic and unproportional issuance of DONUT and CONTRIB anymore.
  • The distribution percentages for each User would stay the same.

In order to achieve steady growth via healthy inflation we need use a percentage-model instead of fixed-Token issuance. The unelastic fixed inflation-model has proven to be unfit to capture any value. People tend to dump their DONUT immediately after receiving them.

With this proposal we hope to stabilize the value of DONUT while having steady healthy inflation-based growth.

submitted by /u/christianjpberg
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