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Flat money (dynamically stable money)
This tool provides Members with the ability to dynamically set the Harvest (creation & destruction of the Seeds currency) protocols to adjust the purchasing power deflation or inflation of Seeds from -5% to +5%.
The SEEDS economy (after go-live) starts with purchasing power inflation set to 0% (purchasing power stability).
Members govern their own currency, as such Members decide if they want a currency that's increasing in purchasing power (like Bitcoin), decreasing in purchasing power (like the USD) or maintaining its purchasing power stability (like Seeds after “Go Live”).
Adjusting this protocol allows Members to dynamically control their financial system to best meet their changing needs.
- 1.This means the Seeds currency (after Go Live) is designed to remain more stable as a form of money. So, instead of all prices regularly going up (as national currencies lose value) prices would remain more stable over time. This removes the consumptive drive of the legacy game (where it’s better to spend money today, than it is tomorrow) and replaces it with a steady-state economy.
- 2.Historically the USD and other national currencies have lost purchasing power, since their creation of new currency inflation is higher than the economy can support.
- 3.In some instances it’s beneficial to have a currency that’s increasing in purchasing power (to reward saving over spending) and in others it's beneficial to have a currency that decreases in purchasing power (to reduce the burden of debts).
- 4.It’s always beneficial to our natural world to have a currency that’s not more valuable than a healthy ecosystem. So, Members may want to keep value appreciation lower than what nature returns (e.g. we want it to be more profitable to sustainably harvest from a forest indefinitely than it would be to clear-cut the forest, and sell it for currency (this is a core ecological challenge with artificially scarce currencies like Bitcoin).