Complaints about Early Adopter Rewards and Premines..what if..

[Shad3dOne]

Hey guys,

I've been reading a lot of threads for the new alt-coins and many of them mention a complaint common among many late party miners or coin supporters.  Why is the coin system giving out such large mining rewards upon coin release, which with today's coin-aware public and hashing technology, that seems be gobbled up with in the first few days?

Many late comers claim this to be unfair.  Some even claim 'scam coin' or 'pump and dump'. What are your thoughts?

Should new coin releases afford the late comer more rewards?

Should there be a coin which limits its initial coin release to, let say, 2 coins-per-block, and then slowly ramp up coin-per-block rewards over the lifespan of the coins generation algorithm? To lets say a maximum of 50 coins-per-block?

Example LithiumCoin [LTH]:Algorithm -sha256, coin cap= 22 million, blocks per hr target= 15 or about 1blk/4 min., target difficulty retarget = every 360 blocks or 1 per day., rewards don't halve..they increase * 2 so initial rewards is hieght 0 is 2 per block...then at hieght 10800 it is 4 coins per blck. Now at hieght 21600 reward is 8 coins per blck and at hieght 43.2k we get 16 coins per blck. and  so on and so forth.....until we get eventually get the  max coin-per-blk at around hieght 172.8k...by now the coin has been hopefully established and miners will continue to support for the increased block reward + fees.


What are your thoughts?

[strunberg]

What I hate is that folks like me who have a single 5770 GPU, try and mine these new coins when they first come out.
Then selfish SOB's with GPU farms that contain over 20+ high end GPUs, point their farms and blow up the dificulty up to bitcoin overnight,and then go back mining Bit coin.

I want to see a coin that's invite at first so that poor folks can mine,then the rich miners with 100 GPUs can get the scraps.
If you have dozens of GPUS, you don't need to get in these alt coins right away because you're already loaded.

[Walter Rothbard]

Many late comers claim this to be unfair.  Some even claim 'scam coin' or 'pump and dump'. What are your thoughts?

My first thought is that if you know the coin is a bad idea, you shouldn't use it.

My second thought is that new altcoins are the perfect answer to the problem of latecomers.

[glendall]

It's a free Internet.  Anybody can make a coin. If the coin is retarded, or set up like a scam, it will likely fail. If it serves some purpose, it will likely find a niche and succeed. We don't need to make any moral judgements or regulations or decisions about 'how things should be', IMHO. Just let it be as it is, and however it is doing is exactly how it should be doing.

As for the 'bastards with the GPU farms', it just about scale. Dude with 1 x 7950 bought at $300 has much the same profit margin potential as the dude with X x 7950 bought at $300. It's a bit ridiculous to claim you're a more legitimate miner dude just because you have a much smaller operation.

[markm]

If you only have one GPU, merged mining can be a good way to go. If you do it using p2pool you get bitcoins to pay your electricity, plus rarely find a namecoin block, occassionally a devcoin block, and can get lots of blocks of all the other coins that can be merged-mined. It works out pretty nice...

-MarkM-

[chriswen]

Poor me, I have only one CPU so even if I here about a new coin I can't mine sh*t.

[Walter Rothbard]

Poor me, I have only one CPU so even if I here about a new coin I can't mine sh*t.

I have about five CPUs and still have yet to mine anything besides testnet coins.

[markm]

You just aren't doing it right. You could mine lots of i0coins, GRouPcoins, CoiLedCoins and GeistGeld, even all at once using merged mining, with just one GPU. Their difficulties are very very low, I guess most people mining them are just using CPUs.

-MarkM-

[meebs]

I bet somethign similar to the PPC difficulty/block reward protocol would be helpful... but in reverse.

I'm thinking along the lines of:
if difficulty is say.. 1000.. you'd get 5 coins per block
10k.. 10
100k..25
200k...40
400k..65
1m..75

or whatever values actually make sense after "running the numbers".. this way it helps to even out the coins given out by the amount of work actually given within the chain. (of course maxing out once the coin has hit a predifined limit)

[mr_random]

Early adopter rewards aren't necessarily a bad thing 

[psybits]

I was thinking something similar like a coin that could be mined on mobile devices and cell phones only, so that anyone could participate and earn coins for helping the integrity of the network. Not sure how practical it would be but it would be awesome to enable anyone worldwide with anything to be able to mine, earn coins and improve their lives

[Remember remember the 5th of November]

How about this: 10 million coins, precision past the 8th decimal place to see whether people can handle playing with smaller amounts., initial difficulty is higher than 1, block reward is significantly smaller than 50 and perhaps faster blocks with fast retargetting.

[meebs]

How about this: 10 million coins, precision past the 8th decimal place to see whether people can handle playing with smaller amounts., initial difficulty is higher than 1, block reward is significantly smaller than 50 and perhaps faster blocks with fast retargetting.

500k coins with 10 decimal places

0.30 coin block rewards

90 second block times