I'm not fighting against other bitcoin-like currencies. In fact, I'm trying to maintain a list with all proposals, even thought I think is too early to support the competitors when the success of bitcoin is not secure yet.
I agree. I don't think TimeCoin is in any way ready for prime time until a few reductions in the block reward have come in... until then, it's an interesting thought experiment.
On the other hand, I don't like much Timecoin.
It tries to solve the "deflationary bitcoin" problem, but I don't think the solution is good.
First of all, Bitcoin is only deflationary if there's economic growth.
BitCoin is guaranteed (assuming a non-zero long-term rate of key-loss) to have a maximum usable money supply at some point in time (after which, of course, the money supply will contract asymptotically to zero). A contracting money supply is generally deflationary.
To avoid timecoin deflation, it issues a constant quantity of timecoins each year (instead of a decreasing quantitiy until convenrgence).
If we assume a constant growth of 1%, Timecoin will become eventually deflationary too, since the constant issued timecoins (50 per block) are a lesser percentage of the total supply each year.
The gross creation rate of TimeCoin never goes below zero... if no TMC are ever lost, 50/100 trillion is still greater than zero (the gross creation rate will asymptotically approach zero). If there are periods where the rate of coins lost to key-loss is greater than the creation rate, the money supply will have a short bout of contraction before equilibrium is restored (barring a case where the loss rate monotonically increases... the only situation I see that occurring in is one where users simply abandon TimeCoin, in which case there's nothing that can be done at that point).
Contraction of the money supply tends to lead to deflation.
Increase of the money supply tends to lead to inflation.
A constant money supply (zero net long-term money creation) is the option least likely, IMO, to lead to deflation or inflation.
My proposal is Freicoin, but nobody seem to like demurrage nor Gesell here.
The issue with Freicoin is that it exacerbates the contracting supply feature of BitCoin (if it preserves the continuously decreasing block reward), as demurrage implemented by destroying coins is equivalent to losing coins through key loss. Implementing demurrage through transaction fees is also likely IMO to have the effect of reducing transaction volume ceteris paribus as people hope that clients that don't enforce demurrage become predominant before they need to spend.