What about giving the coins away but preventing the citizens from spending them right away? They need to at least hold on to them for 3 months maybe. Or maybe a random amount of time between 2-6 months.
This type of approach only delays the inevitable... once the waiting period is over then everyone will still dump. The way to overcome this is to create a scenario where the demand is higher than the supply or the two are in equilibrium.
If the demand is high, then people will be more likely to hold. The fundamental problem with an airdrop is that the supply all of a sudden greatly outpaces the demand of the crypto community which is speculating on future prices (as in AUR). The scaling of SPA stages (100,50,25,10,1 SPA/person) helps create a scenario where early adopters are rewarded and will have more of a stake in Spaincoin than those who join in later stages. Knowing that you will have more SPA than future adopters puts people in a position of greater power and increases the likelihood of people holding air-dropped SPA;
but only slightly.
If the Spaincoin airdrop is handled delicately as I posted earlier (see below), with a
steady premine supply that corresponds to mining contributions over time, it might be possible to keep supply/demand in check while an infrastructure is able to be developed for Spaincoin. On the other hand, if you provide a currency with no immediate uses to a large population while the value is high, then there will be no reason to hold and SPA will die.
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SpainCoinDev,
Let me first start off by saying how impressed I was with your ability to identify a problem with the coin (multipool abuse) and resolve the situation very quickly with the hardfork to scrypt-n. After seeing the course that AUR has taken with the airdrop, I think we can learn a few things about how to distribute the coin to Spain.
I think the best way to go about the airdrop is slow and steady. If you could keep the current influx of coins on the market the same rate as current mining allows, I think Spaincoin could be extremely successful.
Here is what a plan for distribution could look like to accomplish this:
1) On the day of the airdrop, cut the current mining rewards in half (from 100 SPA / 2 min to 50 SPA / 2 min). This would cut the number of mined coins per day from 72,000 to 36,000. You could now make up the other half of coins entering the market from the premine equal to 36,000 SPA / day. You could keep the same distribution Stages as previously proposed. Every Spanish citizen that claims their coins would take a number in line consistent to when they register for their coins. This would give you 360 people per day receiving their 100 SPA. At the rate of 36,000 SPA per day, it would take ~ 138 days to distribute the first stage of coins (5M).
2) At the beginning of stage 2, you will keep the mining rewards at 50 SPA / 2 min. This will maintain 36,000 SPA per day to come from mining. You will keep the same rate of coins per day to enter the market (72,000 SPA) by releasing 36,000 SPA/day to Spanish citizens at 50 SPA per day per person. Spanish citizens will again be assigned a number by when they register for their coins. The 2nd stage will grant 720 Spanish citizens 50 SPA/day and will take ~69 days to distribute the 2.5M coins.
3) At the beginning of stage 3, you will keep the mining rewards at 50 SPA / 2 min. This will maintain 36,000 SPA per day to come from mining. You will keep the same rate of coins per day to enter the market (72,000 SPA) by releasing 36,000 SPA/day to Spanish citizens at 25 SPA per day per person. Spanish citizens will again be assigned a number by when they register for their coins. The 3rd stage will grant 1440 Spanish citizens 25 SPA/day and will take ~69 days to distribute the 2.5M coins.
4) Stage 4 will be associated with a second mining reward halving from 50 to 25 SPA per 2 minutes. This will allow for 18,000 SPA/day to be released from mining. The total number of coins per day entering the market will remain at 72,000 SPA through the distribution of 54,000 SPA per day to Spanish citizens. At the stage 4 figures, 5,400 citizens will receive their 10 SPA/ day based again upon their registration number. The 8M coins will take ~148 days to distribute.
5) Stage 5 will maintain the same mining reward of 25 SPA / 2 min and a total of 18,000 SPA/day. At the stage 5 figures, 54,000 Spanish citizens will receive their 1 SPA per day based upon their registration number. The 7M coins will take ~129 days to distribute.
The distribution timeline will last for approximately 1.5 years in total based on this system. You could have block rewards continue to halve every 8 months for the remainder of coins to be mined following the last stage of distribution.
Overall, I believe a system like this will greatly aid in the widespread adoption of Spaincoin as well as help maintain/improve its value over time.
This.
