Monetary Supply Inflation & Deflation - Can It Be Controlled by the Crowd?

[HYPE_Token]

Cryptocurrency users are often fascinated with the idea of monetary supply deflation and monetary supply scarcity (low coin/token supply). When we consider the Social Psychology in this Scarcity Principle, consumers tend to place a higher value on goods that are scarce than on goods that are abundant. Psychologists also note that when a good or service is perceived to be scarce, people want it more. However, it must also be noted that when a product is scarce, consumers are more likely to conduct their own cost-benefit analysis. A low supply yet highly valued token is more likely to be evaluated for its cost-benefits rather than generate market demands blindly. Particularly for a product (token) which does not carry any intrinsic value nor have any ‘qualities’. Additionally, the law of demand states that as the price of a commodity increases, demand decreases, provided other factors remain constant. Also, as the price decreases, demand increases.

Therefore, to permanently ‘increase the value of a product (money/coin/token)’ through scarcity, a growth in demand is necessary. Otherwise, markets will always only see temporary effects of the ‘artificial scarcity’ we collectively create through increasing deflationary rates.

So how is the inflation/deflation of a monetary supply managed in the world we are living in today?
- Federal Bank Reserves
- Government

All nations around the world (at least capitalistic ones) have a federal bank or a central bank which overlooks the nation's currency and its overall monetary supply inflation/deflation rates. Many factors such as national debts, wars, disasters, economic depression, trade deals, and so on... will have an impact on the central bank's decisions to print out more money (inflation).

But what if... instead of having central authorities and external factors controlling monetary supply, we could use the power of collective wisdom (crowd intelligence) to reach a consensus and manage/control the overall inflation and deflation?


WE HAVE CREATED A SOCIAL TOKENOMICS EXPERIMENT TO TEST.... JUST THAT!

We wanted to see if the crowd (people) can actually effectively manage and control the inflation/deflation of an economy (well, in our case, a tokenomy). If you need more information on how to join (we are just distributing all tokens for free via airdrops for maximum decentralized results), please read our ANN thread here: https://bitcointalk.org/index.php?action=post;msg=51782698

NOTE: We currently have over 25,000+ holders who have participated in the airdrop.

[HYPE_Token]

Reserved for Updates

[serjent05]

This is a good experiment, kinda interesting what would be the result too.  Though I have a biased stance on this, and that is a big NO, crowd cannot control the monetary inflation and deflation since the control all goes down to the source who ever created that monetary system.  But still, I wanted to see if my belief will be proven wrong.  Good luck to your experiment and I'll be following this thread.

[Kakmakr]

How are you going to test something if you give out the tokens for FREE, would this not devalue your token once it is being sold? People also do not like pre-mined tokens for this same reason. Most tokens increase in value, because people judge the coins value, based on it's usefulness. How useful are your token, apart from just being an experiment?

I am curious to find out how this experiment will turn out, so I will participate in the FREE airdrops for now, but I figure it will end in a almost worthless token with no real world use. 

[HYPE_Token]

This is a good experiment, kinda interesting what would be the result too.  Though I have a biased stance on this, and that is a big NO, crowd cannot control the monetary inflation and deflation since the control all goes down to the source who ever created that monetary system.  But still, I wanted to see if my belief will be proven wrong.  Good luck to your experiment and I'll be following this thread.

Thank you for your input. This experiment serves to see if the crowd is generally intelligent enough to control the (inflation/deflation) of the monetary supply without any central governance involved. Users will be voting on the token transfer burning % and daily freezing rewards % and will be able to collectively learn, experience, and control the impacts. Please have a read through the whitepaper which explains some of the theories discussed here: https://medium.com/@hypetoken/hype-whitepaper-c2945381574e

How are you going to test something if you give out the tokens for FREE, would this not devalue your token once it is being sold? People also do not like pre-mined tokens for this same reason. Most tokens increase in value, because people judge the coins value, based on it's usefulness. How useful are your token, apart from just being an experiment?

I am curious to find out how this experiment will turn out, so I will participate in the FREE airdrops for now, but I figure it will end in a almost worthless token with no real world use. 

That is the whole point of the experiment. To distribute the tokens to as many people as we can for FREE & see exactly how the collective psychology over being able to control the token's supply affects the overall value of the tokens. Tokens are already available for trading and you can view the markets here: https://coinmarketcap.com/currencies/hype-token

We'll see where it takes everyone.

[fiulpro]

Cryptocurrency users are often fascinated with the idea of monetary supply deflation and monetary supply scarcity (low coin/token supply). When we consider the Social Psychology in this Scarcity Principle, consumers tend to place a higher value on goods that are scarce than on goods that are abundant. Psychologists also note that when a good or service is perceived to be scarce, people want it more. However, it must also be noted that when a product is scarce, consumers are more likely to conduct their own cost-benefit analysis. A low supply yet highly valued token is more likely to be evaluated for its cost-benefits rather than generate market demands blindly. Particularly for a product (token) which does not carry any intrinsic value nor have any ‘qualities’. Additionally, the law of demand states that as the price of a commodity increases, demand decreases, provided other factors remain constant. Also, as the price decreases, demand increases.

Therefore, to permanently ‘increase the value of a product (money/coin/token)’ through scarcity, a growth in demand is necessary. Otherwise, markets will always only see temporary effects of the ‘artificial scarcity’ we collectively create through increasing deflationary rates.

So how is the inflation/deflation of a monetary supply managed in the world we are living in today?
- Federal Bank Reserves
- Government

All nations around the world (at least capitalistic ones) have a federal bank or a central bank which overlooks the nation's currency and its overall monetary supply inflation/deflation rates. Many factors such as national debts, wars, disasters, economic depression, trade deals, and so on... will have an impact on the central bank's decisions to print out more money (inflation).

But what if... instead of having central authorities and external factors controlling monetary supply, we could use the power of collective wisdom (crowd intelligence) to reach a consensus and manage/control the overall inflation and deflation?


WE HAVE CREATED A SOCIAL TOKENOMICS EXPERIMENT TO TEST.... JUST THAT!

We wanted to see if the crowd (people) can actually effectively manage and control the inflation/deflation of an economy (well, in our case, a tokenomy). If you need more information on how to join (we are just distributing all tokens for free via airdrops for maximum decentralized results), please read our ANN thread here: https://bitcointalk.org/index.php?action=post;msg=51782698

NOTE: We currently have over 25,000+ holders who have participated in the airdrop.

I think crowd control can only control to only an extent because of the governmental problems , they are the ones having the power over everyone thus you know it is hard for the general public to gain that much success...
Also the problem with the crowd control is , the thinking of each and every individual also at the same time everyone's life is different therefore not everyone can manage to go through it.

[HYPE_Token]

Cryptocurrency users are often fascinated with the idea of monetary supply deflation and monetary supply scarcity (low coin/token supply). When we consider the Social Psychology in this Scarcity Principle, consumers tend to place a higher value on goods that are scarce than on goods that are abundant. Psychologists also note that when a good or service is perceived to be scarce, people want it more. However, it must also be noted that when a product is scarce, consumers are more likely to conduct their own cost-benefit analysis. A low supply yet highly valued token is more likely to be evaluated for its cost-benefits rather than generate market demands blindly. Particularly for a product (token) which does not carry any intrinsic value nor have any ‘qualities’. Additionally, the law of demand states that as the price of a commodity increases, demand decreases, provided other factors remain constant. Also, as the price decreases, demand increases.

Therefore, to permanently ‘increase the value of a product (money/coin/token)’ through scarcity, a growth in demand is necessary. Otherwise, markets will always only see temporary effects of the ‘artificial scarcity’ we collectively create through increasing deflationary rates.

So how is the inflation/deflation of a monetary supply managed in the world we are living in today?
- Federal Bank Reserves
- Government

All nations around the world (at least capitalistic ones) have a federal bank or a central bank which overlooks the nation's currency and its overall monetary supply inflation/deflation rates. Many factors such as national debts, wars, disasters, economic depression, trade deals, and so on... will have an impact on the central bank's decisions to print out more money (inflation).

But what if... instead of having central authorities and external factors controlling monetary supply, we could use the power of collective wisdom (crowd intelligence) to reach a consensus and manage/control the overall inflation and deflation?


WE HAVE CREATED A SOCIAL TOKENOMICS EXPERIMENT TO TEST.... JUST THAT!

We wanted to see if the crowd (people) can actually effectively manage and control the inflation/deflation of an economy (well, in our case, a tokenomy). If you need more information on how to join (we are just distributing all tokens for free via airdrops for maximum decentralized results), please read our ANN thread here: https://bitcointalk.org/index.php?action=post;msg=51782698

NOTE: We currently have over 25,000+ holders who have participated in the airdrop.

I think crowd control can only control to only an extent because of the governmental problems , they are the ones having the power over everyone thus you know it is hard for the general public to gain that much success...
Also the problem with the crowd control is , the thinking of each and every individual also at the same time everyone's life is different therefore not everyone can manage to go through it.

This experiment does not involve governments.