Lol, this is a different look at things, never thought that someone would want to bring inflation rates to cryptocurrencies, especially since a lot of people have holdings in crypto to prevent inflation from hitting.
It's a weird idea, but it does have a possible use case and might work - but personally, the inflation rate is too high, 7% is more than double what regulation inflation rates are in advanced economies.
It's interesting, but it'll be a very short-term coin and likely would die in the long term fairly easily.
When I first thought about it, I also thought it could be a fun joke.
If you take the current fiat base, like USD, and inflate at 7% per year, then I think 7% is high. But with a crypto chain, we start from 0.
The reward system is:
0: 50 (supply: 10 million)
1: 25 (supply: 15 million)
2: 12.5
3: 6.25 (end of halving)
4: 6.56 (start of inflation 7%)
5: 7.02
6: 7.51
7: 8.04
8: 8.60
9: 9.20
10: 9.85 (supply: 31 million)
It'll take almost 30 years to reach 100 million supply. That is not a lot. Seriously.
Ah... I see now, so just to fully clarify, I'm assuming that the rewards are made via mining? And it's similar to bitcoin in that sense, where it starts halving first, to reach 6.25 per block reward, and then it starts inflating?
I think 30 years is more then enough when it comes to a crypto-currency, I personally don't think Bitcoin would survive another 20 years, possible 15 or so before we see new tech coming.
Fun concept, I would love to see it implemented!
