ICX Inflationary to Deflationary model


Here is an idea for Icon circulation supply and ICX burning model. ICX could migrate from inflationary model to deflationary model.

In current stage we have inflationary model for use to build the system and for development, network growth etc. Later, we migrate to deflationary model, to increase value of network.

ICX could be burned from network fees but also from non productive system. For example non productive p reps.
Please note that this is just for now an idea, but maybe it could be good one if modified.


It would be good if you share specific ideas of how to burn ICX. Lowering newly minted tokens is not the same thing, so you can’t just take from non-productive p-reps. That won’t lower supply, only lowers new supply.

Transaction fees and excess in the CPS are two ways we burn ICX currently. BTP also sends funds to CPS to contribute to burning

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Well, yes, I dont know actually structure how coins are distributed and how many coins goes to circulation and in what phases (monthly, or…)
Is there a hard cap for Icon or it will increase over time reaching above Total supply with inflation.
I think ICX could be burned from transaction fees, that seems like a good way. However, I would not take it from CPS fund. Maybe you can find some way to do it.
I would also look for a decrease of ICX distributed to p reps (but not all), and this may influence ICX supply. I would have here some sort of p reps performance measurement (community + Icon team), where p reps that does nothing or little get minimum ICX tokens.
Note: I have removed picture as its obviously not possible this model I presented with big deflation.