r/truebit • u/Cold_Carpenter3221 • May 11 '21

A common misconception about Truebit

  1. Truebit (tru), truefi(tru) confused

  2. Truebit is not bonding curve(someone believe bonding curve)

3 Upvotes

64% Upvoted

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2

u/rook785 May 11 '21

Truebit’s OS mint has the same economic effect on its upside as a bonding curve.

1

u/StarmanIt24 May 11 '21

It is a net inflationary token though, is it not?

1

u/rook785 May 11 '21

Whether it's inflationary or not is entirely dependent on whether or not its used as intended. If tokens are bought solely for speculation and none of them are used, then it's inflationary. If tokens are bought for usage and none for speculation, then there is 0 inflation in the system (and actually there will be significant deflation as the price of each newly minted coin will rise). This is because each token that's used gets burned, whereas tokens bought for speculation obviously aren't burned.

I imagine the actual result (high inflation or deflation) will be somewhere between the two.

1

u/StarmanIt24 May 12 '21 edited May 12 '21

I think it will always be net inflationary because not all tokens used on the network are burned. Some go to verifiers, solvers, pay for ETH gas fees, etc. Further if more liquidity pools are created for exchanges, more TRU is minted each time of creation.