Questions
- What is the hash rate? and what affects it? (For example, advances in technology?)
Goal: Distill an exposition of Qi and Quai in terms of
- Problem: want endogenous pricing, independent of fiat currencies
- Principle: bimetallism, Gresham's law
- Analogy: relate them to entropy and free energy, or kinetic and potential energy
- Formula: formulate a useful calculation such as for a Kalman filter
Qi Quai
- Qi: Issuance rate proportional to hash, tied to mining difficulty, making it a proxy for energy costs. (Stable price)(Medium of exchange)(Fixed denominations, no scripting)(Emissions on logarithmic curve.)
- Quai: Issuance rate linked to bits of difficulty, increasing at a diminishing rate to create scarcity. (Exponential growth in price)(Store of value)(Smart contract capabilities)
- Can convert qi to quai or quai to qi at the protocol rate.
- When there is demand for qi, it is mined (if it is more expensive than the production rate), and quai is converted to qi.
- When there is a surplus of qi, then it is burned to mint quai.
Selling points
- Get rid of MEV (maximal extractable value), relevant for decentralized finance, defi, DEXs (decentralized exchanges)
- Can dynamically increase supply transactions with demand and guarantee that if you mint an NFT (non-fungible token) it will stay at one penny, relevant for https://rarible.com to guarantee low price large quantity mints over time
- Payments: Decentralized scalability and stability (endogenous unit of account)(because linked to the price of electricity)(relevant for unstable nation state currencies)
Mechanism for consensus
- Proof of entropy minima
- energy to computation to symbolic value transformation
Steph Macurdy
- A theory explaining the interconnected drivers of 21st-century crises, especially global catastrophic risks, and a triage strategy involving decentralized technology.
Literature
- Qi Quai documents
- Brave New Coin. Quai Network - Energy-based Money for the 21st Century. 4 advantages.
- Stephen Macurdy. Thermoeconomics. about Stephen Wolfram and Karl Kreder.
- Steph Macurdy. Economic growth in the game of life.
- Steph Macurdy. Proof of Entropy Minima From Big Bang to Blockchain.
- Eric Chaisson. Free Energy Rate Density.
- https://wiki.p2pfoundation.net/Free_Energy_Rate_Density
- Eric Chaisson. Cosmic Evolution.
- https://www.youtube.com/watch?v=Troj1savkLI