TON - Stable Currency

EVER DAO
#1

Here we will discuss how to make TON a stable and transactable crypto-currency. We are looking for your suggestions and innovative ideas.

We don’t want TON to become another crypto asset where whales will play pump and dump games.
We want TON to become what everyone have envisioned a truly digital currency, with which we will be able to buy an ice-cream from an ice-cream cart.

And to achieve this goal and save TON from whale investors and spectaculars. We want to have a stability in TON so that everyone feel confidence in accepting it that be an investor or an ice-cream seller.

Please give suggestions and innovative ideas through which we can achieve this goal :v:

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#2

A stable value is probably one of the most important things a currency must grant.
Since the main purpose of a currency is to buy products and services, it needs to give the user substantial stability to grant him a constant purchasing power.
This is the reason for which the main world countries adopt stabilizer tools to maintain a constant value of their currency. The most important tool is the monetary policy that can modify the available money supply, for example printing money or changing the bank leverage rules (quantitative impact) or can modify the interest rate changing the speed the money moves (mobility impact).

The crypto world, from its very beginning, sacrificed itself at the speculators because it lacks any stabilizer tool.

IMHO this is the only real reason for which BTC is not yet a real currency, i.e. it’s not a currency used for real transactions.

We saw a lot of attempts to create a stablecoin but the only three solutions adopted are:

  • coins tied to a FIAT currency;
  • coins tied to a group of crypto currencies;
  • coins tied to a raw material.

The first group is really crowded. Think about USDT and USDC, the never born Libra and many many others.
Usually a stablecoin like this is really stable: you can always change an USDC with one USD and vice versa.

The second group, coins tied to a group of crypto currencies, has no meaning at all (IMHO). The main crypto coins (BTC, ETH, XRP) have proved to move all together in the same direction, up or down, in the exact same manner.
Instead the minor coins have proved to move all in one only direction: down.
A coin tied to a group of other crypto, can’t move in any other ways than its reference coins, which move all in the same direction and, often, in a violent and sudden way… so what’s the point to create something that goes up and down like any other coin? Unless you call it RLC (rollercoaster).

The third group, coins tied to a raw material, is the most interesting one. If you tie a coin with a raw material value, you stabilize its value accordingly with the raw material value.
Today the most common raw material used to back a crypto currency value is gold. We have a lot of crypto backed with gold (OGC, DGX…).
Backing a coin with gold is smart but, guys, the FIAT currencies are no more tied to gold since decades, why the hell should a crypto do that?
And… are you really sure gold is so stable?
https://www.macrotrends.net/1333/historical-gold-prices-100-year-chart
Indeed gold is a safe asset so you can appreciate peaks during crises and dips during good periods. It’s not a good product to stabilize something, but I appreciate the sense of this.

Let’s see another graph now.
https://www.ons.gov.uk/economy/inflationandpriceindices/timeseries/czoh/mm23
It’s the bread price (we don’t care a lot which region is involved here).
Not as stable as we can think but surely less susceptible than gold to the peaks and pits. Well people need to eat all day even during a crisis.
Is the constant price increase explainable in any way?
Sure it is. It’s due to the inflation.

So what? Should the TONCrystal be tied to the bread price?
Not exactly because bread is a product subjected to policies, competition with other substitute food, food trends, food culture, it’s easily self-produced by anyone during an hypothetical lockdown…
But we can use it to think about the concept of stability.

  1. A FIAT currency is not stable. It fluctuates accordingly with the inflation. So if today you buy a piece of bread with one currency unit, tomorrow you’ll probably need “one and something” currency unit.
    Is this the stability we are searching for TONCrystal?
    I think no.

  2. if TONCrystal wants to become a payment method it’s because it wants to be exchanged with real things, for example with bread, not with other currencies. Remember that even the other currencies were born to be exchanged with bread for first.

It really seems that the only stable value here is the intrinsic bread value, not the currency value, i.e. the value or the real things people need/want to buy.

Let’s see my proposal now.

In every developed country we have an index that represents the inflation, which is the real oscillation of a currency value in its own market.
The inflation rate represents the correction you have to consider when you think about a currency value from one period to another.
So if you want your entity to preserve its intrinsic value you have to change its cost accordingly with inflation. Bread price goes up.

To make a simple example, if the TONCrystal value is initially fixed to 1 USD, from this moment on, the pair value has to be changed accordingly with the inflation rate of the US.
If the inflation rate is 2%, in one year the TONCrystal pairing value must become 1.02 USD.

The cons of this approach is that the TONCrystal market could be illiquid for a long period because since it is not allowed to fluctuate accordingly with the supply and demand, you can’t lower its price so you could be forced to keep your coin for a long time.
If I have a TONCrystal that costs me 1 USD and now its forced value is 1,02 USD, I probably want to sell it to make my 2% gain, but I have to find a buyer on the market and it’s possible there is no one in the brief period.
The illiquidity of a market is exactly the nightmare of every speculator, while the people who believe in TONCrystal can continue to use the token to buy or sell things or services.

But it’s not enough.
Tie a coin with a single currency is a risk. What if the US experiences a violent inflation or a deflation because of an internal economic problem? The rest of the world sees that TONCrystal fluctuates in violent ways because of the exclusive pairing with US inflation and it’s not good.

A good payment system should be neutral worldwide, not nationwide.

So the final proposal is to choose a group of currencies (USD, EUR, GBP, JPY, CAD, AUD, and some others…), choose a date, we can call it the “Currencies Doomsday”, and start TONCrystal with one value for every currency pair.
If today is the doomsday, the pairing values should be:
1 TONCrystal = 1 USD
1 TONCrystal = 0.91 EUR
1 TONCrystal = 0.82 GBP
…

From this moment on, every pairing value starts to fluctuate accordingly with the inflation rate related to the currency issuer nation.
So for the pairing with the USD it’ll be the US inflation rate, for the pairing with the EUR the Eurozone rate, the GBP the UK rate, and so on.

This way a local inflation crisis can’t impact the real value of the TONCrystal coin: in every nation you’ll be able to always buy the same goods with the same TONCrystal amount.
The violent quotation correction for the pairing value of that area, will be coherent with a similar violent quotation correction in the currencies market because the internal inflation is usually tied with the currency market valuation.
Again the problem here is that the inflation reflection on the currency market valuation is not immediate nor assured so you could have an imbalance that makes the TONCrystal market illiquid for that particular pair.
But again the important thing is not the possibility to change the token with FIAT, but to buy things with the token. This is the reason for which every pairing value continues to work well inside the country where that currency is used.
Then, in the long period, the inflation will be reflected on the currencies market and the TONCrystal market for that currency will return liquid.

#3

We want TON to become what everyone have envisioned a truly digital currency, with which we will be able to buy an ice-cream from an ice-cream cart.

If you want TON to be the currency for trade transactions, you need to consider a number of psychological characteristics of people:

One unit of currency (1 TON) should not cost a lot of money for the average user, as is currently happening with Bitcoin.

Everything that comes after the decimal point (0,…), the maximum can cost ice cream. It’s easier for people to spend their numbers when there are a lot of them visually.

The same is with its receiving. But then again, there must also be a balance, and it’s not worth creating “Zimbabwean” values.

The optimal, in my opinion, would be the rate of 10 TON = 1 USD.

Accordingly, if you plan to involve 1 billion users in active economic activity, it is necessary to take into account at least $1000 per user, respectively, according to the conditions stated above, at least a trillion tokens should circulate in the network.

The value of the currency must be stable. Price shouldn’t vary significantly over extended periods of at least one year.

In my view, the mistake of modern decentralized currency projects in the matter of mass adoption is that they are trying to become a substitute for bank cards, i.e. go offline. And it looks like an attempt to punch above its weight.

In my opinion, cryptocurrencies should primarily consider the existing market for electronic money/ internet payment systems (PayPal, WebMoney, ePayments, Capitalist, Perfect Money, Skrill etc.).

In order to create ideal conditions for users of electronic money, it is necessary to fulfill the following conditions:

  • hard binding (in one way or another) to the rates of stable national currencies
  • ecosystem including gateways to other financial systems, even fiat
  • rating system to determine the user’s reputation level
  • KYC ONLY as an option, without reducing the limits on operations
  • the ability to conduct completely anonymous transactions
  • governance ONLY as an option (
    funds cannot be frozen solely at the whim of the issuer
    or external forces)
  • ecosystem for closing deals between users
  • ecosystem for automated payment acceptance for online stores

YO, you are the leader of the market! However, but only till system will be seized by FBI, lol

Original text

Если вы хотите, чтобы TON был именно валютой для совершения торговых операций, то необходимо учитывать ряд психологических особенностей людей:

Одна единица валюты (1 TON), не должна стоить бешеных денег, для среднего пользователя, как на данный момент происходит с Биткоином.

Всё, что идёт после запятой (0,…), максимум может стоить мороженого. Людям проще тратить свои цифры, когда визуально их много. То же самое и с их получением.

Но опять же, здесь тоже должен быть баланс, и не стоит создавать “зимбабвийских” значений.

Оптимальной, на мой взгляд, был бы курс 10 TON = 1 USD.

Соответственно, если вы планируете вовлечь 1 миллиард пользователей в активную экономическую деятельность, необходимо брать в расчёт, минимум 1000 долларов на пользователя, соответственно, про озвученных выше условиях, в сети должно циркулировать как минимум триллион токенов.

Стоимость валюты должна быть стабильной. Цена не должна меняться значительно в рамках продолжительных периодов, по крайней мере от одного года.

На мой взгляд, ошибка современных проектов децентрализованных валют, в вопросе массового принятия, заключается в том, что они пытаются стать заменой банковским картам, т.е. выйти в оффлайн. И это выглядит как попытка перепрыгнуть через свою голову.

По моему мнению, криптовалюты, в первую очередь должны рассматривать существующий рынок электронных денег/ЭПС (PayPal, WebMoney, ePayments, Capitalist, Perfect Money, Skrill и т.п.).

Для того, чтобы создать идеальные условия для пользователей электронных денег, необходимо выполнить следующие условия:

  • привязка (тем или иным образом) к курсам стабильных национальных валют
  • экосистема включающая в себя шлюзы в другие финансовые системам, в том числе фиатные
  • рейтинговая система, для определения уровня репутации пользователя
  • KYC только как опция, без уменьшения лимитов на проводимые операции
  • возможность проводить полностью анонимные транзакции
  • говерненс ТОЛЬКО как опция (средства не могут быть заморожены исключительно по прихоти эмитента или внешних сил)
  • экосистема, для заключения прямых сделок между пользователями
  • экосистема для автоматизированного приёма платежей для интернет-магазинов

YO, you are the leader of the market! However, but only till system will be seized by FBI, lol

1 Like
#4

You have to keep in mind… people are using digital currency to make money. Not look for another dollar, if TON attempts to create a stable currency, the United States will strike down, sanctions, and bully any government accepting it into a submissive position. Look at what they did to libra. They just created laws out of thin air that threatened to imprison its creators.

#5

Democratic assignment.
I would assign 90-80% of tokens equally to all subscribers. The remaining 20% ​​create a fund that can be used to provide loans for social utility projects.

1 Like
#6

We’re not going to do that. Distribution will be merit based. No freebies, sorry.

#7

Ok… Thanks, where can I find the rules in Italian… I have little problem to translate…

#8

I have a new proposal… I don’t find where I have to publish…

At this moment there is a need for visibility, to promote the token ton, the philosophy and the free ton community.
Tons could be assigned based on contacts, likes, articles, videos and all the members produce to advertise the ton crystal philosophy and coin.
For example, give a ton for each shared article, video produced or for the number of likes obtained on social networks such as Facebook, Instagram, YouTube.

#9

Хорошо если сбудется,но конкуренция большая в криптомире,нужны масштабные проекты,для привлечения аудитории и действительно повсеместно и повседневное потребление.

#10

I think it’s too early to create a collateral stablecoin. In addition, now we need to promote native coin.

#11

Excuse me… what do you intend with native coin?
Today the free TON project has no coin at all.

#12

ton.live – you can see all the coins :slight_smile:

#13

why is it a contradiction?

#14

I think now is the time to create a stable foundation for ecosystem development. For collateral stablecoins, it is important to have good liquidity. If the coin does not have much liquidity, then it is dangerous to use it as collateral.

I think it’s more important now to develope and promote Crystals.

But I think the time for stablecoin will come.

1 Like
#15

:+1: absolutely right 100% . There is a need of wallets with Crystals.

1 Like
#16

Please forget about TON to be a real currency. It’s next a generation money management solution. Individuals should earn TON by doing some work. For instance, freelancer portal were users can earn TON by completing some work.

As soon you allow FreeTON to be exchange to real money it will be banned.

Please think of FreeTON as mars mission where no economy or civilization in place and you are building economy from the ground without banks.

FreeTON should never get interest rate or any other type of loans.

FreeTON should never be any type of security or stock.

FreeTON - distributed system of human resources in the way where everyone is benefits by their true work without speculation or fake billionaires which can transfer their fake funds into TONs.

#17

This is a wonderful future that you described. I hope this will come true, in the best way for humanity in general and in a better way for every human being, but camon … this is a utopia, some homo sapiens have a wild desire to control other people.

#18

I’m expressing ideas not statements ! Let’s stop argue and brainstorm.

#19

IMO we need to start thinking of these designs now. If there are people who would like to work in that direction – why not? I believe for any DeFi application we need stable coins in the network. I also think they should be part of the Currency Collection.

#20

Курс Free Ton жёстко привязать к BTC, не выходить на криптобиржи, пока сообщество не окрепнет
.

2 Likes