Inflation model of Hilarium Coin.
Let’s learn about the Inflation model of Hilarium coin.
Hilarium maximizes the coin value and aims to create a stable Hilarium ecosystem by inducing initial coin participants to participate actively.
The ratio of newly issued coins through an air-drop compared to the total currency supply volume is called the issuance rate.
The issuance rate of the Hilarium Coin to staking is 5% annually.
Howewer, the initial entrants can have as a benefit annually 10%, 9%, 8%, 7%, 6% of the issuance rate.
Afterwards the issuance rate will remain at 5% .
An account that stakes the coin, obtaining newly issued coins depending on proportion of the staked coins.
While the total issue amount is fixed, 100% of all issued coins can not be staked, the actual proportion of coins that are air-dropped to each account is higher than the issuance rate.
This is a phenomenon that occurs, because the less the staking-made ratio is, the larger becomes the share that every account can obtain about the same issuance rate.
Here we can introduce the concept of air-drop multiple and define it as follows.
Air-drop multiple = 1 / proportion of staked coin from total coins.
This is the obvious result because the less the stake ratio is, the greater the amount of air-drop per account.
For example, when 50% of the total issued coins are staked, the air-drop multiple is 1 / 0.5, that is, it doubles.
If 25% of the total coins are staked, the air-drop multiple is quadrupled (1 / 0.25).
Also, if 75% of the total coins are staked, the air-drop multiple is 1 / 0.75 = 1.33.
In other words, an additional air-drop of about 33% compared to the issue rate - occurs in the account that has staked.
Here, we can define the air-drop ratio, that is, the actual air-drop rate, compared to the actual staked coins of each account, as follows.
Air-drop rate = rate of issue x air-drop multiple
For example, if the issuance rate is 10% in the early days of coin issuance and the 25% of the coins are staked, it will have the following air drop rate.
Air-Drop Rate = 10% x 1 / 0.25 = 40%
Thus, initial participants in the coin market can expect larger real air-drop rates.
If some time passes and coins are somewhat matured, the issue rate is 5 %, and If the staking ratio is 75%, the air drop rate will be as follows.
Air-Drop Rate = 5% x 1 / 0.75 = 6.7%
Even if this is the case, it will not be a bad rate, and as the staking ratio rises, coin prices are expected to rise further, and additional benefits are also expected.
