Developers Forum for XinFin XDC Network

Discussion on: Increasing the Security and Decreasing the Supply of XDC

desmond_seeger_3a8a1bc8aa profile image
Desmond Seeger • Edited on

Before I cast a vote on yes or no.

May I ask ask the below questions and get some answers.
How does Ripple or Stellar Lumens overcome the issues of DDOS attacks?
Also what is stopping XinFin using SaaS masternodes?
The good thing of SaaS is high availabilty of the services and you can span your network across various geographical locations, without having to rely on someone keeping a node up and running, whilst trying to ensure that the machine has the latest antivirus and ensuring high availability without major downtime.
You basically take control of what the requirement, the node must meet. You can also scale your network up and down accordingly.

If you can mint more XDC to reward spun up masternodes, that also gives me the impression that more XDC can be minted and can be injected into the XDC token supply. Instead of minting more XDC, why not reward masternodes with a stable coin value, of what it costs to maintain the node, and offer a small bonus to ensure the person keeps on looking after the node?

I was under the impression that supply and demand drives prices and if you can keep on minting an unlimited amount of tokens, what will be the cost of per XDC token be in five to ten years from now?

In the future I wouldn't really want to transfer 33000 XDC tokens to settle a $1000 bill, I would prefer to see 1000 XDC to settle $1000 bill with very low transaction fees.

duts profile image
duts Author

Good questions.

Re: XRP/XLM, the main thing is that while their TX fees are quite low, their absolute value relative to the dollar is quite high. So the cost of a DDoS/DoS attack is going to be much higher.

Re: SaaS, we've got that already - XDC nodes are spread all around the world, with many hosted by cloud computing companies.

Re: minting, please note, new XDC cannot be minted on-demand, that's impossible; a small amount of XDC is minted automatically to reward nodes every 2 seconds or so (this is typical in PoS networks for the reasons I discuss above), but nobody can flick a switch and mint XDC.

Re: rewards for nodes, the dangers of a reward program like the one you suggest are discussed in my post as well as Jon McBee's post above.

Finally, please note that the only question on the table now is whether to increase TX fees. All of these other questions are related to that question in various ways, which is why I brought them up, but we'll have further discussions and proposals and votes to hash out the specifics of any increase.

desmond_seeger_3a8a1bc8aa profile image
Desmond Seeger

Hi Dust

Thank you for your response.

My vote is yes to increase the tx fees, only if increasing tx fees significantly reduces the amount DDOS attacks from happening on the Xinfin network.

lance profile image
Lance Lilly • Edited on

I believe XRPL proof of consensus mechanism has network fees fluctuate with demand on the network, which is still minimal.