# kaal:claim:3125822-026

**Claim.** The token economy is inflationary at equilibrium, and this inflation is a feature rather than a defect because it improves security and discourages rent seeking holding of reputation.

**Type.** mechanism  **Support.** argued

**Holds when.**

- assumes fees keep entering the system and new tokens are minted with each fee

**Source quote.**

> The conclusion is that the economy is inflationary at equilibrium, which improves its security and discourages rent-seeking.

**From.** Craig Calcaterra, Wulf A. Kaal, Vlad Andrei, *Blockchain Infrastructure for Measuring Domain Specific Reputation in Autonomous Decentralized and A* (2018), 4.4.2.2 More reputation calculations, page 21

**Cite as.** Craig Calcaterra, Wulf A. Kaal, Vlad Andrei, Blockchain Infrastructure for Measuring Domain Specific Reputation in Autonomous Decentralized and A (2018). SSRN: https://ssrn.com/abstract=3125822

**Verify.** sha256 of source PDF `d4d0bbaa3260968226186131d60e6d64a53e904d94e4295c61fd17042f1191ef` at https://raw.githubusercontent.com/wulfkaal/Academic-Papers/main/papers/pdf/Calcaterra%20et%20al.%20-%202018%20-%20Blockchain%20Infrastructure%20for%20Measuring%20Domain%20Specific%20Reputation%20in%20Autonomous%20Decentralized%20and%20A.pdf

**Topics.** tokenomics, consensus-and-security

**Keywords.** inflation, rent-seeking, token-value, security

**Related claims.**

- restated_by: https://wulfkaal.github.io/claims/3125827-038

**Canonical form.** This markdown file is the canonical hashed representation of the claim. Its sha256 is the content hash used for attestation.