This is my very first post on NEM official forum. I did write the same post on reddit and someone proposed me to copy the same content here to see if i can have any documented answer. So here is the post :
It looks like the NEM community is great, i’m sure i will get interesting answers. As english is not my mother tongue, i will probably make many mistakes and i’m sorry about it…
I’d like to introduce myself talking about how i got into cryptocurrencies and why, as an average internet user, i thought it would be useful. I somehow can represent the main target of tomorrow’s market, the “mass of individuals” with no particular technical knowledge.
I started to buy cryptocurrencies in 2017, before the “crazy market” we all knew at the end of the year. I first bought some Dogecoins before i understand it was mainly a community coin which didn’t have a real daily life or business usage plan (i don’t want to hurt their community but from here it’s what it looks like). I decided to learn the basics about cryptocurrencies and blockchain to be able to make the right choice. I wasn’t able to get the maths but i got how it works roughly. I was looking for THE cryptocurrency, the one which will be much better than others, the one which might be used by anyone for many kind of purpose. The one which is eco-friendly, easy to use and with a promising future.
I spent a lot of time on coinmarketcap and checked first 250 cryptos to understand what is different, better or worse in one or another. Then i started to invest in Burstcoin. It is eco-friendly, minable by anybody with a hard disk, provide smart contracts and had a plan for future improvements. But the best members of the team behind just left and it’s not clear what is going to happen. They hid they were doing dual mining on their pool with a copy of Bitcoin using proof-of-capacity (it hurts when you trust…). I eventually understood that the most important in cryptocurrencies is the team, the trust and real life usage.
I was disappointed and wanted to quit the crypto market until i look in detail at NEM. It is centered on real life usage, it is user friendly with an easy to use interface, its POI is sustainable and it has many great features and great projects.
I really like this crypto but there is something i think could be improved, tell me if i’m wrong : the fees.
I’m not the first one to point out this problem : it costs several NEM to make a transaction or to do anything like create a mosaic.
It is the way it should be, right ? I mean, there must be some money to give to those who are securing the network.
I thought it had to be this way until i see Skycoin project (i heard NEO is doing something similar) : there are two currencies. The main one is the coin itself. The second one is naturally created when you own some coin : each hour you get 1 coin hour for each Skycoin you keep in the wallet. To avoid the inflation of the “coin hour” the network burns half of the coin hours you have when you make a Skycoin transaction and the coin hour allow you to operate everything on the network. You don’t pay any Skycoin to make a transaction, you “burn” half of your coin hours. That’s all. Completely free.
I think it’s a great idea as it doesn’t really cost anything to make a transaction. Burn half of coin hours also prevent spam on the network. Coin hours have a value (like NEO gas) and they are sold on market exchanges.
I know the main NEM target is companies. They have money, they were about paying to get the same services if they were centralized. NEM allow them to drastically lower the fees to have a much more secure database, it’s already very good compared to what they would have without the blockchain.
But i think that the future of cryptocurrency must include both individuals and companies. As for individuals, since most centralized banking transactions are free of charge today, why would people pay to get this kind of service ? I’m a crypto enthousiast and i care about decentralization, but do you really think that most of people do ?
Bitcoin make people think they got the digital gold because of scarcity so they accept to pay miners fees. It is different when you bring a coin which is made really to be used as is to operate different kind of things.
What do you think about it ? Could something like “coin hours” be implemented on NEM ? Sorry if i’m asking a stupid question…
Thanks in advance.
Edit : i got some answers on telegram, but i think it’s interesting to get new answers as it can bring new point of view of what fees should be and how to pay them.