Read on Twitter
$200M ICO Filecoin launch failed terribly, a big ponzi or very bad design
Three things come to mind:
1. trust derived from staking may not work
2. full trustless design may not be the right angle
3. governance is key
To understand, let's back up what happened with Filecoin. 1/ https://twitter.com/NicoDeva_/status/1317689811046522880
Three things come to mind:
1. trust derived from staking may not work
2. full trustless design may not be the right angle
3. governance is key
To understand, let's back up what happened with Filecoin. 1/ https://twitter.com/NicoDeva_/status/1317689811046522880
Filecoin requires stake to acquire trust. Sum of stake to utilize equipment at full capacity was unknown. Miners now run at fraction of capacity, causing a fraction of projected revenue to cover investment. Miners now have to buy more stake at stupid prices. 2/
Filecoin either miscalculated economics, or exploited investor trust, which is funny because requiring stake was designed so Filecoin would be trustlesss. It wasn't.
This means governance and transparency on economics failed as well. 3/ https://twitter.com/Rewkang/status/1317801385648214016?s=20
This means governance and transparency on economics failed as well. 3/ https://twitter.com/Rewkang/status/1317801385648214016?s=20
Filecoin essentially made a wrong assumption:
"Trustless high performance computing is possible"
For now it seems impossible and frankly they required investors to trust them and, clearly, they couldn't. 4/ https://twitter.com/chrisamccoy/status/1318024473862311936?s=20
"Trustless high performance computing is possible"
For now it seems impossible and frankly they required investors to trust them and, clearly, they couldn't. 4/ https://twitter.com/chrisamccoy/status/1318024473862311936?s=20
They want peers to acquire trust through a stake, penalizing them when not deploying enough collateral, forcing to either run at a giant loss or buy more stake.
It will result in an instant death spiral if forks (primitive governance) don't fix it. 5/ https://twitter.com/chrisamccoy/status/1317889379931574274?s=20
It will result in an instant death spiral if forks (primitive governance) don't fix it. 5/ https://twitter.com/chrisamccoy/status/1317889379931574274?s=20
It's scary how this was not tested on their testnet.
Security, storage and computation should have seperate economic systems and incentives.
It's why I like STORE ( @store_labs) and if any of this interests you, you should read their research. 6/ https://research.storelabs.org/a-separation-of-powers-in-storecoin-decentralized-governance-of-checks-and-balances
Security, storage and computation should have seperate economic systems and incentives.
It's why I like STORE ( @store_labs) and if any of this interests you, you should read their research. 6/ https://research.storelabs.org/a-separation-of-powers-in-storecoin-decentralized-governance-of-checks-and-balances
