I propose adding a complete burn of all network fees to the network upgrade protocol for both Tezos and Etherlink.
The amount of XTZ burned can be used as a guideline for how much the network breaks even. The network will only break even if the burn rate equals or exceeds the inflation rate.
In addition to sunsetting liquidity baking, an excellent idea!
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My vision of how it should be. Bakers receive rewards solely from the protocol, and users burn XTZ when making transactions, thereby reducing or completely eliminating inflation, with the potential to make the network deflationary.
The task for TF and the community is to figure out how to attract users and encourage them to make large numbers of transactions. With the current inflation rate and low transaction fees (0.001-0.002 xtz), the network needs to handle approximately 25 billion transactions per year to be self-sustaining. ![]()