Oxford proposal - adaptive issuance discussion

Could you expand on this point? When I was crunching some numbers, at 30% Tez staked I got issuance of ~0.7% (6 times lower), and it continues to decrease as staked XTZ grow. Dynamic rate is quite low to ensure substantial issuance growth and over that period bakers will remain under significant pressure to cover their costs.

Here is a spreadsheet I made. If you find mistakes in there, let me know!

I’ve shared more detailed perspective on Oxford AI that we have at P2P ORG right now in a recent forum post. I believe that AI parameters should maintain positive baker economics even considering that market conditions will get worse. Putting XTZ self-bond to work should make sense from the opportunity cost perspective as well (e.g. versus locking funds in vanilla ETH staking).

P.S. AI reflecting the price of XTZ might be something to consider but at this point of time to me it looks like an over-complicated mechanism that will have to rely on oracles and might result in harsh issuance fluctuations (maybe not but some modelling will be needed). In any case, we should continue this conversation around AI parameters whether the current proposal is approved or declined.