<p>You could try demurrage, where the value of one's holdings is intentionally reduced periodically. <a href="http://freico.in/" rel="nofollow noreferrer">Freicoin</a> is the only example I know of in the crypto space.</p>

CC BY-SA 3.0
2018-04-09T18:07:35.157Z
2018-04-09T18:07:35.157Z
ScottJ
<p>Is it economically and practically possible to create a system where investment cannot take place?(or if it does, it doesn't affect the system in a big way like Bitcoin had extremely high prices due to low supply and high demand)</p>

<p>What I thought of is a system where after a certain threshold(coins*time_left_inactive) the coins return to the system as a reward to every miner proportional to the hashing power they provide the system with.</p>

<p>But this has a problem, in order to bypass said limitation one can just continue transactions between two(or more) wallets and miners would be mining fake(I couldn't think of a better term here) transactions, greatly increasing the hashing power the system requires unnecessarily. </p>

<p>I don't know of any existing currencies that tackle said problem(Obviously)
So if there are any, please let me know, I'd like to look into 'em.</p>

<development>
How can a cryptocurrency demotivate investment in favour of continued transactions?
Galactus Gryffindor
# How can a cryptocurrency demotivate investment in favour of continued transactions?

(Asked by: username_0 on 2018-04-09)

Is it economically and practically possible to create a system where investment cannot take place?(or if it does, it doesn't affect the system in a big way like Bitcoin had extremely high prices due to low supply and high demand)

What I thought of is a system where after a certain threshold(coins\*time\_left\_inactive) the coins return to the system as a reward to every miner proportional to the hashing power they provide the system with.

But this has a problem, in order to bypass said limitation one can just continue transactions between two(or more) wallets and miners would be mining fake(I couldn't think of a better term here) transactions, greatly increasing the hashing power the system requires unnecessarily.

I don't know of any existing currencies that tackle said problem(Obviously)
So if there are any, please let me know, I'd like to look into 'em.

**Tags:** development


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## 1 answers

### Answer by username_1 on 2018-04-09. Score: 0 | Accepted answer

You could try demurrage, where the value of one's holdings is intentionally reduced periodically. [Freicoin](http://freico.in/) is the only example I know of in the crypto space.


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