[didroe]

All of the cryptocurrencies I've seen so far seem to based on a simplistic and fundamentally flawed view of economics. A long term trend (whether inflationary or deflationary) in the overall supply is insufficient to target price stability.

A currency's supply needs to increase/decrease in response to what's circulating at this moment in time. If the overall supply is increasing but everybody is squirrelling it away or deleveraging debt positions, then you're still going to have deflationary effects. Case in point, roughly 20% of USD was minted in the last year or so, with pretty much no inflation. Similarly with something like Bitcoin, if some event were to trigger a spending/selling spree (or a debt bubble were to form) then you would have inflationary effects.

What's needed is coordination to increase/decrease the supply as needed. That could be done with some kind of decentralised voting system. But I'm not sure it could react fast enough in a crisis, or be able to direct the action to the right parts of an economy to avoid the kind of damage that takes decades to undo.

[sebmellen]

Have you looked at https://reserve.org? Might interest you!