The LunarX questionnaire:
Q: What is the economy model of LunarX?
A: LunarX supports the operation of various DApps, so the circulation rate of LX within each DApp is an independent component, and the equation of exchange is as follows:
MV = PT
M: size of the asset base;
V: velocity of the asset;
P: price of the digital resource being provisioned;
Q: quantity of the digital resource being provisioned;
The implied takeaway from the equations is that token velocity has an inverse relationship with the value of a token. More succinctly, the longer participants hold onto their tokens, the higher the price of their tokens.
Q: What is the economical reason for LX to become the major currency over the system? Why should people buy LX?
A: One of the participants in the system, DApp developers, if they need to sell a service/content, need to initiate a contract and hold a certain amount of LX.
LX will be paid to the miners during the contract execution. The miner will receive the LX from the system as a mining award and will also receive the LX from DApp. DApp developers, content publishers on DAPP, need to buy LX to store their data.
End users can pay with BTC, LX or other coins/tokens, depending on the designs of the DApps. So miners and Dapp developers will earn these tokens.
Since the exchange frequency will be high, this will limit the price, but the total amount can be expected to be large, so it will also raise the price and eventually reach a equilibrium of a certain BTC exchange rate.
The BTC paid by the user is allocated to the miner according to the proportion of the DApp customization. This ratio is determined by the developer of the DApp (equivalent to the publisher of the smart contract). If he pays the miners too little, the miners will choose to serve other Dapps.
The pricing unit for miners and DApps is LX. At the user end, the autonomy of choosing what token to pay for belongs to the developers and content producers. If they think that there is room for arbitrage, they can sell BTC and replace it with LX to pay the miners. This is not determined by the LunarX system.
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