Gentlemen, good night. As everyone can see, I have been questioning

Question

Gentlemen, good night. As everyone can see, I have been questioning

and seeking a better understanding of the reef economy, to be more specific with the stake x inflation relationship.

I think the objective and importance of the stake is already known to investors, but I think it is worth remembering that it is important for the security of the network and also the maintenance of liquidity. We can cite at least these two examples.

Maybe some don't know but the reef network is based on NPOS, and we can understand its dynamics as:

"Subform of PoS, in which token-holders can still participate in the security and maintenance of a blockchain without having to actively operate a node. In NPoS systems, token-holders nominate a set of different validators with their stake using one transaction.

NPoS tries to achieve decentralization and fair representation through proportional justified representation and high security through maximin support. Slots in the active validator set (which changes periodically) are assigned to validators proportional to their nominations (proportional justified representation).

Once in the set, the maximin support provides for a distribution of nominated stake so that every validator in the active set has roughly the same amount of stake backing it."

Having explained these concepts, I tried to understand a little about the reef economy, how is the inflationary dynamics?

I started from the premise that the dynamics are similar to polkadot.

https://swiss-staking.medium.com/polkadot-inflation-staking-reward-4ea753380e0e

In this link I imagine that we can get closer to an understanding of how inflation occurs, its importance. I had difficulty understanding how increasing the stake could be beneficial in the face of inflation, but I think I finally understood the proposal that allows inflation to progressively decrease with the increase in stake. The more reefs guaranteeing the security, decentralization and liquidity of the network, the lower the rewards and inflation.

In summary, I think this inflation may be temporary, if we increase the number of validators and coins in stake, we can, in the medium term, experience the drop in rewards and consequently the deceleration in the increase in inflation. Increasing the number of validators, despite not being intuitive, is another beneficial factor for controlling inflation, in addition to the burning caused by the use of the network.

To the administrators, I don't know if I had the wrong understanding, but as my proposal is always to help and seek the best, I decided to expose this understanding, which, if correct, can help to clarify doubts and reduce mistrust.

thank you so much.