Freicoin $FRC

Freicoin is a unique cryptocurrency project that stands out for its implementation of demurrage, a mechanism that aligns the interests of bankers and financiers. Designed with an innovative financial perspective, the currency loses about 5% of its value annually, with the depreciated amount being permanently removed from circulation. To keep the supply constant, an equivalent quantity of newly minted Freicoin is introduced.

The Core Concept - Demurrage

The crux of Freicoin's design is the concept of demurrage. This essentially is a built-in depreciation mechanism where a certain percentage of the coin's value is reduced annually. For Freicoin, this reduction is set at approximately 5% per annum. This unique feature differentiates Freicoin from other cryptocurrencies, as it discourages hoarding and promotes circulation.

Impact on Bankers and Financiers

Freicoin's design encourages its use as a medium of exchange over a store of value. The demurrage feature makes holding onto the currency less attractive, thereby incentivizing users to either invest their Freicoins or spend them. This aligns with the interests of bankers and financiers, by encouraging economic activity and promoting financial liquidity in the market.

Coin Supply Management

To maintain the coin supply, an equivalent amount of fresh Freicoins are minted to replace those that are taken out of circulation due to the demurrage. This ensures a steady availability of the currency, supporting its continuous use and acceptance in the financial markets.