In this article, I wanna compare Bitcoin/Litecoin, Steem/Hive and SwiftCash in terms of which one is more capitalistic. But before I do, I wanna make sure we're on the same page as to what I mean by capitalism. What I mean by capitalism is simply rewarding capital more than anything else. Let's face it. Everyone wants to save except of course dummies who rely on Uncle Sam to save their ass in case shit hits the fan. But every wise man and woman I know wants to save part of their hard earnings for a day that they might need to spend it. Looking for an asset that is capitalism friendly is almost every wise man's search. If you don't wanna save for whatever reason, then save yourself the time and don't read the rest of my article. Furthermore, I wanna make it clear that I am not against any of the coins here that I am going to compare and I personally have diversified in all of them and everyday I want more of all of them plus some other assets which I'm not going to mention here.
Let's start with Bitcoin and Litecoin. These two are essentially the same in many ways and that's why I put them in the same paragraph. The way these coins are mined are through a Proof-of-Work algorithm. Now this sounds like socialism where work is rewarded as opposed to capital. But that's just what it sounds like. In fact, the sound is far from the truth. To mine these coins you need strong hardware and electricity. You cannot have strong hardware and electricity without having capital first. You see the work is not done by humans such that anyone would be able to do it, but rather by machines which need to be paid for. That is 100% of the coins mined and you can buy them in the market and once you buy them you fully own them and they become your property as long as you wish to HODL them. That is pretty much as close as you can get to capitalism. The only issue with it is that not everyone has the technical knowledge or required capital to participate in the mining process. But you could easily argue that away by simply saying that's ok not everyone has to participate in the mining process! I would of course disagree but I see the point, and these two are first movers and so hats off to them and that's why I'm invested in both.
Hive has interesting algorithms for mining. Proof-of-Stake is used with curation rewards, Delegated-Proof-of-Stake is used with witness rewards, Proof-of-Labor is used with the budgets/proposals rewards, and Proof-of-Brain is used with author rewards. I love Proof-of-Stake so the Proof-of-Stake part for curation rewards has me interested massively. 10% for Proof-of-Labor is not really capitalism in and of itself but since the budgets are voted by stakeholders, you can say it's pretty much capitalism anyway and the work needs to be done anyway plus the workers need to get paid anyway. Same thing kind of goes for witnesses but I do have an issue with the fact that most blocks are produced by only 20 witnesses. I think that number should increase or the percentage they get should decrease. But that's just what I think. I have a similar feeling with the Proof-of-Brain part. I can see it's necessary for the system to grow and work but I don't like the percentage. It used to be 75% authors and 25% curators. It's now 50/50 but I actually wanna see that change to 25% authors and 75% curators. Maybe because I like capitalism a LOT!
SwiftCash is another asset that I'm invested in and I think this one is even more capitalism friendly than anything else I've seen and that's why I'm invested in it. This one also comes with 10% Proof-of-Labor for budgets/proposals which is voted by stakeholders. Not something I would cheer for but I can see how it's necessary in some ways and since stakeholders are ultimately in charge of the votes, then what could possibly go wrong, right? Another 10% goes to Miners but Miners are 100% Proof-of-Stake so can't really say anything bad about that. The rest which is 80% goes to HODL deposits with a brand new algorithm called Proof-of-HODL. This one's amazing because you can essentially earn interest completely offline, without having to buy expensive equipments or paying power bills or worrying about the technical side. Literally anyone can do it and it's a whopping 80% of the block rewards. Not only that, it's actually 80% of the maximum block rewards. Since not everyone participates in these term deposits, those who do reap even more than Miners and/or Masternodes. This is why I think SwiftCash has more capitalism in it than any other asset I've seen. And thankfully it's still a micro cap and very cheap which helps me accumulate more.