OK, I'm starting to see the light as far as the reward tax goes. Taxing only liquid rewards would most likely be fine with me after HBD gets pegged down in the next fork. I already plan on doing 100% HP rewards once it starts making financial sense.
I'm still curious about tax distribution though. If it's distributed based on vests, I'm afraid that whales will end up with the overwhelming majority of tax. But maybe that's the most fair way to do it.
I wonder if a cap on the distribution would be appropriate. If the tax is distributed based on the number of vests, maybe no single account can get more than 1% of the daily distribution (or whatever percentage is fair). I think whales should be rewarded for being powered up and feeding this community with their votes, but I'm afraid of seeing 95% of the tax being dumped into the top 10-20 accounts.
I think everyone getting an equal share of the distribution would be gamed too easily. Maybe a tier system? 1-100HP gets the lowest percentage, 101-1000HP gets the next lowest, etc. Then 1 million+ is the top tier and everyone in that tier gets the same percentage. I don't know, just spitballin'.
It would be equally based on stake. No one would get more or less per HP than anyone else. Relative to risk/reward, whales are actually the ones most hit in this situation. They risk the most to gain the least compared to a smaller account. This is no way to benefit whales over smaller accounts, and I can argue quite the opposite.