By Presstab
There is a maximum reward of 1,000 HYP per stake. Difficulty targets 1 block/stake per 90 seconds, this translates to 960 blocks/stake per day. If there are 960 blocks in one day, this means that if everyone stakes the maximum amount of 1000 HYP in one day, it will be 960k HYP added per day. That is what we call "max generation".
It is most likely that we never will hit a full 960k in one day, because everyone will size down their coin blocks so that they won't hit the 1k limit. As time goes on, the coin supply grows larger, yet the max reward stays the same. This means that overtime the coin supply grows less % everyday after we approach the max generation.
So the entire inflation control mechanism is based around time (long term), and a constant (max reward) becoming less and less compared to a variable (coin supply).
If we suppose that everyday from now (11.26.2014; total money supply: 49779934 HYP; 619804 HYP generated in one day) on that max generation will occur (again this is unlikely, as we are still at around 60% of it so far), this is what the schedule of daily inflation rate will look like over the next two years.
