Ok my own counter-arguments for the proposal are:

1. The vast majority of the funds cannot possibly be for a few people so there is no need to worry about possible big dumps at any given time.

2. The holders of these cryptos already get punished by inflation.

3. Keeping the collateral low will keep swiftnodes more affordable and the high vps costs can disappear in case price goes up enough.

4. The high inflation and/or ROI is still less than most projects