DVC really costs 0.00000xxx? (5 zeros after dot?)

[jokerdragon]

I am really impressed with the low cost of DVCs.

I guess not only me. Now DVC is the most traded "coin" at vircurex:

www.vircurex.com
BTC - Bitcoin
Bid   Ask   Last   Volume
EUR/BTC   20.0000 0000   39.5000 0000   40.0000 0000    2.3868      
USD/BTC   44.5100 0000   46.5000 0000   45.9900 0000    4.5333      
BTC/DVC   0.0000 0185     0.0000 0220     0.0000 0221   307.4400    
BTC/IXC   0.0000 7000   0.0001 4000     0.0001 5000     21.7152    
BTC/LTC   0.0135 1000   0.0142 5000   0.0143 0000   206.5314    
BTC/NMC   0.0036 2000   0.0037 8800   0.0036 2000   26.1879      
BTC/PPC   0.0004 0190   0.0004 2000   0.0004 3900   175.6569    
BTC/SC   0.0007 5000   0.0008 4444   0.0008 4444   0.7074        
BTC/TRC   0.0036 0000   0.0039 9999   0.0037 0000   167.3149    




I wanna hear some predictions about where this "rocket" can go? Any bets?

The idea behind the coin is so good, and imho, it can be more sucessfull than any other coin.

Disclamer: Yes, I have my DVC coins too.  

[markm]

It was deliberately designed to not be worth more than 1/1000 of a bitcoin per coin.

Still, that leaves plenty of room for growth from current prices.

-MarkM-

[jokerdragon]

Let me do some basic math:

1/1000 of 1 btc = 1/1000 of US$ 45  (today)

If today its valued at 0.0000 0220 and it can be, as you said, 0.001 BTC, this can be ... 

0.0000 0220
0.0001

500 x what it is 5.000%. hmmmm I'll keep my DVCs for a while for sure. 


Thanks for the info. Could you explain a bit more, or provide a link?

[markm]

http://www.devtome.com/doku.php?id=devcoin

https://bitcointalk.org/index.php?topic=34586.0

-MarkM-

[Sunny King]

I'd like to advise potential investors that unit price of a coin does not matter.

What you should be looking at is something known as 'market cap'.

This is why I find dust's portal extremely helpful to investors.

http://dustcoin.com

You should compare different altcoins based on their market cap vs subjective quality/potential, rather than the unit price of a coin. That is, your logic should be, hey I think market cap of xyzcoin is too low for its potential thus undervalued, it's good buying opportunity.

Another important consideration is future inflation expectation, because it greatly impacts the worth of your long-term holding. In this regard devcoin is worse off than other altcoins because it adopts constant generation (no-halving) thus unlimited future supplies.

[pyra-proxy]

Another important consideration is future inflation expectation, because it greatly impacts the worth of your long-term holding. In this regard devcoin is worse off than other altcoins because it adopts constant generation (no-halving) thus unlimited future supplies.

This is not true, mathematically, devcoins inflation % asymptotically trends to 0.  And mathematically that means devcoin is as equally deflationary as bitcoin or any other alt

[Sunny King]

This is not true, mathematically, devcoins inflation % asymptotically trends to 0.  And mathematically that means devcoin is as equally deflationary as bitcoin or any other alt

I am aware of that, but that's only effective after maybe a hundred years. I don't think any investor is looking at waiting a lifetime before investing.

Even if you look at 100 years from now from a pure mathematical point of view, tell me which is a better investment if in 100 years namecoin and devcoin market cap reaches parity?

[markm]

I do wonder if all the people who come up with "market cap" figures for DeVCoin are basing it on the actual minting rate of 50,000 coins per block, or on the figure the "profitable to mine chains" sites actually show for coins per block, which is the 5000 the miner gets.

An interesting factoid about DeVCoin that might not have as much impact on its exchange rate as one might at first blush imagine, but which nonetheless could potentially lead to some impact at some time in theory, is the sheer stupendous amount of debt that is denominated in DeVCoins.

The largest lender of DeVCoin-denominated debt that I know of has 200803502366.36455490 on its books, compounded hourly so that figure might already be slightly out of date.

-MarkM-

[Sunny King]

I do wonder if all the people who come up with "market cap" figures for DeVCoin are basing it on the actual minting rate of 50,000 coins per block, or on the figure the "profitable to mine chains" sites actually show for coins per block, which is the 5000 the miner gets.

Market cap is computed based on total minted money supply (50k coins per block for devcoin) regardless of how much were given to miners.

[dust]

I do wonder if all the people who come up with "market cap" figures for DeVCoin are basing it on the actual minting rate of 50,000 coins per block, or on the figure the "profitable to mine chains" sites actually show for coins per block, which is the 5000 the miner gets.

An interesting factoid about DeVCoin that might not have as much impact on its exchange rate as one might at first blush imagine, but which nonetheless could potentially lead to some impact at some time in theory, is the sheer stupendous amount of debt that is denominated in DeVCoins.

The largest lender of DeVCoin-denominated debt has 200803502366.36455490 on its books, compounded hourly so that figure might already be slightly out of date.

-MarkM-

My site calculates the mining revenue with 5000 coins per block and the "market cap" with 50000 coins per block.

[markm]

Thanks, that presumably accounts for the two such sites I know of? Or are you both referring to dust's site?

Oh and re debt I mean stupendous as compared to the number of coins actually existing, of course how much actual buying power that happens to be varies with the exchange rates.

-MarkM-

[smoothie]

I'd like to advise potential investors that unit price of a coin does not matter.

What you should be looking at is something known as 'market cap'.

This is why I find dust's portal extremely helpful to investors.

http://dustcoin.com

You should compare different altcoins based on their market cap vs subjective quality/potential, rather than the unit price of a coin. That is, your logic should be, hey I think market cap of xyzcoin is too low for its potential thus undervalued, it's good buying opportunity.

Another important consideration is future inflation expectation, because it greatly impacts the worth of your long-term holding. In this regard devcoin is worse off than other altcoins because it adopts constant generation (no-halving) thus unlimited future supplies.

I disagree. People should be looking at if a coin is centralized or has exploits in its hashing algorithm.

[killerstorm]

I am aware of that, but that's only effective after maybe a hundred years. I don't think any investor is looking at waiting a lifetime before investing.

Even if you look at 100 years from now from a pure mathematical point of view, tell me which is a better investment if in 100 years namecoin and devcoin market cap reaches parity?

Difference, of course, depends on what time frame you consider. Suppose we have currency X and Y which are identical except X block yield 50 coins forever while Y has block reward halving each 4 years.

Let's total amount of X coins divided by total amount of Y coins over time:

after 4 years:    1
after 8 years:    1.33
after 12 years:  1.71
after 16 years:  2.13
after 20 years:  2.58
...
after 100 years:12.5

So what I get from it is that difference isn't that large in first 20 years.

Let's say that you heavily invested in both cryptocurrencies and managed to buy 10% of the monetary base available at 4 year point. (That's like 1 million bitcoins now.)

With currency Y your holding will be diluted to 5.1% of monetary base at 20 year point, which is still pretty respectable.

With currency X you have only 2% of monetary base.

But suppose that currency became widely successful and large portion of world's economy uses it... Both 5.1% and 2% make you filthy rich.

E.g. your net worth might be 1 billion dollars equivalent in one case and 387 million dollars in another... Does it matter?

I'd say the only thing which matters is how successful the currency will become.

[Wekkel]

My interest in Devcoin is its small existence and the prospect of devs getting rewards for development. This could potentially also benefit other crypto currencies.

[markm]

In case anyone did not already know, DeVCoin developers are not the only cryptocoin's developers who are issued DeVCoins, nor are cryptocoins the only free open source projects being issued DeVCoins.

But since I already put the link to the Official DeVCoin Page earlier, everyone who is anyone already knows everything they need to know about all that, right?

-MarkM-

[doublec]

My site calculates the mining revenue with 5000 coins per block and the "market cap" with 50000 coins per block.

What BTC price do you use to compute market cap? Do you take the depth of the order book into account? Otherwise it would seem to me to be prone to manipulation by people inching small orders up to increase apparent market cap and profitability.