What happens when a coin reaches the maximum supply???

[smedinav]

Hello friends
What happens when a coin reaches in circulating the max of his own supply
Example: lite coin have a máx supply of 84,000,000 nowdays the circulating are 50,601,982, so what happens when the circulating will be equal as the max supply.
Does the prices of the coin begins to grow up??http://[flash=200,200][/flash]

[pooya87]

well i am not aware of how all the altcoins work but those that are similar to bitcoin will work like this:
they never reach the maximum supply because the max supply is fixed and it is being distributed by giving the miners the new generated coins in form of block reward and that block reward is halved every fixed number of blocks.

for example with bitcoin it started with 50 then 25 > 12.5 > 6.25 > 3.125 > 1.5625 >0.78125 and so on and since it is half of previous amount it only gets smaller and there will be a very long time (>100 years to reach 1 satoshi even).

and as for miners earning. it will be from fees in the future when block reward becomes smaller.

and as for altcoins they probably die before they reach deep in that list of halved block rewards because of their pump and dumps and lack of usage.

[mobnepal]

when the circulating will be equal as the max supply.
Does the prices of the coin begins to grow up??

If demand for coin doesn't grow with supply than price can actually shrink when coin will reach its maximum supply. Also if price doesn't grow enough to make mining profitable without block reward many miners will stop mining that will create another chaos and may lead to death of the coin.

[elite3000]

Nothing. Rules remain the same for the protocol. Only parameter altered is block reward, that will be 0 once the last one is mined

[Pursuer]

Nothing. Rules remain the same for the protocol. Only parameter altered is block reward, that will be 0 once the last one is mined

actually a lot of things will happen because of that!

those altcoins that are relying on the distribution model of bitcoin, which is creation of new tokens in form of block reward given to the miners which then sell it to the market, has so far died before they reach their final stage of even nearing maximum supply let alone reach it.

and there is a good chance that the rest which are not close to that date will die badly because as the difficulty rises or the mining reward lowers and as the price of altcoins drop over time, mining becomes less profitable and because of that miners will stop mining and leave the network open to attacks.
if you check out some of the old nearly dying altcoins you can see many of them are attacked every now and then because their network is weak now.

[ant958]

I see Bytecoin is less than 500K away from circulating supply  and maximum supply.

Going to be interesting to see what happens when its reached.

[jalaaal]

Hello friends
What happens when a coin reaches in circulating the max of his own supply
Example: lite coin have a máx supply of 84,000,000 nowdays the circulating are 50,601,982, so what happens when the circulating will be equal as the max supply.
Does the prices of the coin begins to grow up??

if an altcoin will reach its maximum supply, there are some possibilities that its price will never grow, or maybe, its price will dump eventually. because big whales will take advantage to that, they might control the flow of the market.

[nsasuiteb]

Even if it does not reach its maximum supply and the supply rises, its value increases because of high demand so after it reaches its max supply, increase can be bigger and faster

[laurenB7742]

Nothing. Rules remain the same for the protocol. Only parameter altered is block reward, that will be 0 once the last one is mined

Yes. After all coins are mined, miners receive only transaction fees. This could be a problem if people will keep using low transaction fees, meaning that it will not be profitable for miners anymore. On the other hand if transaction fee increases, this could result in people abandoning this coin and switching to coins with lower transaction fees.

[Milamol]

So, with the blockchain algorithm that exists, crypto needs a Bitcoin 2.0 and so on? Or should it be Tangle, as in IOTA?

[STT]

. This could be a problem if people will keep using low transaction fees, meaning that it will not be profitable for miners anymore.

This all depends on efficiency I think and relates to Moores law some.   It might be the blockchain is increasingly efficient and does not require large transaction fees, I hope this of every project that is to succeed.    If fees are low, volume is high, security good and the blockchain compares well to every payment processing alternative then society benefits and the product is proven and likely to continue and in profit.
   I still think Bitcoin fees are a bit too high, not when I can transfer via FIAT for much less.    I hope the situation tightens and benefits use by everyone without worry about fees and other details which might discourage, every blockchain has to consider the end user just wants a product that works for them without hassle.

[X-ray]

Hello friends
What happens when a coin reaches in circulating the max of his own supply
Example: lite coin have a máx supply of 84,000,000 nowdays the circulating are 50,601,982, so what happens when the circulating will be equal as the max supply.
Does the prices of the coin begins to grow up??

The max supply will have achieved and then there was a possibility the price will increase consider about this coin will not again get inflation.
But when that coin is not yet achieved the maximum supply and then the price will always be disrupted by the inflation from the miners.
The demands will not be significant as when that coin reach the maximum supply consider about when the total already achieved and there will be stability.

[ivaf]

Nothing terrible will happen. The coin will reach a stable state. Inflation will become equal to 0. The price of a coin can rise and will certainly become more stable.

[ohyeahhaha122]

Of course when the maximum supply is reached, the token will start to be scarce, the supply will not be enough, the token price will increase quite quickly

[Hallmader]

Of course when the maximum supply is reached, the token will start to be scarce, the supply will not be enough, the token price will increase quite quickly

That is at most wishful thinking. Even Bitcoin halving does not guarantee a price increase, let alone a quick one. Adoption is always the key. It means demand. And so with the maximum supply finally reached, and the demand is increasing due to the wider adoption, it is expected that the price will move accordingly. Mining would still continue but there will be no more block rewards. Miners will be dependent on transaction fees.

[cahbagus555]

Hello friends
What happens when a coin reaches in circulating the max of his own supply
Example: lite coin have a máx supply of 84,000,000 nowdays the circulating are 50,601,982, so what happens when the circulating will be equal as the max supply.
Does the prices of the coin begins to grow up??

If the coins in circulation have reached their peak, I think the price will rise because the supply has started to stop and what is happening in the market is a bargaining price. Coin owners will certainly not let their coins go cheap because they know that the supply is maximal.

[Menawi12]

Hello friends
What happens when a coin reaches in circulating the max of his own supply
Example: lite coin have a máx supply of 84,000,000 nowdays the circulating are 50,601,982, so what happens when the circulating will be equal as the max supply.
Does the prices of the coin begins to grow up??

If a coin max its supply in the market and if its all supply is circulating in the market then it is not good because there is a chance for the coin to have a low price or experience a dumping scenario because people who have a lot of money or bitcoins will take advantage of that maximum supply and buy almost all of them and if they have the most of the supply then they will manipulate the market which is not fair for us. Don't trade altcoins with maximum supply in the market unless you have a lot of bitcoins to use.

I think when the coin reaches the maximum limit, the price will continue to rise. The miners will rely on fees from each transaction and if demand on the market is fixed or rising, the price will automatically go up because there is no supply.
Therefore, many analysts estimate that the price of Bitcoin can reach $ 1 million because in addition to halving, circulation in the market is nearing maximum

[el kaka22]

I actually never seen a coin that had max supply from PoW starting to point. There are tons of coins that were pre-mined heavily and they are literally just given back to community so that people would buy and increase the price but the team that pre-mined the coin is actually making the most profit out of that currency.

So, if it is a PoW coin or PoS coin and finishes the supply then two things happen ; One is no more mined currency, market will have the same amount of coins all the time which is why nobody will be able to pour in new coins into the market and the price will be greatly affected, second one is miners who used to help the transactions be quick has to stay otherwise the transactions will get stuck, they make money from the transaction fee's, probably not as much but still something.

[yazher]

We will see this kind of scenario after all of the bitcoins have been mined.
everything we say today is mere speculation until that time will come,
we never know what will be going to happen for a single coin after it reaches its
maximum supply.

[Samayuki]

Many people always got it wrong about max supply running to zero, its a good thing actually when such happens because it means the coin have a better adoption rate and the only thing that will stop is mining since there is nothing left to mine anymore, this will even make the coin more scarce than before ultimately making it more valuable