question on long term prices

[rob31]

Hi, I am new to all this, but help me understand this. If there is a crypto coin that is very useful and has functional value, not just speculative, say it becomes very expensive. What is to stop someone from just creating their own coin that is the almost identical to it, and using it instead, so high prices are not paid for the other coin? How can all these coins maintain high values, when people can just create as many new coins as they want?

[1714199567]

1714199567

[NeuroticFish]

Hi, I am new to all this, but help me understand this. If there is a crypto coin that is very useful and has functional value, not just speculative, say it becomes very expensive. What is to stop someone from just creating their own coin that is the almost identical to it, and using it instead, so high prices are not paid for the other coin? How can all these coins maintain high values, when people can just create as many new coins as they want?

Nobody, really.
But it's not enough just to clone the coin. You have to convince people to switch to your new coin or at least use it: miners, exchanges, traders.
If there's no gain behind it, nobody will follow you.

There are many Bitcoin clones (and I mean 1000% clones, same algorithm, same everything), then there are lightly changed coins (Litecoin, Dogecoin and many others, changed from algorithm to emission rules). Some have no success at all, some have moderate or even big success.

[BrewMaster]

price is based on demand and demand is not just based on functionality, it is also based on security.
for example if you create a exact copy of bitcoin (not these forks that are changing things) without changing anything, nobody will mine it, no mining means less security of the chain and that means no demand.

additionally because it will be a separate chain, anyone who have adopted bitcoin, if they want to adopt your chain too, they have to run your chain and that is not easy. so nobody would bother.

[webtricks]

Hi, I am new to all this, but help me understand this. If there is a crypto coin that is very useful and has functional value, not just speculative, say it becomes very expensive. What is to stop someone from just creating their own coin that is the almost identical to it, and using it instead, so high prices are not paid for the other coin? How can all these coins maintain high values, when people can just create as many new coins as they want?

Your statements are contradictory. On one side, you are saying that a coin has utility. On the other side, you saying someone else make identical coin!
Now if Apple makes Mac Book, it doesn't mean anyone else can make computer with same specifications and can sell at same price as of Apple. Apple has brand name and userbase which is not easy to take up.
Similarly just creating a copy of coin (which is however possible), it is not possible to take up its operation and userbase. However, it is possible in case of speculative coin.

[cryptocrusher]

Hi, I am new to all this, but help me understand this. If there is a crypto coin that is very useful and has functional value, not just speculative, say it becomes very expensive. What is to stop someone from just creating their own coin that is the almost identical to it, and using it instead, so high prices are not paid for the other coin? How can all these coins maintain high values, when people can just create as many new coins as they want?

Well firstly there's nothing stopping them, but it probably won't be successful, other people have to use the other coin and that's no small task. Second to that, for a lot of bitcoins uses the price doesn't matter whatsoever. Say there's a company who want to send $1m overseas, it doesn't matter if bitcoin price is $1m or $1 they just send a different amount of bitcoin.

[dogandogru]

You can't really stop anyone from cloning a coin. As you can copyright a product not the concept.
What matters is how you convince people that your coin is best than the prior one. Eg. There are alot E-commerce website selling same product but still Amazon is most used brand....reason is new players either unable to reach consumers or they are not able to convince users to buy product from them.

[Lanatsa]

Hi, I am new to all this, but help me understand this. If there is a crypto coin that is very useful and has functional value, not just speculative, say it becomes very expensive. What is to stop someone from just creating their own coin that is the almost identical to it, and using it instead, so high prices are not paid for the other coin? How can all these coins maintain high values, when people can just create as many new coins as they want?

I got your motive and thoughts which i do really agreed on that one but this thing cant really be stop as long theres a greedy developer or owner would mind to create his own coin he wont mind if it would be the same idea as others as long he do launch it make easy money when they do accumulate investors on it. Knowing creating new coin would really be profitable on developers side.

[palle11]

Hi, I am new to all this, but help me understand this. If there is a crypto coin that is very useful and has functional value, not just speculative, say it becomes very expensive. What is to stop someone from just creating their own coin that is the almost identical to it, and using it instead, so high prices are not paid for the other coin? How can all these coins maintain high values, when people can just create as many new coins as they want?

Cloning a coin or branding your own coin entirely is not the issue rather is about your market that you have, marketing strategy and your team. Team is important if your white paper is good. Good luck.

[Vannie12]

price is based on demand and demand is not just based on functionality, it is also based on security.
for example if you create a exact copy of bitcoin (not these forks that are changing things) without changing anything, nobody will mine it, no mining means less security of the chain and that means no demand.

Exactly, they just out all the features fronting their new clone coins to gain supporters. The higher the demand the higher the value it gets. Some turns out to be nothing and waste of time and efforts.
Others are just used for a moment trust then scams every supporters. Pity.

[Hydrogen]

The general consensus is, there will continue to be forks of bitcoin until it is no longer profitable. Forks are a relatively new phenomena, they could be overvalued at the moment. History will show what the true value of forks is. It may be fair to say there is some misinformation about forks being proliferated. False claims about forks having faster transactions and lower transaction fees. In reality both claims could be untrue, the reason for faster transactions/low fees may simply be a lack of support and small userbases for forked alts, which keeps network traffic low.

The market cap and value of alt coins could be misleading figures. The value of coins (other than BTC) decline very quickly when a sell off occurs. The sustained value of forks and alts is nowhere near as robust as btc, due to trading volume being lower and buyers more sparse, making it more difficult to sustain dumps. The market cap and value of forks and alts declines very quickly whenever a dump occurs, in contrast to bitcoin. It could imply figures like market cap and value regarding forks and alts are exaggerated.

[Jating]

Hi, I am new to all this, but help me understand this. If there is a crypto coin that is very useful and has functional value, not just speculative, say it becomes very expensive. What is to stop someone from just creating their own coin that is the almost identical to it, and using it instead, so high prices are not paid for the other coin? How can all these coins maintain high values, when people can just create as many new coins as they want?

Nobody can stop them from "cloning" a certain coin, lets say bitcoin. However, the clone coin even though not that expensive can't really take off if there are no miners and no investors to really jump start this clone coin.

Someone has really to promote this new coins, but how can you promote or at least gain transaction from community when it has no value to begin with? We would rather stay with the original coin, eventhough very expensive but has gained trust and confidence by a lot of people.

Look at Bitcoin Cash, similar to bitcoin and even improves it with a bigger block. However, the price is not even closer to bitcoin because the community does not support it and only a few has really used it as designed. It's merely another pump-and-dump coin. Little demand means its not gonna be sustainable at least.

[xuan87]

That is why there are tons of alt coins, and we can stop people from creating new coin, there are some country banning them to create new coin but somehow it's not yet effective

Every one can create their own coins but they need to make other people attracted to used their creation coin, that is the point where most of people failed, so now people need to create coin that is different from other coin

[akram143]

Hi, I am new to all this, but help me understand this. If there is a crypto coin that is very useful and has functional value, not just speculative, say it becomes very expensive. What is to stop someone from just creating their own coin that is the almost identical to it, and using it instead, so high prices are not paid for the other coin? How can all these coins maintain high values, when people can just create as many new coins as they want?

Actually the price of crypto currency is based on it's demand so bitcoin having more demand than any other cryptos so the price is high even some cryptos have same functionality as bitcoin.If the new coin get enough support then the price of new coin will also increase.

[Theb]

Even if it has a function or a special niche on something it does not guarantee that it will be successful in the market as the market as of right now is not looking for function but price movement. Which means your demand won't be concentrated on your solo coin and it has been proven by Bitcoin for far so long now, there are altcoins that are better in terms of becoming a secure and anonymous payment method yet Bitcoin is the one who has the most expensive price out there because sadly it is the first to be offered in the market therefore making it more popular.

[imadmirer]

Rob31, you should remember that value/price of bitcoin is directly proportional to the demand. Further, Bitcoin being able to convince most people, it has come out with good reputation. It is thus a source of investment. Do not forget that it is more safer and more profitable than newer coins. That is how things have shaped up. It just happened that way!

[fasdorcas]

Hi, I am new to all this, but help me understand this. If there is a crypto coin that is very useful and has functional value, not just speculative, say it becomes very expensive. What is to stop someone from just creating their own coin that is the almost identical to it, and using it instead, so high prices are not paid for the other coin? How can all these coins maintain high values, when people can just create as many new coins as they want?

If you are afraid about the price of bitcoin, then remember that till now the price of bitcoin was between 6000 and 7000 USD but after a long time its price jumped, the same case can occur again but if you want invest in bitcoin then you must be sharp minded and must keep an eye on the digital currency market and must be patient because in bitcoin patience is the key to success. 

[patt0]

Hi, I am new to all this, but help me understand this. If there is a crypto coin that is very useful and has functional value, not just speculative, say it becomes very expensive. What is to stop someone from just creating their own coin that is the almost identical to it, and using it instead, so high prices are not paid for the other coin? How can all these coins maintain high values, when people can just create as many new coins as they want?

You are correct, anyone can create a new coin, or fork existing coins. But doing so doesn't necessarily give them value. Remember that bitcoin price is defined by the rules of a free market (supply and demand), so if no one wants the other coins, it will have no value. You can actually see something similar with all these new airdops. People create ICOs and donate almost all the tokens, and no one trades them, and they just have no value.
Also let's not forget how the network is maintained. Miners would have to move to that new coins, or new miners would have to decide to run the full nodes for that new coin. If there is no demand for it, they won't do it.

[Endikadija]

You can't really stop anyone from cloning a coin. As you can copyright a product not the concept.
What matters is how you convince people that your coin is best than the prior one. Eg. There are alot E-commerce website selling same product but still Amazon is most used brand....reason is new players either unable to reach consumers or they are not able to convince users to buy product from them.

Until there will be a regulation but that will be only applied to the ico and not for those people are creating their own coin. If there will be no people buy it and then the altcoin that already created will be useless.
People will always try to make a clone as much as they can. The people in these days are really smart enough. It's about the competition from one to each other.

[CHENIEN]

Based on bitcoin on how long term price, it is on how many people used or access bitcoin. It is based the increase of people who adopt bitcoin currency day by day. When we say long term price it reflects on how the demand being maintain. And also on how the supply  being maintain.

[khaled0111]

If you are a good developer or have a good team, you will be able to create such coin.
But creating a coin is not enough. You need to find investors and convince them that your coin is trustworthy.
Competing with an existing coin is not that easy especially if you don't provide newer and better services.
Any one can develop a search engine, but what are the chances to beat Google?!!