Hey guys I read your white paper yesterday as this ICO seems very attractive to a pc gamer like myself who follows the esports world. They say when deciding what to invest in you should choose industries you have a passion for and I have a passion for gaming.
With that said I just want some clarity on the potential of this token. I understand it will be used in all monetary transactions within the zonex ecosystem, I saw in the white paper examples for if the token became worth 1 dollar but I didn't see models for if the token became worth 100 dollars or 1000 dollars. I guess my question is, is the potential of this coin capped at 1 usd or is the potential just like any other crypto where it can explosively increase in value? If a ticket price to a game tournament is 30 dollars and 1 zonex token is worth 100 dollars, is it possible to see a time where people show up to one of your tournaments and pay .3 zonex to get in? Is there a top cap on the potential price of these?
I will answer you in more detail a little later. The answer will take time.
Thank you, I look forward to your well thought out answer. I am planning to purchase a minimum of 5k zonex token during the presale which if the token eventually goes up to a dollar each, then that would mean I turned 500 bucks into 5000 bucks (which is still decent profit for a crypto)...but if it's potential is even higher then I would be even more happy
I'm sorry I've been answering your question for so long.
This is a good and interesting question. Thanks.
The price of the token depends on the demand, that is, on the growth of project audience.
At the same time high demand is restricting the price growth. Thus, "the bubble" that is not accordance with the development of the project is not inflated.
Example:
The cost of participation in the tournament = $10. The cost of ZNX = $1. You will need 10 ZNX to participate in the tournament.
1000 participants will buy the 10000 ZNX. The price of the token will increase accordingly.
Next. The price of the token rose to $2. Now you will need 5 ZNX tokens to participate in the tournament for $10. Thus, now 1000 participants will buy the 5000 ZNX tokens. The price will fall.
This is a very rough example. It overlooks the fact that the prize winners will sell the won tokens. There are other users of the platform who also will buy and sell tokens and paying with these.
Since the main turnover of tokens will take place through tournaments, it is the number of tournaments participants that will affect the cost of the token. At the same time the cost of the token will affect the demand. The higher the price, the fewer tokens are required for tournaments. The lower the price, the more tokens are required for tournaments.
Tournament buy-in are fixed. This approach helps to keep the price in a certain price range, making the token more reliable and stable. We plan to avoid a hyperinflation of the token.
