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Author Topic: Gigantic max supply is bad  (Read 356 times)
senin
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August 27, 2019, 03:16:27 AM
 #41

There are two sides of the same coin. If you look at stellar or ripple, they have very big total supplies and are doing pretty well, if you compare their prices with all time lows. But on the other hand, I agree with you and believe that projects with small total supplies are more perspective.
In my opinion, this is due to how much the project covers the Earth’s population, that is, how grandiose the project itself is. The more often a coin or token is used, the more they are needed. If there are not so many coins or tokens, perhaps this will cause them to rise in price, however, at the same time it will cause inconvenience in their practical use. Nevertheless, an optimal balance is needed here.
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btc_angela
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August 27, 2019, 05:15:03 AM
 #42

Lol, who would wanted to see huge max supply? It doesn't make sense for a project to see billion coins in circulation. It goes against the basic tenant of crypto, specially what bitcoin has established, fixed 21 million supply only. So this billion max supply is a recipe for disaster, as the price won't go that high and it going to be used for pump-and-dump scheme. Low supply cap has the potential to go high in the future, just saying.

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August 27, 2019, 10:54:47 AM
 #43

Apart from real use case do coins and tokens max supply counts as well? for example lets look at doge coin,its max supply is 280 billion and the circulating supply is 120billion which is presently trading at 0.0026$ what would have happened if its max supply is in millions ?

i think some coins have way to much max supply which actually affects the coin or token performance as well,coins with low supply will always have better value than having gigantic supply.
These are the projects that claim to have a better solution to bitcoin, and they don’t know the main reason why bitcoin created a limited supply and this limited supply of bitcoin is what has been helping it till date. Look at ripple, with all their position on the 3rd place in the market, their value is still not growing, and this is because they have such unlimited supply.

Take a look at binance, binance also applied this method, to burn tokens, and we can see its working with the real products that they have. So all this gigantic supply is really not worth it. What majority of these people needs is actually to burn those tokens and see how the coin will start to appreciate seriously and how stable the coin will also be on a very high price. When I see some project which such big supply, what I do is just to ignore them immediately.

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August 29, 2019, 08:08:29 AM
 #44

A good point, But people have no need to be care about the max supply It will give benefit about few of projects not for the all. Doge does not have the maximum cap and while the single is quite worthless. Basically it is true the gigantic cap is a problem.
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August 29, 2019, 09:55:59 AM
 #45

Apart from real use case do coins and tokens max supply counts as well? for example lets look at doge coin,its max supply is 280 billion and the circulating supply is 120billion which is presently trading at 0.0026$ what would have happened if its max supply is in millions ?

i think some coins have way to much max supply which actually affects the coin or token performance as well,coins with low supply will always have better value than having gigantic supply.

I do not see the difference between the maximum supply of coins and how much it is expressed. The main thing here is how much the price of this coin is growing. For example, you bought 1 million coins of XXX for 1000 dollars, and for the same thousand dollars you bought 1 thousand coins of UUU. Coin XXX over time has grown by 100 percent and you can sell your one million for $ 2,000, and the UUU coin stands still and you can sell it at the same price you bought.

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August 29, 2019, 10:15:04 AM
 #46

More important thing is a trading volume. If the trading volume is low, then you may not be able to sell your coin and that is probably the most woest thing what could happen.  Wink

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August 29, 2019, 10:20:47 AM
 #47

I don't think gigantic maximum supply is bad considering the fact that there could be a need for enormous supply. Some projects needs the high supply volume to meet with the demand of the market, even though the reduced supply is best to have a increased tokens value
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August 29, 2019, 10:49:54 AM
 #48

Having billions of supply with eventually affect the performance of the market trading, for example Doge, which has billions of supply, but the case is, its really hard to achieve 1usd in value each coin because of the supply, its just a matter of supply and demand i think, the lower the supply the better the chances of price surge.

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August 30, 2019, 05:47:06 PM
 #49

The supply of a coin has a huge impact on the value. This is because the value of the tokens is a division of the market capitalisation and the total number of tokens. This explains why projects with low supply tend to have a better chance for increased value as compared with projects with high supply.
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