Burning of coins/Tokens | Bitcointalksearch.org

joesan2012

full member

Activity: 336

Merit: 112

Quote from: HariiPKB on December 02, 2017, 04:12:16 AM

I will give you a simple example: you make 10 apple pie and want to sell it all in 1 day, but you sold only 8 pie so 2 pie left will be throwed in to trashcan. It similarly to burning token.

The example seem so basic , I get your point but I need more concrete information . Regarding burning the remaining token. As what I have read on the above post . This will be in favor of investors and holders of that token. As they will rest assured that nothing will goes to developer and all are in circulation .. This will also help to increase the price of token . But still need more further information to be fully understand this .

HariiPKB

member

Activity: 67

Merit: 10

I will give you a simple example: you make 10 apple pie and want to sell it all in 1 day, but you sold only 8 pie so 2 pie left will be throwed in to trashcan. It similarly to burning token.

Dr0idGuru

member

Activity: 153

Merit: 10

Quote from: joesan2012 on December 01, 2017, 11:50:55 PM

Hello each and everyone, I have a some couple of question. Hope you can help me with this. If this topic already exist then link me to that thread .

What does everyone think about ,burning the remaining coins/tokens? Do you think they should have held them and distributed to the holders? Do you think it was a great idea to burn? What is the benefits of burning the remaining supply?

I am posting this to also have an idea what is really the meaning of burning token and how it take place.

There are different cases.
In AppCoins (https://appcoins.io) ICO they explained that they will burn coins in two situations:

if they reach the hard cap of $15.3m, even if the tokens are not sold, they burn tokens from the sale pool, and proportional burn token from the other pools (Foundation, bootstrap, advisors / team). This way, investors always have 40% of the token pool. I think this is the most fair approach and many ICOs doesn't take it because they are greedy.
if the tokens are not entirely sold and the hard cap is nor reached, the rest of the tokens of the sale pool will be burnet as well

styca

sr. member

Activity: 1078

Merit: 354

I used to think that burning was the best option, but now I'm not so sure. Take for example a project that gives 10% to developers and 90% to ICO. Say the ICO goes badly, and only 20% of that 90% is sold. If we go with burning, then 10% to devs, 20% sold, 70% burnt... which in effect means that the final total is 33% to devs, 67% sold.
Burning has its merits, but can have other effects as well.

Endikadija

hero member

Activity: 1458

Merit: 509

Quote from: joesan2012 on December 01, 2017, 11:50:55 PM

Hello each and everyone, I have a some couple of question. Hope you can help me with this. If this topic already exist then link me to that thread .

What does everyone think about ,burning the remaining coins/tokens? Do you think they should have held them and distributed to the holders? Do you think it was a great idea to burn? What is the benefits of burning the remaining supply?

I am posting this to also have an idea what is really the meaning of burning token and how it take place.

Hope this is ok to talk about?

the burning seems to be the best choice rather than distribute the remaining amount to the participants. There are some project that distributed all of the remaining token to the participant. This will decrease the price of the token. the burning of the unsold token will defend the price from the inflation.
The burn method should become the best idea.

OneUnderBridge

sr. member

Activity: 368

Merit: 266

Burning the undistributed coin decreases the supply which increases their value. If the coin were distributed to the coin holders, it would just dilute their value and no advantage would be obtained. Burning the undistributed coin is a positive event if you are already a coin holder. A burn occurs when the coin are sent to a publicly recognized address in which there is no private key.

criticoflife

full member

Activity: 353

Merit: 101

It benefits the coins or tokens price to have the remainder burned because it lessons supply making the coin/token more valuable of course. It can also mean that the dev team created too many of the coin/token before the ICO because as you know it's impossible to predict demand till the ICO gets started so it's a way to ensure that the correct supply is created by having a burnoff at the end.

joesan2012

full member

Activity: 336

Merit: 112

Hello each and everyone, I have a some couple of question. Hope you can help me with this. If this topic already exist then link me to that thread .

What does everyone think about ,burning the remaining coins/tokens? Do you think they should have held them and distributed to the holders? Do you think it was a great idea to burn? What is the benefits of burning the remaining supply?

I am posting this to also have an idea what is really the meaning of burning token and how it take place.

Hope this is ok to talk about?

Topic: Burning of coins/Tokens (Read 200 times)