Topic: Do you think token burn in ICO, increase value of existing ICO Token? (Read 153 times)
December 13, 2017, 06:16:04 AM
burning purpose is not to increase the price, but it only for honesty of the developer so they can't sell it to make fresh money.
December 13, 2017, 06:12:07 AM
Of course it is! It's a pretty obvious thing. The price of token = (coin capitalization) / (supply). Why do you have doubt about this?
I also have the same question why some ICO burns token after the token sale and now it is been answered. Actually, at first, I think token burn in ICO's are just nothing and now I know how foolish am I didn't see that it is too obvious!
I still need to learn a lot more things from higher rank members and thank you for your answer and his question.
December 13, 2017, 06:03:00 AM
exactly, token burn in ICO will increase the value of existing token,
because reducing the supply will increasing the demands, and when the demands increase of course the value will increase too,,
this is the basic economic rule
because reducing the supply will increasing the demands, and when the demands increase of course the value will increase too,,
this is the basic economic rule
December 13, 2017, 06:00:29 AM
So, we have seen several ico that actually burn tons of its token and got the token value boosted because of low supply, low marketcap.
In the case of
You bought x Token at $1
50% of Token is burned from the ICO Supply
Shall your token now worth more since you are now paying $1 for 50% of the supply instead of 100% of the supply?
Yes of course. Most of the coins/tokens that has been burned especially the unsold ones will probably boosted the value of the said token or coin because it will put a limit on the supply. It will be more valuable than before because of the scarcity. Look at those coins with low supply they are worth more than the other. This happened in ICO's we buy cheaper in token sale but when the time unsold were burned and the token got listed on exchanges it's value starts to go up depending on the hardwork of the dev team on the said coin. In the case of
You bought x Token at $1
50% of Token is burned from the ICO Supply
Shall your token now worth more since you are now paying $1 for 50% of the supply instead of 100% of the supply?
December 13, 2017, 05:58:20 AM
In a normal circumstances that should happened its the law of demand and supply,but in other coins like the shitcoin NEM even they burned a lot of supply the value still drops,it depends in the coin itself if it has no use nothing will happen.
December 13, 2017, 05:54:24 AM
Of course it is! It's a pretty obvious thing. The price of token = (coin capitalization) / (supply). Why do you have doubt about this?
December 13, 2017, 05:44:17 AM
So, we have seen several ico that actually burn tons of its token and got the token value boosted because of low supply, low marketcap.
In the case of
You bought x Token at $1
50% of Token is burned from the ICO Supply
Shall your token now worth more since you are now paying $1 for 50% of the supply instead of 100% of the supply?
In the case of
You bought x Token at $1
50% of Token is burned from the ICO Supply
Shall your token now worth more since you are now paying $1 for 50% of the supply instead of 100% of the supply?
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