With 18 million issuance per year at current prices of $12.61 per ETH, that means 226 million dollars worth of ETH is being issued per year.
That's over 1.5 times the entire market capital of Litecoin for example and more than 6.6 times the entire market capital of DASH .
Makes me think that ETH is a wee bit overvalued at the moment and other coins like LTC and DASH are severely undervalued.
That's over 1.5 times the entire market capital of Litecoin for example and more than 6.6 times the entire market capital of DASH .
Makes me think that ETH is a wee bit overvalued at the moment and other coins like LTC and DASH are severely undervalued.
Your reading comprehension is abysmal.... Read again: sometime in 2017 there will be no more 18M ETH issued every year. TL;DR: There will be less than 100M ETH total.
And please... 226 million for a global currency is a minuscule amount.
Yes, I fail to understand why people think more coins is somehow bad. Everyone talks about once mass adoption hits, blah, blah.
Well Bitcoin only has 21 million coins, and even less than that will be in circulation due to lost coins. So even if we use the US as an example, with a population of ~350 million people, let's even half that figure to cutout children and married couples, and even rounded down some more to 150 million people, you can see we have a problem already. This means a hypothetically evenly distributed coin (in this case BTC) would only allow each person to own about 1/7th of a Bitcoin.
So using the same figures, even 226 million coins is, as TreasureSeeker stated, a minuscule amount. If it were to become a truly mass adopted coin, most people will want more than one, so with more than 7 billion people on the planet, you would probably be even ok with a coin with 100's of billions in distribution.
Sure, they won't be worth big huge numbers in such quantities (DOGE for example), but if you really want mass adoption you need coins to distribute. I know Bitcoin tries to get around this by saying it is divisible to 8 decimal places, which is true, but most humans like to own whole amounts of things and not fractions. That is why I have 1 dollar, 20 dollars, 100 dollars, or even 1 million dollars as a dollar is small enough unit most everyone can have one or several of them. Imagine if we used the million dollar point as our "base" unit, I would need to walk around saying I have 0.0000001 million.
But as you can see this simply ends up being a case of moving the decimal point around, so really in the end 21 million coins valued at $500 is no different than 210 million coins valued at $50, or even 2.1 billion coins valued at $5.
