Pages:
Author

Topic: What happens to the unsold token? - page 3. (Read 428 times)

jr. member
Activity: 280
Merit: 2
The FASTEST and MOST SECURE Token Exchange
April 29, 2018, 08:04:45 PM
#16
These days most ICO doesn't burn the tokens any more, rather they share it to the investors who have contributed to the ICO or some will reserve it for future use, bounty hunters ask the question about unsold tokens because the more token sold the more reward for bounty hunters.
legendary
Activity: 2282
Merit: 1023
April 29, 2018, 07:58:50 PM
#15
Usually, unsold tokens are burned after the end of token sale. I am just curious, why does the investors and bounty hunters frequently ask this question if they know already what will happen to the unsold token?
In addition, why does the unsold tokens are burned? Will if affect the volume or market cap of a coin?
If the team wanted to create n number of tokens it is possible and thereby unlimited money, we need to have a transparent vision of the team and as an investor we need to know what they are planning to do with the rest of the coins, i do not want to invest in a project where they could chunk out unlimited coins and inflate the market with it and if they have a vision they would know what they are doing and a transparent answer to the maximum number of coins in existence.
full member
Activity: 658
Merit: 108
April 29, 2018, 07:10:51 PM
#14
If unsold tokens are not burnt, they are same as free money for the team. There is a probability that they sell that tokens in the market after the end of ICO and it will cause the price to fall.
member
Activity: 321
Merit: 10
April 29, 2018, 07:10:19 PM
#13
Usually unsold token is destroyed, it affects the token volume, but if the volume is low and demand is high then the potential is higher
member
Activity: 315
Merit: 12
April 29, 2018, 07:05:29 PM
#12
Usually, unsold tokens are burned after the end of token sale. I am just curious, why does the investors and bounty hunters frequently ask this question if they know already what will happen to the unsold token?
In addition, why does the unsold tokens are burned? Will if affect the volume or market cap of a coin?

I acknowledge every opinion.

what do u mean with "unsolded"?
i have a some "burned" (like do you said before) coyns- and if i right understand they was dead like his a projects team
but i heared that dead cryptos you may to sold for collectioner- but i dont know how it working....
full member
Activity: 434
Merit: 102
Leading Cryptocurrency and Blockchain Company
April 29, 2018, 06:49:14 PM
#11
Unsold tokens have the tendency to dilute the price of the token especially if the project developers decide to dump it.Usually most investor hope that the unsold tokens can be distributed to them and bounty hunters on the other hand wish they could at least have a share of it.Burning the tokens reduces the amount in circulation and subsequently could make the price moon.
hero member
Activity: 2282
Merit: 505
April 29, 2018, 06:43:53 PM
#10
Usually, unsold tokens are burned after the end of token sale. I am just curious, why does the investors and bounty hunters frequently ask this question if they know already what will happen to the unsold token?
In addition, why does the unsold tokens are burned? Will if affect the volume or market cap of a coin?

I acknowledge every opinion.
If the unsold token will not be burned and there will be inflation that makes the price will be very low. It will give a big impact to the final price of a coin. You can see some projects are not burning the unsold token and then gets stuck and never increase anymore.
member
Activity: 256
Merit: 10
JOIN THE NEXT MEGATREND IN CRYPTO
April 29, 2018, 06:31:45 PM
#9
Usually, unsold tokens are burned after the end of token sale. I am just curious, why does the investors and bounty hunters frequently ask this question if they know already what will happen to the unsold token?
In addition, why does the unsold tokens are burned? Will if affect the volume or market cap of a coin?

I acknowledge every opinion.
You are literally asking questions which are obvious,of course the less supply the coin has the more potential value that it can have that is why these ICOs are burning their tokens,i am not going to explain any further how but the main purpose is,so their investors are going to have good returns from their tokens.
jr. member
Activity: 238
Merit: 7
April 29, 2018, 06:27:26 PM
#8
burning unsold tokens is to make sure the coin price will increase & is not dumped by the team if they keep it to themselves. There can be 3 scenarios first the tokens will be burned, secondly they may distribute it to investor or distribute as an airdrop at later stage after ICO ends, lastly they may burn some portion & some portion they will reserve it for future investment needed to finance their project, but they will lock that tokens for some period about 6-12 months so it can't be used & hence to ensure their investors that they won't be dumping the price by circulating the unsold tokens in market.
hero member
Activity: 3080
Merit: 603
April 29, 2018, 09:10:45 AM
#7
In addition, why does the unsold tokens are burned?
This will lessen the supply that will make the demand higher so those holders are in favor of coin burning because the advantage is already upon them.
Will if affect the volume or market cap of a coin?
Yes it will.
sr. member
Activity: 1123
Merit: 253
April 29, 2018, 09:02:41 AM
#6
Usually, unsold tokens are burned after the end of token sale. I am just curious, why does the investors and bounty hunters frequently ask this question if they know already what will happen to the unsold token?
In addition, why does the unsold tokens are burned? Will if affect the volume or market cap of a coin?

I acknowledge every opinion.

Usually but not always. That is the reason why investors as well as bounty hunters frequently ask such questions. Burning of tokens means a lot to both of them. It might mean an increase of the value of the remaining tokens or at least prevent a significant decrease. This is because the burning of tokens will usually follow the limits set by the demand. Secondly, the burning of tokens means it will be removed from the hands of the developers. This is an assurance that there will be no dumping done by the developers out of the unsold tokens.
newbie
Activity: 99
Merit: 0
April 29, 2018, 08:58:02 AM
#5
Usually, unsold tokens are burned after the end of token sale. I am just curious, why does the investors and bounty hunters frequently ask this question if they know already what will happen to the unsold token?
In addition, why does the unsold tokens are burned? Will if affect the volume or market cap of a coin?

I acknowledge every opinion.
Rarely unsold tokens remains in possession of the team, and this is worce than token burn. Usually token burn dont affect on market cap or price.
So it means, there are ICO also that do not burn the tokens instead, it will go to the team? If that so, I think it is unfair between investors and team. Unfair in a way that investors put up their money while the team will just grab the unspld tokens and they may double their profits.

In some cases, unsold tokens could be distributed as a bonus to the investors according to their contribution, in addition to any bonuses that might have been given already, for example, in the presale.

If unsold tokens are burned = lower supply = scarcity = potential for a higher price.
I got your point!
Burning of token is good because if the supply is few, there is a potential that the token will move up specially if it will goes in big exchanges. Scarce supply have the tendency to surge.

It has become standard practice to burn the tokens which were left unsold, but  this is inevitably followed by dilution of participants in the crowdsale (the only exception is when 100% of the tokens are sold, i.e, ETH devaluation).
But I think this is the best way for unsold tokens, because all investors can be sure.
So, burning of tokens are in favor with the investors? Well, it might good also rather than to possess it by the owner/s.

Thanks guys for consuming your time! I appreciate your effort to clarify it to me.
member
Activity: 224
Merit: 10
April 29, 2018, 02:25:15 AM
#4
It has become standard practice to burn the tokens which were left unsold, but  this is inevitably followed by dilution of participants in the crowdsale (the only exception is when 100% of the tokens are sold, i.e, ETH devaluation).
But I think this is the best way for unsold tokens, because all investors can be sure.
sr. member
Activity: 1225
Merit: 256
April 29, 2018, 02:24:41 AM
#3
In some cases, unsold tokens could be distributed as a bonus to the investors according to their contribution, in addition to any bonuses that might have been given already, for example, in the presale.

If unsold tokens are burned = lower supply = scarcity = potential for a higher price.
member
Activity: 350
Merit: 10
April 29, 2018, 02:13:42 AM
#2
Usually, unsold tokens are burned after the end of token sale. I am just curious, why does the investors and bounty hunters frequently ask this question if they know already what will happen to the unsold token?
In addition, why does the unsold tokens are burned? Will if affect the volume or market cap of a coin?

I acknowledge every opinion.
Rarely unsold tokens remains in possession of the team, and this is worce than token burn. Usually token burn dont affect on market cap or price.
newbie
Activity: 99
Merit: 0
April 29, 2018, 02:05:35 AM
#1
Usually, unsold tokens are burned after the end of token sale. I am just curious, why does the investors and bounty hunters frequently ask this question if they know already what will happen to the unsold token?
In addition, why does the unsold tokens are burned? Will if affect the volume or market cap of a coin?

I acknowledge every opinion.
Pages:
Jump to: