What if ethereum had a maximum coin supply set from the beginning? - page 2.

Bitcoin_Arena

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Quote from: Raizou on February 28, 2019, 03:45:49 AM

Probably, but you're relying on Bitcoin's success with 21M's power supply, right? Following this logic, of course, the ETH price could be analyzed through a smaller offer. Would ETH cost the 2x if the supply was 2x smaller? Roll Eyes

Of course, due to its popularity as a launchpad for most projects, everything would be different right now. High demand plus X2 fewer coins in the circulation would mean a much higher price than it is right now(am not going to use your x2 price increase assumption)

Let's say Ethereum had 1/2 the number of coins it has right now.. that would be roughly 52.5M Ethers. Now current market capitalization of ethereum is at $14,511,391,446 just barely enough to keep at second place from Ripple.

Imagine if ether's price was the same as it is today, the Market cap would be $138x52.5M = $7,245,000,000. this would be way so far away from ripples marketcap which would seem unrealistic since the two have quite very close market caps .

Quote from: Callanta787 on February 28, 2019, 05:08:16 AM

total max supply won't stop a good coin from reaching its goal so I'm less worried about max supply and even other altcoins with billion max supply are doing fine e.g ripple so let's wait and see what comes next after POS ETH upgrade

Am not saying it would stop anything... but the price would continue to depreciate over time due to an increased supply of coins. Look at ripple for example, how much is one coin? Grin

Callanta787

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total max supply won't stop a good coin from reaching its goal so I'm less worried about max supply and even other altcoins with billion max supply are doing fine e.g ripple so let's wait and see what comes next after POS ETH upgrade

bigcash2011

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Yes it is very important to limit the total supply and community should know complete tokenomics because they are investing in hope of value growth but with increasing supply value cannot grow as expected. A year ago i was hearing that the eth supply max is 90 million but now its over 100 million so there is a need for the cap i hope there will not be anymore supply because this will be unfair for people investing at high prices.

puremage111

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Because ethereum has no maximum supply there, so it couldn't had a max cap? Does ethereum has a max coin supply there?
Anyhow if it has maximum coin supply, it wouldn't really make a differences there except for miners imo

Raizou

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Probably, but you're relying on Bitcoin's success with 21M's power supply, right? Following this logic, of course the ETH price could be analyzed through a smaller offer. Would ETH cost the 2x if the supply was 2x smaller? Roll Eyes

Bitcoin_Arena

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Quote from: cerberus5424 on February 27, 2019, 07:50:59 PM

If Ethereum had limited supply, at least as you said for a decade, its price would be much higher now. Unfortunately, Ethereum will not change its policy and therefore I prefer to invest in Bitcoin, although even under these conditions, Ethereum gives a significant profit.

If there was a bull run and all the coins go past their all-time highs like last time, Ethereum would obviously be much more profitable percentage wise compared to BTC.
The proposal for change is already there but as you know, there could be some hurdles to implement it.

Quote from: MakeMoneyBtc on February 27, 2019, 08:05:26 PM

I don't know why the limit was not created from the beginning since this would have helped it a lot, but I guess the had a plan for this and they just wanted to see how the market will react to it.

Probably Vitalik Buterin and his team did not want Ethereum to have that many similarities as bitcoin. Another argument could be he never expected Ethereum to be so much adopted in the crypto world as Vitalik himself had predicted that ether's circulating supply would not cross the 100M mark at least for a decade.

MakeMoneyBtc

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I think in the near future Etheteum will actually create a limit to its supply because it's mining cannot continue forever since it would reach billions of coins and the price would go down instead of upward. I don't know why the limit was not created from the beginning since this would have helped it a lot, but I guess the had a plan for this and they just wanted to see how the market will react to it.

cerberus5424

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If Ethereum had limited supply, at least as you said for a decade, its price would be much higher now. Unfortunately, Ethereum will not change its policy and therefore I prefer to invest in Bitcoin, although even under these conditions, Ethereum gives a significant profit.

omnik

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Quote from: mrdeposit on February 27, 2019, 06:30:36 PM

I am also uninformed about the total supply. I only know as much as the picture. But, not knowing the supply does not mean that mining will always continue at the same speed. So, like others, it acts as if it had a total supply. IMO ETH in the highest stair as it can and even if there was a total supply, it would not have risen.

The total supply of ethereum will be determined very soon as per the implementation of the POS casper. All coin gets by the miners will always goes to the circulating supply.
But the total supply will help us to determine it.

Invigorated

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Possibly we will have seen more accountability and openness on the Ethereum blockchain than we are seeing now. Also, I think, it will have brought much more value to the Ethereum token than what it is token. The total supply has remained speculative giving a picture that there are a lot more ether tokens left which could someday flood the market, causing people to lose so much of their investments. This alone has continued to brew fear and FUD amongst investors.

mrdeposit

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I am also uninformed about the total supply. I only know as much as the picture. But, not knowing the supply does not mean that mining will always continue at the same speed. So, like others, it acts as if it had a total supply. IMO ETH in the highest stair as it can and even if there was a total supply, it would not have risen.

Bitcoin_Arena

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Recently, I did realise that Ethereum does not have a maximum supply like other notable coins such as bitcoin.

Apparently, even Ethereum Cofounder Vitalik Buterin thought that Ether total supply wouldn't go past 100M at-least for a decade, but due to the popularity of the network, the 100M mark has already been surpassed. So last year on 1st April, he proposed the cap of total ether at 120M , Not sure whether it was because Ether price had started tanking due to the bull ran hangover or it was an April fools day prank Grin

But anyways the proposal hasn't been implemented yet and to me, without a maximum supply, I see a risk of Ether's value not growing as expected or even deflation of its value as more coins come into circulation.

My question is, would Ether's price be much higher than it is today if it had a maximum supply cap from the very beginning like Bitcoin?

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