It is true what the opening post said that small supply will make token prices more expensive. But why are so many new projects
circulating now choosing to create tokens with trillions of supply. In my opinion, because the project owner wants to pay promotional
costs with tokens, a large number of tokens is required. Therefore, many projects have held bounty campaigns with large supply tokens
that can attract many bounty hunters. With many bounty hunters promoting these projects, they can bring in many investors. It means
that the project owner will benefits.
Topic: Why are so many projects still making tokens with such large supply? (Read 218 times)
December 18, 2020, 07:08:08 AM
December 18, 2020, 07:07:56 AM
It is the demand that determine the price. No matter how small the total supply is, if there are no demand for the token, it will worth less. ETGF token is an example. Depending on the usage of the token, the total supply can be high all low. Most project that create token that are govern by prof of stake usually have high supply. In the real sense, when token total supply is very high, it is very unlikely that much demand have great reflection on the price. For instance it is very uncommon to see a project with 1B token reaching $1 per token. I have heard someone mentioning chainlink in a group but not many token have this price
December 18, 2020, 06:48:12 AM
Because they are greedy and only thinking of how to fill their pocket by dumping enough tokens on poor investors, i always wonder what is the need for a huge supply though, i really do not like to invest in project that have excessive supply like tron, hex now i see this new project - my identity coin- with 100 billion supply, what the hell for! that is just too much 
December 18, 2020, 06:30:23 AM
This has often been my question so far
We all know that if a project has a small supply, the price will be very expensive in the exchange, but why are so many new projects still making trillions of supply? do those who have a large supply don't want expensive token prices in the market?
Are they too greedy so that make a large supply?
We all know that if a project has a small supply, the price will be very expensive in the exchange, but why are so many new projects still making trillions of supply? do those who have a large supply don't want expensive token prices in the market?
Are they too greedy so that make a large supply?
More suppply means more money to come they can sell a lot of tokens to investors . This is the most common mindset of many developers that want to make his own coins or tokens and later on they will burn it to create a hype of the project so they can sold their coins to newly investors that will come not only to those early supporters . Low supply means less money to the developers since the amount they can own is only base on percentage of the coins they are building.
December 18, 2020, 06:26:09 AM
This has often been my question so far
We all know that if a project has a small supply, the price will be very expensive in the exchange, but why are so many new projects still making trillions of supply? do those who have a large supply don't want expensive token prices in the market?
Are they too greedy so that make a large supply?
We all know that if a project has a small supply, the price will be very expensive in the exchange, but why are so many new projects still making trillions of supply? do those who have a large supply don't want expensive token prices in the market?
Are they too greedy so that make a large supply?
Yeah, and the crazy part about is later they will be looking to burn some of the tokens after creating a huge supply, it makes no sense at all, some of them claim they create huge supply to match up to the nature of the project use case, if btc can have 21 million supply with all its use case and demand then i don't see why some alternative project can not produce a reasonable supple that will help sustain the price, huge supple is always something to consider.
December 18, 2020, 05:53:31 AM
Cryptocurrencies are very famous right now and at such times greedy pops up. Everyone wants to earn a lot with little effort. I think we should turn to large volume and reliable cryptocurrencies.
December 18, 2020, 05:13:51 AM
This has often been my question so far
We all know that if a project has a small supply, the price will be very expensive in the exchange, but why are so many new projects still making trillions of supply? do those who have a large supply don't want expensive token prices in the market?
Are they too greedy so that make a large supply?
More the supply then less the price per unit will be so making the total supply into trillions is the project's devs choice and it doesn't literally means they were about to make more money because if the project is shit then they are not going to make anything no matter what is their total supply value is.We all know that if a project has a small supply, the price will be very expensive in the exchange, but why are so many new projects still making trillions of supply? do those who have a large supply don't want expensive token prices in the market?
Are they too greedy so that make a large supply?
thats what im thinking too . if their goal is to make money why they create a coin with huge supply but there are actually coins that are not shit but have a huge supply and afaik a few of them are on the top list but the mostly the primary goal of those coin creators are not for the profit .
also most investors nowadays dont really care if what thier investing and will mostly grab low supply coins , they love shitcoins because they think it was a gem for them to get rich quick .
December 18, 2020, 04:44:33 AM
because from the start they only thought about money. if indeed they are serious about developing a project, they should be able to consider this. A large max supply can also reduce the trust of investors, especially if unsold tokens or coins are not burned. obviously it will end up as a shit project. so forget a project like this.
December 18, 2020, 04:35:45 AM
There are many reasons actually and as far as I know some of them are to create the illusion that the coin is affordable by having lower price and probably trying to pump the market cap hoping that price times total supply exceeds its former market cap.
I personally have no problem with that if the projects didn't intend to create new tokens or minting new tokens. It's only problem if the devs is minting like crazy while investor doesn't get their deserved share.
I personally have no problem with that if the projects didn't intend to create new tokens or minting new tokens. It's only problem if the devs is minting like crazy while investor doesn't get their deserved share.
December 18, 2020, 04:27:35 AM
maybe that question should be asked directly to the project in question, my assumption about the total supply of the new project is to maintain the stability of the coin so that it doesn't easily dump when it is on the market.
December 18, 2020, 03:59:14 AM
This has often been my question so far
We all know that if a project has a small supply, the price will be very expensive in the exchange, but why are so many new projects still making trillions of supply? do those who have a large supply don't want expensive token prices in the market?
Are they too greedy so that make a large supply?
We all know that if a project has a small supply, the price will be very expensive in the exchange, but why are so many new projects still making trillions of supply? do those who have a large supply don't want expensive token prices in the market?
Are they too greedy so that make a large supply?
It's because that's one way to attract investors, they can say that they are going to have a burn token process in the future, so that token could be worth let's say in a year or two. And I guess it's the norm though, projects created trillions of supply now and just hope that investors will suddenly pour their money on them. I've seen projects with trillion of supply being successful, so I guess there's nothing wrong with that kind of strategy.
December 18, 2020, 03:38:23 AM
Large supply isn't bad as far as the token use case fits in with the large supply, Ethereum is the second best crypto project and it has no exact max supply till today, max supply had nothing to do with the success of a project, what the team have in store is what will determine the success of any new project today
December 18, 2020, 02:58:07 AM
It's easy to pump and dump this kind of coins. It's also easy to buy it because you wouldn't be buying cents but instead a whole coin, imagine the hassle buying 0.0003 something coin, it would be confusing for me. That's why there's so many of them because of this traits.
December 17, 2020, 08:47:59 PM
This has often been my question so far
We all know that if a project has a small supply, the price will be very expensive in the exchange, but why are so many new projects still making trillions of supply? do those who have a large supply don't want expensive token prices in the market?
Are they too greedy so that make a large supply?
We all know that if a project has a small supply, the price will be very expensive in the exchange, but why are so many new projects still making trillions of supply? do those who have a large supply don't want expensive token prices in the market?
Are they too greedy so that make a large supply?
Those tokens want to liquefy their supply throughout the crypto market even though the price won't even reach up to $1 in the future like what we have seen with Ripples and its like. Now, this is some problem for those people because doing such things required them a huge amount of money and they also need some popularity. That's why we can see right now that those tokens that have huge supplies have not been successful these recent years except for a few.
December 17, 2020, 08:27:47 PM
I am not happy with large supply. Few days back, You engine project has same scenario and most of the tokens are now huge supply. Their tokenomics are not good and the circulating supply should be limited and more realistic with the market demand. Because, quantity can't make your quality.
The total supply didn't give a significant impact on the price and did you see how ripple has 100 billion as its maximum supply?The dev could take advantage of putting more supply rather than use the low supply. Imagine when they have been using a very high price as the start price to trade their tokens and then the dev gets more pre-mined coins from there. The dev itself was taking the benefit from taking the big supply.
December 17, 2020, 08:03:50 PM
This has often been my question so far
We all know that if a project has a small supply, the price will be very expensive in the exchange, but why are so many new projects still making trillions of supply? do those who have a large supply don't want expensive token prices in the market?
Are they too greedy so that make a large supply?
We all know that if a project has a small supply, the price will be very expensive in the exchange, but why are so many new projects still making trillions of supply? do those who have a large supply don't want expensive token prices in the market?
Are they too greedy so that make a large supply?
it's all about the original goal of that project. if only for investment it is very profitable if made with a small max supply. look at today's Defi project, the max supply they have is a little on average. large max supply looks greedy but if the initial purpose of the token was for utility on the platform. large max supply can help to prevent scarcity and make it more stable.
December 17, 2020, 07:44:58 PM
I am not happy with large supply. Few days back, You engine project has same scenario and most of the tokens are now huge supply. Their tokenomics are not good and the circulating supply should be limited and more realistic with the market demand. Because, quantity can't make your quality.
December 17, 2020, 06:48:29 PM
This has often been my question so far
We all know that if a project has a small supply, the price will be very expensive in the exchange, but why are so many new projects still making trillions of supply? do those who have a large supply don't want expensive token prices in the market?
Are they too greedy so that make a large supply?
The low supply capped tokens started with the Yearn.Finance and other Defi projects followed them to have a low supply but not all of them as successful as YFI. We all know that if a project has a small supply, the price will be very expensive in the exchange, but why are so many new projects still making trillions of supply? do those who have a large supply don't want expensive token prices in the market?
Are they too greedy so that make a large supply?
But during the ICO period, too many altcoins have large supply because it seems to be effective to them. Just like as XRP and Ethereum but it doesn't really make sense if the project has a high or low supply. What matters with them is the demand and its usage.
Whether they have billions or 10,000 supply in circulation or on its economy but if it doesn't have real use, it's a useless token. Demand and use is what really matters.
December 17, 2020, 05:12:47 PM
In my opinion it's to offer to populous countries like China, India, Brazil or to ensure that each investor can have a considerable amount of the project. However, for this strategy to work, the investment fund has to be huge at least initially to generate price leverage and generate demand. Another interesting aspect is the community that can ensure this gigantic supply by generating armor and strengthening demand, but few projects have achieved this.
December 17, 2020, 03:22:31 PM
I don't find any logic behind those decisions too. Tokenomics of most project is just wrong. It's very rare to see a balanced supply. Usually, supply is polarized from trillions to 'scarcity' low.
Maybe the solution would be some site with authority in the field to write a guide on How to create a proper tokenomic?
Maybe the solution would be some site with authority in the field to write a guide on How to create a proper tokenomic?
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