Amount/Market Capitalization && Naming convention
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I want to open a discussion on this again because i think there’s need for extra coins (billions of them).
I still believe it would be much easier to keep the global exchange rate somewhat near USD rate. Yes it’s digital currency but if it will enter the real world, like shops etc I think we still want to calc someway in our brain and not just by calculator/phone or something like that.
USD will never dissapear in my opinion, it will only be digitalized some day because certain aspects in social life can’t be anonimyzed. There will be always 2 different ways to pay.
I’m writing a feathercoin pool for the moment… still need todo some development on it but here’s some text from it:
[b]Amount and market capitalization[/b]
Bitcoin has a maximum of 21,000,000 coins ever mined.
Feathercoins maximum is 336,000,000 coins.
At time of writing 11,197,425 bitcoins are mined. Total market capitalization at this time was 1,473,301,306 USD.
This gives the coins market price which is 1.473.301.306 USD/11.197.425 bitcoins which comes to 131.57USD per coin.
Let’s assume all coins are mined and let’s keep the price per coin in a normal range of 120 USD. This gives a market capitalization of 21,000,000 * 120 = 2520 million or 2.52 billion USD
If more than 2.52 billion goes in the system, which is very likely, the exchange price will rise and the naming convention will change. Problem I see is that were speaking of centi, milli, micro,…
We’re used to these as little values but if 25billion goes into the system which isn’t that much at all we’re speaking of 1BTC = 1200USD so 0.001BTC = 1.2USD so 1 millibit(coin)=1.2USD and 1 centibit(coin) = 12USD
If 250billion dollar goes into the system 1 centibit(coin) would be 120USD
Little confusing isn’t it?
The crypto-currencies are going to carry all different currencies so market capitalization even can go into trillions. Yes that’s insane and there’s a long way to get there…
Feather coin can hold many more value at the same market price of 120 dollar.
334,000,000 * 120 = 40, 080 million or 40 billion USD which is a nice value to support other crypto-currencies like bitcoin or litecoin (84 million coins) if market prices of the currencies go to high to be reasonable.
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Market dynamics over market statics. It’s not how much you have or spend or trade, but how much you can sustain. We’re flipping the whole thing over.
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I don’t understand why people make no concern about this and just find computer solves this.
But it isn’t easy to change i think because if money flows to quickly into FTC or other crypto-currency and mining can’t keep up with it, the exchange rate will spike like hell.
Think FTC does a good thing by getting a block reward of 2.5 min/200coins into the market so things speed up a little…will this be enough ??
