What happens if there is a default on $25 billion

Question

What happens if there is a default on $25 billion

of RSyield that affects it's peg by 5%? That's $1.25 billion of RSR that needs to be collected and SOLD to make the coin whole again. You don't think that would affect the price too much? Even if the default affects 1% on RSyield, that's still $250 million of RSR. Think $25 billion RSyield is too much? Let's go with $5 billion, and 2.5%, that's $125 million of RSR. Do you understand that RSR value needs to be massively increased to sustainably insure ONE RTOKEN? What happens when there are many RTokens with large circulating supplies?

#cryptocurrency #english #reserve

0

27.11.2021

14 ответов

18 просмотров

Smeddy-o | Reserve | will never DM

I think you're right. Just over a long period I'd expect RSR and RSx to ladder up together in a sympatico way. While RSR is not hooked in right now, I'd imagine if it was, it would be a safe mcap for current useage.

0

27.11.2021

Robert

Robert
The market will correct itself. They always do. Th...

My original point stands that the team doesn't need to worry about price. So long as the protocol and its implementation is solid, RSR will have value due to natural market forces. The team simply needs to focus on making a good working product.

0

27.11.2021

Ton

Robert
My original point stands that the team doesn't nee...

Thank you very much for sharing your opinion. I just had to look at RSR with a critical eye. We are not interested in fixed values. We have invested in RSR.

0

27.11.2021

Ton

Robert
My original point stands that the team doesn't nee...

Value is more important than high rewards. The higher the price, the more visible it is and the more investors are pressured to buy, hoping that the price will rise further.

0

27.11.2021

Robert

Ton
Value is more important than high rewards. The hi...

If price remains at the current level then after mainnet's dilution event Reserve will become a top 100 crypto project by marketcap. Reserve will get lots more visibility. With added visibility could come increased price. Long term I think RSR as an investment will do well. Short term I have no idea, it's pure speculation. That's just my personal opinion though, not financial advice.

0

27.11.2021

Ton

Interest rate hikes, if not immediately, will do a lot of damage to volatile markets like assets and coins. Then RSR will also be difficult. Faced with a Bitcoin decline, there will be no good news.

0

27.11.2021

Robert

Ton
Interest rate hikes, if not immediately, will do a...

If bitcoin goes down then it takes everything down with it. So it won't matter too much. Reserve is still priced as a top 100 crypto project taking into account dilution. So long as the Reserve team continues to execute then by mid next year I bet Reserve will be in the official top 100 list.

0

27.11.2021

Ton

Robert
If bitcoin goes down then it takes everything down...

Rank doesn't matter after everything is down. It is important to set the price above the current price. Bitcoin is also a risky asset, not an immutable value, so it can fluctuate up and down.

0

27.11.2021

Robert

Ton
Rank doesn't matter after everything is down. It ...

Rank matters for increased visibility. It'll be on more investors' radars.

0

27.11.2021

Ton

Robert
Rank matters for increased visibility. It'll be on...

When the price goes up, the ranking automatically goes up. It's good to go up as the pie gets bigger overall. Smaller pie than taking up a lot of leftovers.

0

27.11.2021

Zameen | kyrrex

Robert
If bitcoin goes down then it takes everything down...

Lol then what's benefit for rsr lol

0

27.11.2021

Zameen | kyrrex

Ton
When the price goes up, the ranking automatically ...

Exactly we need more value of rsr we dnt need any just

0

27.11.2021

Robert

Zameen | kyrrex
Lol then what's benefit for rsr lol

Visibility. Like I said.

0

27.11.2021

Robert · Accepted Answer

Robert

The market will correct itself. They always do. The protocol itself causes buying pressure, which increases the price of RSR. Default could cause selling pressure, decreasing the price. Stakers are rewarded for taking on the potential risk of default. As price lowers it becomes more attractive as an investment. Everything will sort itself out.

0

27.11.2021

209 похожих чатов

What happens if there is a default on $25 billion

14 ответов

Похожие вопросы