with this question I have.
If total supply is met and the total supply is in circulation and market cap shows in the billons. What is holding ATOM back in price increase or as others may say moon?
Thank you 🙏
Total supply increases every block due to inflation
Max thank you for responding. So when I see that CMC shows Fully diluted 2.4bn Does that mean that ATOM will have to create additional tokens and when that happens it drives the price down? Thank you
Yes, just like the dollar.
Thank you My next question is when developers create more coins and investors continue to buy and it stays diluted. How would price ever increase? Wouldn’t there be a lock? Meaning when the total supply is reached, it’s locked. And how would ATOM become more scarce in the future? Thank you, again, I asked these questions just for my own educational propose and understanding of how the crypto industry works because I am an investor in ATOM and staking them all to see if I can gain a supplemental income.
Hello, No price talks here. You can join price chats for all speculations :) https://t.me/AtomPrice https://t.me/cosmosecopricespec
My apologies, but I’m not asking for price. My question is. Is there a lock on the total supply?
You're welcome
Okay. There's no max cap on supply actually
Developers do not create new tokens. Every block due to inflation new Atoms are minted. There is no max supply but there is dynamic inflation model which has the floor between 7% and 20% ! Almost %67 + some atoms are locked in defi platforms. There are only over 100M Atoms in the curcilation. We are at early stage of Interchain security which can generate value for Atom delegators. Also please follow up Cosmos forum discussions regarding changing inflation/tokenmics/adding new modules etc. https://forum.cosmos.network/ So inflation/ tokenomics can be changed via governance. Developers have no control on chain parameters such as inflation etc.
Zoltan Thank you Brother 🙏
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