Altcoins Talks - Cryptocurrency Forum
Cryptocurrency Ecosystem => Crypto currency Mining => Topic started by: Fivestar4everMVP on December 07, 2020, 08:53:41 PM
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Hi Guys ,
i know that the crypto community gladly welcomes Burn, like when a project decides to reduce the supply of their token through burning a certain amounts off the total supply, this usually drives the price of such token up cus the community believes that the lesser the supply of the token is, and with higher demand, the price of that token will sure go up.
BUT ON THE OTHER HAND....
What happens when a project for whatever reason(s) decides to increase the supply of their token through minting new tokens ?
personally, i know this is beneficial for the project itself as this will help the developers raise more fund to run the project most especially, if an expansion of the project is decided by the team, But for the investors of the project, do you think think this is beneficial to them in anyway ?
Like see yourself as an investor in such a project, how would you react if the project youve invested money in and hodling for over 2 years waiting for price to go up makes an announcement letting the community know that they will be increasing the supply of the token by minting more tokens????
(https://i.imgur.com/is2VDJ3.jpg)