During the interview between Crypto Rich and Richard Ella, there was a brief moment where Ells does touch on what would happen if the ETN price were to raise too far, to the point where the two-decimal-place system would no longer function properly.
I understand that 1, Ells response was spur of the moment, and 2, even if there is a chance of this problem it is a long way off…
However what he did respond with brought me some concern.
I’ve been under the impression that the easiest fix for for an overpriced ETN would be to have a hard fork and increase the decimal places.
The response from Ells was more along the lines of “if the market went crazy enough to have an overpriced coin, we would have to inflate ETN.”
Higher maximum number? Eek.
Any thoughts? Thanks.
My only question is what price would be too high? Does anyone have an actual answer?
Changing decimal place defeat the foundation principle of etn. I think what he meant is to have a hard fork so you will own 2 coins instead of 1 and then deflate the value by half.
Yes 10 dollars will be the maximum as you can not break down 10 cents which is probably a lot in the developing world as 0.01 will be worth 10 cents.
Do you have the timestamp of when this was discussed?
I like this idea. Countries with very high inflation also do this to make the currency more “spendable”…
There is no way he is seriously thinking about adding billions of new coins, simply no way!
He is not stupid, i gather that from all the times i’ve watched him speak and i refuse to believe that this is a road on which he would go down.
Adding a decimal place is Definitely the way to go.
I don’t remember him saying this in the interview, maybe I didn’t pay good enough attention.
But I think he means that if the coin value goes beyond the point where adding a decimal place can mitigate this effect, then they would have to inflate it to prevent it from becoming a 3+ decimal coin.
To be honest, if that time ever comes, I don’t think you are going to worry about more coins being added if you bought coins at $0.005.
The two decimal places is something I have had concerns about also would be nice to hear more said on this but my guess it good at the rest of yours. Even if the coin didn’t come up to a crazy amount it would not be able to be rounded down very far so I have some questions regarding this also.
You are entirely speaking my mind, thank you.
My concern is the devaluation factor. One more decimal place seems like little sacrifice in place of that.
I feel the same way. That’s why I’m bringing this up - because it’s not clear at the moment and I’m hoping for some form of rationale.
Lets not forget unless someone knows how easy/hard it would be, changing the decimal place might be very complicated hence why maybe he didn’t just say that.
Ah ok thats good to know, thing is I do get somewhat the decimal thing but with how smart most apps are now they show you exactly what the amount is in your local fiat usually It does go back on what they said but changing the decimal places does not seem like a big deal to me In that sense.
Maybe were all getting way ahead of ourselves who knows it could take years and years for ETN to get to a dollar it may never get there
Yeah if thats the case It would make sense for them to just change it I thought it would be a complicated process. Thanks for the info
I dont think this is a problem becasue ETN’s price is a reflection of the market and what people ‘value’ the coin at. If say for some reason ETN is at $100, that means 0.01 ETN is $1. For this to have happened, the market would clearly see ETN as worth $100 and are willing to accept 0.01 ETN for $1. Maybe, at this point, there is another currency with more decimals that are used to purchase smaller priced goods, while ETN is becoming more for ‘stored value’ or used to purchase goods that are more pricey. Remember, ETN wouldn’t face decimal issues are high prices because the market drove it there in the first place. Not to mention, being to pricey for decimals is a problem I think we can all smile about =D
ETN has modelled a few dollars. Beyond that…inflation.
its a tough decision, the research showed that two decimals is the way to go, and increasing the supply means a very angry MOB! what to do? its a tough one.
Could they really just increase the max supply? Isn’t that, like…breaking the rules, or something?