Hi, the point made in this video is that you simply couldn’t buy something worth cent if ETN was worth any more than one dollar, but it turns out (and Richard Ells confirmed this in his interview with Crypto Rich) that if that ever happened, then Electroneum would need to have an ‘inflation event’ which would add another decimal place to your ETN balance effectively allowing for each .01 ETN to be divided up into 10 bits. Then if one ETN is worth $10 and you wanted to buy something worth 1 cent you could pay .001 ETN. This is how I understand it would work in the future. We would need to check with the developers to check if I’m right.
What is the video actually?
We had a drawn-out conversation about this specific topic. Hope it answers any questions!
honestly I’ve tried to think through the consequences of this, but get very quickly confused. I hope one day to have plenty of time to spare to sit down and do the maths. My hunch is that adding the decimal place does not really change the supply, but I think one would need to at least try out some models to see how the economy would potentially react.
My guess would be that the team has already worked this stuff out.
There was a big fuss a while ago about the “fact” that Electroneum is a 2 decimal coin.
It’s not. It’s based on Cryptonote.
Behind the scenes I believe it supports 12? Decimal places. We simply see 2 in the official apps.
A change to a single line of code could display all decimal points- if required.
So, if we ever hit $1 Or higher, an extra decimal or two would most certainly appear in an app update.