Hi, today I'll talk about coin emission
Will look inside of Bitcoin, Monero and Electroneum emission
Emission is one factor of coin price
It'a almost like inflation in fiat currency
In cryptocurrency, new coin are mining out to market for every blocks
For fiat currency, goverment print there own money out to system
Goverment have there own right to printing there own money, this depend on there financial policy
Printing money too much will cause high inflation and make there money weak compare to other
Let's take a look in to cryptocurrency world
In POW blockchain system new coin is mining out every block, almost same as fiat currency
The different is goverment can print there money out whenever they want, depend on there policy and unlimited
In some period they print money out to take a dept or economic stimulus
In Venezuela, there goverment have financial problem, they have to print out there money to cover there debt
A lot of money out to system cause an inflation crisis
As we see in the media, they have to bring ton of money for buying food
Huge inflation cause there money almost useless
Let's take a look in to Bitcoin emission
Somebody may think cryptocurrency doesn't have inflation
Actually it's was only limited in quantity
Max supply of Bitcoin is 21M BTC
Circulating supply is 17M now
There are new BTC coin coming out from mining all the time
This will increasing circulating supply
New coin can cause an inflation too, this depend on market demand on that period
Although quantity of BTC is increasing all the time, but high market demand is more than new BTC out, This keep BTC value increasing for all over 9 years long
In fiat currency, there are no limit in quantity, and no emission pattern specifically this is the big different
Now Let's see Bitcoin emission chart
Blue line, Emission of BTC mining will decrease a half every 4 years
Now we have pass 2 times of emission half decrease
If we look in to price history of BTC, There will be price surge in period of emission half decrease
Price was surge up more than 1000% in each time
Next time will be in 2020
Just wait and see, will it repeat surge? and how will the price be after 2020?
Bitcoin have step down emission pattern
Now, let's see Monero (XMR) emission pattern
Monero was original of Electroneum, the emission pattern for both are in same pattern
Monero use smooth emission not same as Bitcoin
Emission will decrease in curve exponentialy
Monero was 4 years old now and will be 5 in May 2019
First block reward was 17 XMR
Each block, there will be 17 XMR out to system in first period
Now there are less than 4 XMR reward for each block
Emission is decreasing continuously
It'll be trend to 0 but never be 0 and will be constant emission in the future
From chart, mining will be more and more difficult in the future, new XMR out to market will be decreasing also
Compare to Electroneum, It also use smooth emission same as Monero but different in total supply and quantity of pre-mine coin
In white paper, It shown equation of smooth emission.
But it's difficult to understand, I decide to leave it and plot from block explorer for both Electroneum and Monero
Monero chart show 4+ years long but Electroneum was only 1 year
In the period of 1 year, Electroneum block reward/minute was decreasing from 8K ETN to less than 5K ETN now
Emission decreasing for both will be around -35% to -40% for each year
Next years will be another huge emission decreasing
It should be in the same way as Monero
Now let's see the price in the past
Monero was 4+ years old, we can see trend in long period of time
First lunch in 2014, Monero price was around 1-2$
Then in next year, it was drop to less than 1$ or around 1/3 price discount
Then after 2 year, it's was boom from 1$ to 30$ yearly growth
150$ in 2017
Now 2018 crypto market is in bad mood, price was down to around 100$
Decreasing in emission is one factor that relate to higher price over time
New coin supply to market is decreasing over time, demand will bring the price higher
For Electroneum, It still in the begining period
ICO price was 0.01$
Price was high fluctuate between 0.005$ - 0.2$
It begining period miner can get a lot of coin compare to total supply in market, they selling can make huge effect to the price, This may cause high price fluctuated
Compare to Monero which already pass the beginning period, price fluctuated was not high as Electroneum
In begining period of Monero there price also high fluctuated
Many years pass, new coin out from miner will be less compare to total supply
Selling from miner will have less effect to market, this should be 1 factor that bring lower price fluctuate
Electroneum is still in high emission period
It's high possibilty for Electroneum, that price and marketcap will be growth same as Monero model
From my opinion, I think Electroneum will be grow faster than Monero, Because of high number of user growth
Only 1 years, Electroneum got large community, Instant payment system, KYC, and many vendors contract, which will be lunch in near future
All this, should bring Electroneum grow very fast
Now, it's opportunity to buy since it's not expensive
This is my opinion and i'm not a financial advice
Just my opinion, I can't garantee for any profit or respond any loss :)
That's all for now, thanks for watching :)
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