The high level of inflation (i.e. devaluation) altcoins is another reason for preferring Bitcoin as the main investment tool of the industry. Recently Alex Kruger posted on Twitter information on emissions of several popular coins. As it turns out, projects like the zcash for and XRP completely lose Bitcoin in this matter.
This morning the main cryptocurrency is trading at 10 346 dollars. For the past day its price has not changed, but the scale of recent weeks, Bitcoin lost almost 2 percent. Dozens of the largest altcoins most profit brought EOS — coin rose 8.96 percent in the last 24 hours. This is despite the fact that on the eve of a hacker stole 30 thousand tokens from a hole in a decentralized application.
Why falling value of currencies?
Kruger shared information from the analytical Agency ViewBase.
There is a noticeable percentage of coins ZEC and the XRP that are constantly thrown into the market. Not surprisingly, these altcoins have shown some of the worst results in terms of profitability in 2019. With the beginning of the year ZEC and XRP fell by 25 and 30 percent against the dollar. During the same period Bitcoin has risen by almost 2.7 times.
To my post the Kruger attached two tables with data on inflation of different cryptoprocta. Below shows the quantity of issued coins in recent days, the number of coins in circulation, the ratio of these quantities and estimated the annual rate of inflation. As you can see, the last indicator reaches zcash for 35.79 per cent. But the leader here Ethereum Classic with a score of 1.17 percent.
Here is another table for altcoins with a fixed annual inflation rate. Here XRP ranked first with the average of 27.89 percent. Recall the Ripple Foundation will issue a billion tokens each quarter. In cryptocommunist believe that such a policy harms the pricing of coins. Some even offered to sign a petition against the dump of XRP value.
But the inflation of Bitcoin is much lower — just 3.97 per cent per year. In may 2020, this figure will be halved. This month will be having, after which the BTC miners will begin to receive twice as less coins as rewards for each mined block. It is expected that reducing the supply of coins in the market significantly increase the demand for and the price of Bitcoin will start to rise sharply.
Previously known trader Peter Brandt said that 99 percent of all existing cryptocurrency projects are doomed to oblivion. High inflation plays an important role, because users are unlikely to maintain the coins, whose value is constantly falling. They simply sell.
On the most promising coins you can find in our cryptodata millionaires. More interesting articles we search for in Yandex Zen.
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