Quote from: EPLDCC on February 11, 2015, 11:01:01 PM

Quote from: 24hralttrade on February 11, 2015, 10:18:41 PM

Quote from: jdczrs on February 11, 2015, 10:08:20 PM

Quote from: EPLDCC on February 11, 2015, 09:57:02 AM

Quote from: voephilisI on February 11, 2015, 08:30:30 AM

how much value can one dgb have when we have 3,474,725,802 DGB atm?? I am always a bit stumped for an answer.

There is so much volume an not a "real" use atm. We can't buy a lot with DGB. The price comes from the great development of the DGB team. And that is always a little problem I think.

If we see a 500 Sat price we would have a 4 m marketcap.

and there is only bytecoin with that supply, bitshares and stellar.

Okay, I see it is possible Cheesy

never mind! Will buy some more Wink

Your question has - I think - both important and complex answers. In his Treatise on Money, Schumpteter describes a hypothetical example of a person considering the value of a car. He writes:

"in practical terms [the point] is to clarify to himself the possible changes in car prices ... but if we look more closely, we see that determining that a car of a certain kind is worth [a certain amount] to an individual at a specific time, has much broader and deeper meaning ... it has as little to do with possible prices as with the actual prevailing price. It means nothing more than the attempt of the individual to clarify his estimate of the use value of an automobile ... to quantify that use value."

I might suggest that your question, like many of the other posts about possible price changes, are efforts to quantify the possible changes in exchange value. But, importantly, they are also attempts to estimate the use value of the development and management of DGB. Clearly, the professional management and development of DGB drives investment (both in terms of community engagement and money). We've seen evidence of that effect over the past 2 months, and I believe we'll continue to see more investment and involvement in the future. There are many coins with higher market caps that aren't even close to the level of professional development, funding, or community involvement that DGB has; they have higher market caps simply because they've been around longer. We are, however, now making analytical judgements about what investors describe as "differential quality" and that requires more qualitative than quantitative analysis. In my analysis, the numbers look really good for DGB. Simultaneously increasing average volumes and prices. A strong volume to capitalization ratio (DOGE's average over the past month is around 0.3% ... Ripple and BTC are around 0.1% ... DGB is close to 2%). DGB also has a tremendous savings premium over the past 3 month and 6 month time frames. All these quantitative analyses point in the right direction. When you additionally analyze the differential quality of the management: they actively work toward, and invest in, and fund, and directly manage the development I think it puts DGB in a fantastic position for future growth - both growth in use and value. But, your sort of question is super important. It's a question that needs to be asked. And, it needs to be asked again and again to understand, and create, and develop the value over time.

Very nice analysis, I appreciated that. I hadn't considered their volume to cap ratio so thank you for that. Crypto to me is still extremely speculative and I do appreciate the community support DGB enjoys as well as the management involvement. It made me as comfortable as I could be with the legitimate effort being made here. This sector is full of IT folks with impressive skills, idealists, and more than our share of charlatans so it took me some time to jump in.
I can say I've never had another company/investment with an owner like Jared contact me personally over a somewhat trivial support issue. He took the time to reply to me twice. Just goes to show that this team is committed from the top down.
I've only gained more respect for them.

Totally agreed and you are more then welcome!

Thanks to both of you. I also agree that most all investment in digital currency is speculative - at least presently. A couple of days ago I read an article in Forbes (I think it was Forbes) about the current market speculation in Russian equities. The article said something like: current investment in Russian equities are being driven by momentum trading because the economic fundamentals are unknown. I thought that it has broad similarity to current investment in digital currency ... it seems to me like most traders adopt strategies of either momentum traders or news traders. But I think we'll start to see more contrarian and value trading strategies in the coming years and months. One of the main reasons that I strongly support DGB is because I think it will stand up to a more professional analysis of value over time.

Personally, I find it really difficult to assess value and analyze digital currencies because they behave like stocks, commodities, and currencies - all at the same time. Over the past few months I've been working (very slowly) on analyzing different kinds of evaluative strategies to see which work best. None are perfect yet ... and, mostly, I just do it for fun in my spare time ... but, I'd love to hear any ideas you have.

I'm really invested in DGB rather than seeing it as a trade.
...they behave like stocks, commodities, and currencies. Man, did you nail that one. You sound professionally experienced to me so I'm not sure I have much to share.
I did dabble in commodities back in the early to mid 90s and up to the housing bubble crash around 2008 stock options. Some fairly leveraged items to be sure. I learned to be careful with my stop orders and hedges. Pretty dangerous at times I'll admit.
I haven't figured this out yet since the current lack of a USD/DGB exchange seems to create a somewhat leveraged and forex feeling position at the same time. DGB and a couple other cryptos (prices) quite often move independently of BTC. You could have a positive move in DGB with a lower BTC price cancelling out your gains once you get back to USD - better for us if both move together on long positions. Feels like trading on a slinky.

Again, I'm invested in DGB, but in trading other cryptos I think it might be worth taking advantage of the forex-like exchanges. Even bouncing between the various exchange sites taking advantage of the price differentials - provided I don't get eaten alive by the fees. Most of them aren't serious in my opinion, but as long as there are folks buying into some of them there's a profit to be made.