Quote from: zauberer on June 23, 2017, 09:04:19 AM

Hey Brad Lee,

I read the Marketcap article you provided, but it still tells nothing new that we don't know.
We know liquidity is important but now only BTC has proper liquidity. You saw what happened with Coinbase ETH glitch 2 days ago when a miriad of stop-loss orders got triggered in a chain reaction to bring the price to $0.10/ETH. So we'll leave liquidity out of the conversation.

In the article they give Auroracoin as an example - WTF?!?
Syscoin is a normal digital asset with NO funds left locked to be released at a later date or under a certain condition. It's all available NOW, with the normal inflation rate for the next over 50 years, something common like in Bitcoin and Litecoin.
525mil. coins available now in circulation with max circulation of 888 mil. coins in 50 years. Nothing hidden, nothing left aside.
1.5% inflation/year until 2028, then 0.75% inflation. Just FYI US FED's inflation goal is 2% and beyond per year.

From the coin specs whitepaper:
There is a 888 million maximum coin limit. 1 minute block time. Proof-of-work SHA-256 merge mineable (majority of network security coming from Bitcoin). Syscoin 2.0 had a block reward of 54.13. Syscoin 2.1 which was released on December 18, 2016 represents a halving event in block rewards reducing them to 16.39 per block (a reduction of 330 percent).

That is what I call scarcity of supply.
I try to and I still don't get your point. In normal coin distribution, things are...normal.

What is your definition of scarcity?

The coin is scarce enough. Scarcity is inflation rate. How much surplus of it do you get each day guaranteed. And distribution schedule is great - only 40% of max circulation will be added in the next > 50 years. 60% already available for less than 3 years since coin's inception.
It has this distribution because it will be a market-supporting coin after all, it will be actively used as a medium of transaction, medium of exchange.

Market capitalization is the leading indicator about a digital asset's value. Price doesn't mean so much. Price doesn't have any relation to scarcity.
It is just marketcap divided by number of coins. Simple.

And psychologically for transactions I would prefer having a coin that costs a few dollars rather than a few hundred dollars like ETH.
Easier to handle, easier to get accepted and utilized, plus ordinary people easily getting used to it.
Because that's the goal - mass adoption!

And regarding marketcap, take a look at market caps around Christmas 2016, when the article was issued:
https://coinmarketcap.com/historical/20161225/

I have extracted data about a selected few coins then and now:

25th DEC. 2016:
#Stratis - 36th / $6.066 mil. marketcap / $0.061770 per coin / 98.2 mil. coins in circulation
#Siacoin - 45th / $4.503 mil. marketcap / $0.000208 per coin / 21,692.3 mil. coins (21.6 billion coins!)
#SYSCOIN - 48th / $4.267 mil. marketcap / $0.008182 per coin / 521.607 mil. coins

23rd JUNE 2017:
#Stratis - 10th / $746.761 mil. marketcap / $7.59 per coin / 98.4 mil. coins (+0.2 mil. since 25th DEC. 2016)
#Siacoin - 14th / $541.766 mil. marketcap / $0.019958 per coin / 27,145.03 mil. coins (+5,452.73 mil. / i.e. +5.45273 billion coins! coins since 25th DEC. 2016 -> 25.136% inflation for less than 6 months!!! That would give over 50% inflation rate per year for Siacoin, compared to 1.5% inflation rate for SYScoin, 34 times higher inflation rate than SYS!
But somehow, it doesn't bother marketcap and price per coin for Sia!)
#SYSCOIN - 41st / $124.515 mil. marketcap / $0.236884 per coin / 525.637 mil. coins (+4.03 mil. coins since 25th DEC. 2016 -> 0.7726% inflation for 6 months / ~1.5% inflation per year, as scheduled)

NOW, these coins above are the ones that I would define as having great potential, and accidentally, were really close to each other in marketcap on 25th DEC. 2016. BUT:

How come Stratis (+42.1% marketcap over SYS on 25 DEC. 2016) now has +499.73% (6 times!!!) higher marketcap than SYS?

How come Siacoin (+5.53% marketcap over SYS on 25 DEC. 2016) now has +335.1% (4.35 times!!!) higher marketcap than SYS?
How come Siacoin with such a high inflation (>25% for less than 6 months), gained so much in marketcap - following your logic? Not only it has over 27 billion!!! coins - huuuuge distribution, but also so much inflation for such a short time for an "established" coin!

Because...

Market is a bitch sometimes.

For me all 3 coins above are great in what they *PROMISE* to achieve.
But I have seen nothing tangible in terms of products from Stratis and Siacoin to uphold their words. Just words and bare promises so far. And they still boast 6 times and 4.35 times respectively higher marketcaps than SYS! I am especially suspicious of Sia cloud storage promises to deliver 10 times!!! less expensive cloud storage solution than the cloud storage offerings of established companies like Amazon, Google and Microsoft who can provide economies of scale because of their dimensions and mind-boggling customer base, not counting smaller cloud storage companies who claw to stay relevant and not get out of business! And then comes the savior Siacoin with promises of 10x (not 10% but 10 times!) cheaper prices of cloud storage. In conditions of fierce competition for customers? Give me a break!!! Something's not right. Something's gotta give.

But I digress..

SYScoin, on the other hand - with THE lowest market cap among the coins with highest potential will have its main product released probably this week!!! For sure. And we know it is coming in the next few days at the latest...because the Blockmarket status was at Beta 4 version just over a week ago!
It is going nowhere but to be released as we speak. For STRAT and SIA not really. But still this huge difference in marketcaps!

Now tell me if you are a SMART INVESTOR - where would you invest???

And last but not least which would be more valuable for the average Joe in the long run - a development platform for .NET (Strat), a cloud storage solution (Sia) or a decentralized marketplace (SYScoin)? Did our predecessors and ancestors have 1) a development platform, 2) cloud storage, or 3) a marketplace 50 years ago, 500 years ago, 5000 years ago?

Nuff said.

Just my 2 cents.

Now that was a great read! We don't get to see that kind of analysis often on bitcointalk, and I agree with pretty much everything