Post
Topic
Board Tokens (Altcoins)
Re: [ANN] Bancor | Protocol for Smart-tokens, solving the liquidity problem
by
Shahrul09
on 23/06/2017, 10:09:59 UTC
TOTAL SUPPLY
81.862M  Cheesy


With each purchase through smart contract , new bnt will be created (bnt is unlimited) . Hence the supply increase , and this increase the value too

Won't this constantly dilute the value of existing tokens? Why should anyone hold then?
Its so fckng different from other token out there.
I just wrote  there that with the number in circulation increase the value of bnt increase, is that so hard to grasp?

https://www.bancor.network/faq/general
'Smart tokens are compatible with the ERC20 standard and can be used by any software that supports this standard, such as Ethereum wallets. However, smart tokens offer additional functionality not available to regular tokens. Each smart token holds a reserve balance in one or more other ERC20 tokens, thereby enabling anyone to exchange between itself and any of its reserve token(s). The smart token’s smart contract issues new tokens (expanding the supply) to anyone who purchases it with any of its reserve tokens, and withdraws tokens from the reserves (contracting supply) for anyone choosing to liquidate the smart token. The price of a smart token vis-a-vis any of its reserve tokens is calculated as a ratio between the current smart token’s supply and its reserve balance, at the pre-set CRR (Constant Reserve Ratio.)
Please read our white paper available on the Bancor website for more detailed information about these formulas and their proofs. Essentially, a smart token’s price will always strive to balance supply and demand for the smart token, meaning that when it is being purchased the price is climbing, and when it is being sold, the price is dropping, in relative proportion to the respective transaction sizes.



https://docs.google.com/spreadsheets/d/1ns5fS7CvHyZyoxXC0GJWxd_ncsB04F3iAOb2dHHmtJY/htmlview#gid=877776767


https://medium.com/@racooma/the-simplest-pricing-simulation-about-bancor-bnt-6d3e6e783e2?source=linkShare-d84efd6f4258-1497536359