Quote from: bucciarati on September 03, 2017, 10:26:04 PM

Quote from: bmiller315 on September 03, 2017, 10:22:47 PM

Quote from: misterbigg on September 02, 2017, 05:12:06 PM

I doubt if XRP will ever reach to $1.
it got massive supply..

Yes, it does have a massive supply (relatively). And yes, all the tokens are pre-mined.

BUT

What no one takes into account is that every transaction on the Ripple network requires a small transaction fee in XRP (much like Gas for Ethereum). But since there are no XRP miners, these fees don't go to miners. Instead, they are burned. Every single time theres a transaction on the Ripple Network, there is less XRP in circulation.

I'm doubting many people here lack a firm understanding of economics to I'll explain further. When the quantity of a commodity decreases, the price increases. The demand stays the same (or even increases), while the supply is steadily decreasing. This is what's called "deflation" (opposite of inflation, where a currency is worth less and less).

is this is a well known xrp feature but the real question is: does this count when xrp is traded on exchanges?

A deflationary currency only one of its kind.

The american dollar has an endless supply