Quote from: MindGrenade on August 27, 2014, 02:20:46 PM

Quote from: ared on August 27, 2014, 08:00:46 AM

Quote from: MindGrenade on August 27, 2014, 06:58:59 AM

From your post, it's obvious you are concerned about miners' dump and how do we sustain the price.

Well first of all, I believe that there are about 400k CANN mined per day, BUT only until Mid September 2014, whereby the mining reward will be reduced to 52.5 instead of the current 210, so about 100k CANN will be mined then, till 450 Million CANN and this will take approximately 8.5 years!!!... However, if you look at the daily volume recently, you don't see 400k volume per day other than the occasional 1 day volume spike probably caused by some whales that have just entered Cannabiscoin or may be looking to accumulate more of these cheap CANN!

So what does this tell you?

It simply says that NOT all CANN mined per day will be dumped. Yes, miners have bills to pay (e.g. electricity, hardware, etc), BUT some miners are speculative miners. They are mining CANN as an investment for mid to long term.
Speculative miners will not instant dump whatever they mined, they will HOLD! Yes, there are smarter miners these days unlike in the early days of BTC, besides Satoshi, most would just instant dump.

So why are some miners not instant dumping?

Easy answer! CannabisCoin is way undervalued, and I mean way way way way way x100 undervalued.
Why? Imagine the peg being announced as 10 Cann per Gram for being conservative in my example below, although I strongly feel 1 CANN per Gram is still the way to go and my hunch says dev will announce peg as 1 CANN per Gram.
Anyway, let's go with 10 CANN per Gram:

Assuming 1 gram of Medical Cannabis costs on average US$17 (This number is provided by CANN Dev), then @ 10 CANN per Gram, each CANN is roughly worth US$1.70

@$1.70, it is about 340,000 Satoshi vs current price of about 1,000 Satoshi (Hint: Potential 100x here, can't you see?)
@$1.00, it is about 200,000 Satoshi
@$0.10, it is about 20,000 Satoshi (Still decent 10x, if you managed to buy CANN below 2000 Satoshi)

So as you can see from above, the risk to reward is too good for speculative miners to simply instant dump CANN, not until CANN reaches close to parity which wouldn't happen overnight any way.
Therefore, by pegging @ 1 CANN per Gram, the Reward to HOLD since @ parity, 1 CANN is potentially worth US$17... I say, you won't have to worry about miners dump too much!

Tick-tock Tick-tock... Time is running out for cheap CANN!!! Remember ON or BEFORE 1st Sept 2014, the pegging announcement will be made.
Don't do last minute shopping please! This isn't X'mas shopping whereby retailers will drop price the day before X'mas!

Assuming the price of 1cann peg, and a price of say $8, which would be roughly half fiat value, even 100k new CANN a day is still $800,000 worth of sell pressure. At this point miners will want to cash in, as if it is close to the pegged value, why continue to hold?

It would need many new dollars coming in for actual utility of the coin, and while at some point with enough adoption $800,000 worth of sales per day may be achieved, I highly doubt these strains will muster 800k a day worth. Bear in mind this is $800k buy volume, not just trading volume. Even big companies don't muster that much in BTC sales per day.

Or 100kg a day in terms of actual utility vs 10kg...

At 10cann, its more likely $80,000-$100,000. With good merchant adoption across several stores these are more achievable figures. I understand where you are coming from, but I do think that putting it at 1cann is unsustainable in the current market. The best peg value is determinant of the sales volume of the merchants that are on board

Wow...learn to factor in the mining difficulty if it gets to that level of 1 cann=1 gram....you can hardly mine any at the price it is. You're also assuming that all miners do is dump their coins the second they mine them. That's not how it works...at all.