Post
Topic
Board Altcoin Discussion
Re: rpietila Altcoin Observer
by
AlexGR
on 05/09/2014, 21:55:24 UTC
The entire DRK instamine cost less than 50 BTC for two weeks after the launch.

I'm talking about amount of coins, which is what matters to the distribution of a coin. If you convert them to BTC then you have a BTC potential distribution issue and also a potential coin distribution issue with whoever you sold them told (or not, it depends).

Don't conflate the two.

Initial distribution would only be a problem in a world where markets do not exist. When the markets take over, distribution is sorted out according to demand.

No it is still a problem when markets aren't liquid or people don't pay attention. You are assuming markets are infinitely liquid and everyone (or most) participate.

We are talking about DRK here so I'm not assuming anything. I know DRK's price / volume and ascent from when it was 0.000025 (jan-early feb), to 0.00008, to 0.00018, to 0.0005, to 0.002, to 0.001 (after the 300 btc ccex hack that was turned to DRK then dumped to poloniex etc), to 0.0011-0.0016 for months, to 0.028 with the pump.

Quote
If someone starts with 80% of the coins when they aren't worth much, puts them away somewhere and they go up in value, then one day you have someone owning 80% of the coins later when it does matter (and when it is probably even harder to trade in such volume). This may also be an issue in coin markets which can move very fast before anyone even realize what they're worth.

If there's such an imbalance that renders a coin DOA, like Bytecoin for example, the market simply reflects the price and marketcap accordingly.