Quote from: AlanX on December 08, 2016, 03:59:47 PM

Quote from: Mrfrismint on December 08, 2016, 03:40:29 PM

Quote from: GameStarter on December 08, 2016, 03:38:04 PM

Quote from: mtnsaa on December 08, 2016, 03:19:01 PM

Quote from: Mrfrismint on December 08, 2016, 02:55:50 PM

Current amount of FCT (8.7 million) x value of FCT (1.9USD) / EC price (0.001USD) = 16.500.000.000. So this is the amount of entries that can theoretically be made with the current price of FCT, while Factom is now at 5.7 million entries. Seems like a big difference, but we all know once Factom starts to acquire big companies with big data sets to store on Factom's blockchain, it can go pretty fast. 16.5 billion is then suddenly not so much anymore. Especially if you keep in mind that a large part of the FCT will never be available for convertion into EC's, as they are used for trading/speculation and long term holdings. So in reality there are way less FCT available to really burn into EC's than the number of 8.7 million. This will drive the price.

Plus to me the inflation is not something that crazy, many fear that 73k FCT per month is crazy, but that basically means (if the company survives without burning any FCT) that it will double its supply in 10 years. So 16-20m FCT is not a huge supply either and that's the worst case scenario. That would never happen because the company will actually go out of business.

In any case and we any real usage, inflation will be very low or even deflationary. So if Factom gets any kind of traction that means the current price is a steal like many of us have said in the past.

I don't understand how FCT could be available to be burn into EC's before M3 as FCT's are always hold by someone in Poloniex or wallets. Actually and until M3, where burned FCT come from?

That is actually a good question. Maybe someone from Factom can answer this here?

Anyone holding FCT can convert that FCT to Entry Credits in a Factoid Transaction (our wallet handles building such a transaction). So I am not quite sure what the confusion is. You can buy FCT from Poloniex, then convert that FCT to Entry Credits. Or you can buy Entry Credits directly from Factom.

https://shop.factom.com/

(A note about shop.factom.com: The idea isn't really to be a source of Entry Credits, given a price of .5 cents for something you can convert yourself for .1 cents. The idea is really to provide a low friction path to Entry Credits which avoids wallets and Factoids and Exchanges.)

We expect there will be other sources for Entry Credits over time.

Paul

Thank you Paul.
It's better than what i thought. Factom customers don't even have to adopt crypto (buy btc, then buy FCT...) to use the technology. It's a killing bussiness model. Factom is using the best of blockchain tech without hustle their customer with it. EC's demand directly act as buy pressure at the market price.
This misunderstanding point out that investors clearly need to be educated to be able to fully understand Factom valu. Even if i've followed factom for months i didn't totally integrated this point and it look like i am not alone.

GameStarter

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