💸 Inflationary vs. Deflationary Coins: What Happens to Your Investment? 💎
Did you know that some cryptocurrencies lose value just by releasing more tokens? 📉 It's like printing money uncontrollably: more supply, less demand. This is common in inflationary coins such as:
XRP: Ripple constantly releases millions of tokens from its reserves.
ADA (Cardano): Still has many tokens left to mine.
SOL (Solana) and DOT (Polkadot): High levels of annual inflation, and part of these reserves are used to pay developers.
ICP (Internet Computer): Uses tokens from the reserves to pay developers, which increases inflation and affects the holders.
SHIB and DOGE: With unlimited emissions, their value tends to dilute.
👩💻👨💻 In projects like DOT and ICP, developers receive funding directly from the reserves. This can be beneficial for the ecosystem, but what happens to the holders? Their investments are affected by inflation. Wouldn't it be better if developers generated their own income, as is the case with fees in more sustainable projects?
On the other hand, deflationary coins tell another story. 💥
Bitcoin (BTC): Has a strict limit (21M) and a high production cost that stabilizes its price.
BNB: Regularly burns tokens, reducing its supply.
Ethereum (ETH): Since EIP-1559, burns transaction fees, reducing its supply.
🔥 In crypto, choosing coins with controlled supply is key to protecting your investment. What do you prefer? Inflation or deflation? 🧐 Share your opinion and let's talk about your favorites. #criptonews #CryptoReboundStrategy
