What is the technical difference between a 1 cent payment and a 1 billion USD payment?
Technically they would do the same as well, wouldn't they?
Lets say you want to use a IOTA feature (like you can create a nxt asset for 1000 nxt), which will require you 1 IOTA. And the ICO has 1000 equal in % users. Each has 1M IOTAs
You have 1000 users from whom you can buy . And 1 IOTAs would be 0.0001% of their share. That creates an offer and demand.
If the market determines 1 IOTA is worth 1 $, those persons would be willing to sacrifice that 0.0001% of their share for 1 $.
If for your purpose you can do what you need with 10^-9 IOTAs, you only need to buy 0.0000000000001% of the share of one of those persons. That is a different offer and demand situation in which the prize of 1 IOTA would be much less. Im sure any of those initial investors would love to sell 0.000000000001% of their share for 1$ cent
Yes, without crunching your numbers, this seems a reasonable behavior of the market participants.
In Nxt, with 10^9 coins in existence, you need 1/ 10^9 of those to be able to make a transaction.
While in IOTA with 10^9 coins in existence, you need 1/10^18 to make it.
This creates the scarcity of coins you need to use the network, which is limited.
That is the illussion im referring to when estimating the market cap users will give to IOTA.
But the question here is, why would the price only be reflected by the cost of a transaction.
If you can move something around at no transaction cost, would it be "worthless"?