With the upcoming Halving 9 May, we will be mining only HALF the amount of coins we do now...
Who will be mining this coin, when price will not double?
Sorry to say, but if mining XVG will be intense lower I will switch back to LTC.
Wondering what others will do
Lets hope that there are a lot of people thinking like you... this would mean decreasing of difficulty and more Verge for me 😀
It is common sense to think that the price of verge will double up as with half of mining the total of today will mean that the supply of more coins to the market will be halved. There are thousands of people who are selling their coins each day when they mine only a few are keeping them for long term. Those people who sell daily are keeping a restriction in the price to increase and if the mining supply will be halved then that flow of the coins to the market will be reduced and keeping the current demand of the coin we can say that the price will double up.
It's not really working like this. Would be perfect for all of us that mine XVG, but halving will not mean double in price later.
Even less with a such high max. supply.
Your scenario would eventually to some extend apply IF only the miner coins go to the exchange and nothing else, but that is not the case.
10% are left for mining and about 90% are on the free market. Or in other words, 15 Billion XVG are can be traded all the time and that's going to continue to happen. Whenever there will be a price change someone is selling and buying, and in most cases from someone in the 90% circulating supply and not from the right now fresh mined coins.
Too lazy and tired to make some mathematics at this time. But let's say 1M XVG are mined daily after the halving, that's 0.00666% of the available circulating supply that will or will not go to an exchange.
The halving will have about 0 impact in my opinion, just too much max. and circulating supply to have real impact, not even talking about double price as some mentioned. This will not going to happen for sure.
Although i agree with you in most of your arguments, i read sometimes now, that the higher max supply of verge, compared to bitcoin, has any influence to that. I dont think this is true. Of course the higher max suplly is responsible for a much lower price. But there will be a decreased number of new coins coming to the market. It can influence the price. Of course it will not double the price. But it could happen, that the price increases a bit. If you look at the last bitcoin halving, it took some time after that, but then bitcoin price rised. Att his time, just to keep the price as it is, there must be a demand that is high enough to compensate the new coins that come to the market. So if the demand (and i also mean the demand for the new mined coins) stay as it is, but the number of new mined coins decrease, this could result in an increasing price. We will see, hey it is crypto... Noone knows.
Regarding mining: In the end, there will be a lot of miners, that will switch to other coins. And after a few days, the earnings will distribute through the different coins. So i think the mining earnings will, after a short while, only go down a little bit. Of course it maybe, that the earnings will go down today, immediately after the halving, significantly. But it will go up again after a while. There will be less miners for verge, this means lower dificulty, this means more earnings for the miners that stay. A lot of people anyway do multimining with autoswitch, they will switch to other coins (this means the difficulty for that other coins will rise, and they earn less there...) After a while there will be a new balance again and everything will be fine.
