In the stock market, reverse splits never work and they are always seen as desperation moves by dog stocks.
Why don't you people kill the inflation right now - stop the subsidy. That's better than a reverse split. It's exactly like a stock BuyBack. It's a bit late but there's still about 20 billion more karma coins to be minted, correct? So kill that via a simple code update. A lot of top coins have done it - like NAUT, DarkCoin, MAX, etc., and it's a very smart move unlike a reverse split.
The other option given it's late in the mining cycle, is to put some of that investor money to work to buy back Karma Coins and retire them. That's also like a stock BuyBack but this type will actually cost money, unlike the simple code change.
But given karma is so cheap, billions can be bought off the market and removed from the market forever. If there are any wealthy backers of Karma this would be a very effective tactic short term and long term.
Regards...
This issue of reverse splitting/coin reduction is always brought up whenever Karma is not having a good market price.
Your suggestion of buying billions and stashing it away is a good one. Provided that the investor really don't need cash flow.
Another practical, long term and beneficial to everyone is to create Karma demand. When we successfully create a demand. even the full 92B of Karma will not be enough. Because by then many whales will be holding dearly to their coins, seeing the market price is steadily climbing.
What Karma actually need, what the karma community need at the moment is COOPERATION. Profitable cooperation, no one would like to keep on spending Karma without seeing any prospect of gaining from it.
So what is the third option that can result in:
* Karma coins being removed from the market to help raise the market price?
* Karma community get a working capital for other for profit ventures?
* Creating flow of Karma (making it a real currency as it is designed to be)
* Create demand for Karma?
* Attract more talent to develop more Karma apps(voluntarily)?
In the next few weeks I will slowly bring up ideas for the whole community to think about. But as usual it will be in the spirit of brotherly cooperation... We will attain those five points above. On the other hand if you would choose to stay a silent investor or a noisy non investor, Karma will still attain them...HECK A LOT SLOWER.
not really price related. but when some one does dump hundreds of million of coin and price goes down by halve it is obvious why i and other come back and repeat this statement.
the reason a coin like dogecoin can pull of being so valuable with having more billion coin out side already is that they coin got distributed equally. from the get go they had tons of miners and once the price blew from 2 satoshi to 10 they got even a greater hype that never died for months. that meant more and more people joined them. Both miner and regular user base. they trully are the perfect defenition of what satoshi hoped for.
what i mean by this? well there was a high demand of both miners and investors. this mean that coin got distributed to so many people. look here:
http://bitinfocharts.com/top-100-richest-dogecoin-addresses.html there is 77 people who own 16b coin @ range of 100,000,000-1,000,000,000
there is 787 people who own ~20B coins @ range of 10,000,000 - 100,000,000
next step
??
1,000,000 - 10,000,000 7322 0.79% (0.88%) 18,436,863,913 DOGE ------ 7322 people (well wallets) that own anything between 1 mil to 10.
next step?
100,000 - 1,000,000 34107 3.66% (4.54%) 10,344,006,447 DOGE ----- 34k wallets!!! they have lees then 1 million coins. Imagine if they dumped some of their coin.. whoa a whole 1 satoshi drop in pressure.
That is one damn good distribution. It is hard for people to dump doge as they do not have tons of coin to dump.
And Karma?
there are people who own multi billions. soem weeks back some one mentioned they own 5 billion coin. and i believe them. there some who said they own 3. I myself have 400 mills. I shouldnt have 400 mills. that is too much for one person to own.
So unlike doge. the moment this coin stries to raise up , some of those billionares who bought at 10-20 litoshi can easily dump us right back down to nothing....
yeah sure, if we are mainstream and if there are 9 billion people on earth ... blah blah blah.... sure we can pretend that then its justifiable to have 92 billion coins. But the problem is now. and realistically speaking We should be happy to have as much user base of 1 million karmanians. therefore considering how baldy distributed we are then we have to accept the fact that no mater how hard we try there will always be +10B coins ready to be dump at each spike. Making it impossible to break free of 10 satoshi prices. Don't get me wrong. i am not saying we will not spike above 10 satoshi i am saying that with in hours we will be right back to 1 satoshi or less.
You can all say price doesn't matter, mainstream is the answer blah blah blah but 24hrs volume is important to keep services secure. Who will invest on us when we have less then $1m market cap on average?
Reverse split is not going to give us any 24 hrs boost but at least it will prevent when this big whales dump over and over again. because just like people are comfortable to buy at 20 litoshi prices they will feel comfortable to buy at 20 satoshi price when the price falls from 130 satoshis.
reverse split will also help minimize the amount of people day trading us for profit. reverse split will bring in new bigger fishes as they will feel more secure to invest.
its fine. I got time. I can wait few more months. Can we all agree that if karma goes high and comes back to 1 satoshi or less , then we consider reverse split? say 920 mill coins?
