ASSIGNMENT FOR STEEMCRYPTO ACADEMY | SEASON 4 | WEEK 3 | HOMEWORK POST FOR PROFESSOR @wahyunahrul. | TOKEN REDENOMINATION.

INTRODUCTION

It quite a privilege to be part of this wonderful lecture and indeed I am learning a hug,please be patient while I take us to the answer of the assignment given on the above topic context.

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TOKEN REDENOMINATION.

The Token Redenomination,before we start I would like us to break down the word token;Token is a piece of stamped metal,plastic,cloth or any form of materials etc,that is used as a replace or substitute for money,we can call it a voucher which can be used as an exchange for goods or services.however when ever we hear the word token just have it in mind that money is involved.lets see how the word redenomination comes in. When we see redenomination as a word ,what comes up in our minds is what I will say dominate,I.e occupy nonetheless let's define the word redenomination,this is a situation whereby something is been rebranded or recalibrated thus giving it a new mode and etc. Since we have known the both word I for tell, that defining them when marge together wouldn't give us headache in terms of understanding.

Token Redenomination is therefore defined as the process where which the currency,token or even the coin of a particular blockchain project technology is been rebranded or recalibrated,we can also say its recircled which would result to a change in style,shape,writting,rule etc just to replace the old already existing token for the new one at permanent rate. As a result of high value,this is done to devaluate the old token so as to enable the poor to be able to also partake in investment.

WHAT DISTINGUISHES TOKEN REDENOMINATION FROM CURRENCY OR OTHER ASSET?.

Yes so many differences would definitely showcase in the aspect wherein token redenomination take place,however what distinguishes token redenomination and other currency per say should be found in the below

Token Redenomination	old Token
There is need for collection of new token	there is no need for exchange
Token are been rebranded and recalibrated	no calibration no rebranding it only existed on it first brand
There's changes in colour	old colour remains
There's a price devaluation of old token	there no price devaluation,price is high
Token becomes accessible by poor investors	no respect for poor investors due to it higher value.

However if this redenomination takes the shape in fiat currencies it means most likely persons in position of those token would be going to there respective banks to submit old token and collect new ones,mean while if it doesn't require fiat,it has safe us the day strees hence collection should be within the exchange platform,in essences I trying to say exchange from old to new would be digital since it doesn't involve fiat and it would be done at a fixed rate.

If this involvement is predicated on digital you are therefore required to acquire a app responsive for that swap,therefore I would tell us more on that ,after all it won't be nice if we talk about token redenomination without telling us the risk involved and if it good or not,so therefore I would like us it digrace a bit and get more information on it risks.

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IS TOKEN REDENOMINATION A RISK?.

I would say to an extend yes,because the act of redenomination is devaluation of the high value of an old token which is done at a fixed rate,however if redenomination is done to devaluate a higher value token there are chances of losing higher value investors,there are tendencies of damping the name of that tokens in the market,peoples who has purchased that token when it at a higher value my experience lost,there are chances of cracking the trust of that tokens and hence discourages investors.

BRIEFLY LET'S TALK ABOUT THE ADVANTAGES AND DISADVANTAGES OF TOKENS REDENOMINATION.

Advantages of token redenomination

• Opportunity gotten to make investment in some small amounts:- yes if by any chance there was hyperinflation in a particular asset,what redenomination does is to reduce the value to give room for small scale investors to invest in such cryptocurrency projects.

• It creates job opportunities;since there is a devaluation,rooms for employment are made available,I.e devaluation attract more investors both rich and poor hence there is an increase in activities of that project to satisfy the needs of it investors.

• Project skyrocketed we can say there will be a boosting in the project,from the two advantages above we noticed that job opportunities is obtained and investorment in token doesn't depend on the rich alone,thus if this be so attraction of all kinds of investors takes place in the project which in turn make that project reliable and famous among other token.

• Reductions or removal of hyperinflation* of a trust token redenomination help to build a close monetary relationship between all kinds of investors,just as Bitcoin,investors of small amounts wouldn't be able to involve there money because there profits wouldn't be significant due to the price inflammation,therefore token redenomination has come to the aid of all small investors such that prices of high asset are been reduced to there standed,hence creating rooms for everyone to be partakers of token project and also giving room for development.

• Token Redenomination give room to equality of investors; I.e since both small and big invest in a said token there is no room for discrimination and it create room for self respect.

Disadvantage of token redenomination

Despite fild with lost of advantages there are some disadvantage associated with this wonderful service stay focus as I tell us.

• the tendency of not recovering previous investors can not be over emphasised,due to the devaluation of price there are investors that wouldn't want to invest in such kind of project.

• there are need to create exchangers which would require money and time consuming,maintenance and power supply are required to actualize that effect.

• transaction fee,fees or charge would be placed on all exchange platform which however might be high.

• for this token redenomination to be effective There's need to change from old token to new,hence holder who would want to swap those token,would perform that actions and end up not ascertaining much amount of new token due to higher inflammation of swapping rate.

DO ALL CRYPTOCURRENCY PROJECT NEED TO DO TOKEN REDENOMINATION?

Well token redenomination Project wouldn't be necessary for all cryptocurrency because before a project is put in line and lunched, plans and rule are been observed and followed just to ascertain the successful running of the project,therefore if this rules and plans fail dues to the hyperinflation of token and as well as devaluation, hence the chances of introducing token redenomination comes in,yes if I may explain further I would say that,there are not project whom the founders doesn't wish and pray that there toke should be way better and higher in price.Every project has a goal and targets,therefore if this goal targets is achieved there is no need for token redenomination because despite the price variations,there's much success obtained alongside the marketing,token redenomination is then introduced when the essence of creating that project is not defined or achieved,it's done to improve the token ,effect some rules and make amends on several errors which is all driving to the achieving of goals .

Furthermore I will say the act of involving token redenomination in a successful project just to make amend in some insignificant errors may cause deplict in standard and price fall which would require some staff to resign because of the reduction of salary and other discouragement,there for I would say token redenomination is not essentially needed for a successful project,but is necessary in some token just to recreat a new awareness.

You may wonder if there are any token which has undergone token redenomination yes example is NPXS TO PUNDIX etc.

From the above example which I have choose I will tell us more on how to swap it with screen shots explained.

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Step one
Search on swap pundix.com on your chrome browser or f(x)Wallet in your playstore and click on the download button as the below screenshot entails.

Step two
After undergoing your download processes,your are expected to credit your f(x)Wallet with ETH and NPXS tokens,the Eth is for gas fee to ensure the success of the swap transaction.

Step three
Click on the token you wish to swap to obtained address for deposit.

Step four
Copy address and the Proceed with deposit from any destinations where in your token in been held.

Step five
when token has been successful deposited you will notice a blue button located towards the center of the swap app,click on it and some option will pop up.

Step six
Click on swap,a page will open wherein you u will now choose the token u wish to swap.

Step seven
After selecting the token you intended swapping,imput the amount of token you are about swapping and click on swap button found bellow.

Note I was not having any token to perform the swap transaction that was why the swap option say insufficient balance.

ANALYSIS OF THE PUNDI X TOKEN PROJECT.

The existence of PUNDIX project has aimed on improving the era of cryptocurrency which will affect all areas of real life world wide via once banking services etc this project has a goal to improve banking services experiences amongst individuals which some other currency hasn't aimed at achieving. The Pundi x cryptocurrency is a digital money project that has the motivation behind making the expenditure of digital forms of money to be pretty much as simple as an ordinary Mastercard. Engineers of the NPXS token which is currently PUNDIX token have the essential goal of making the token to be utilized on their Ethereum-based Retail location (POS) gadgets. The accomplishment of this point gives essential financial administrations to the majority of the immature districts. Furthermore I would want to use CMC to explain or expand more on the the analysis of pundix cryptocurrency,from the CoinMarketCap we saw that as of today the current price of one pundix token is about $1.27 to 0.0000297Btc of price and it market circulation of about 258,491,637.23 PUNDIX, it market capitalization is $328,965,932 and it fully diluted cap is $328,960,800 the pundix token is built on the Ethereum blockchain which make it require ETH for gas fee,a clear documentation of holders are clearly seen on the screenshot below.

In the last 24hr the volume of pundix is about $29,035,737,interesting as it has been would digrace a bit using coingecko.com to tell us or rather show us on exchanges wherein pundix is listed and could be traded on,get a coingecko.com via your browser or play store register and then proceed when it opens,on opening you see varieties of token and there prices,click on the search icon located towards the right hand corner and then type in pundix,there will be a display of the old and new click on the new,there you will see a display with the current price ,exchange ,posfilio,info,to which ever information you intend knowing Click on it,however when Clicked on exchange you will see all exchange wallet or platform which pundix is been traded on.

Features indigo

Prior before now the existence of PUNDIX project is quite reliable and I would suggest it for investors,however I believe that when ever binance market list a coin it reliability is 70-90% garranteed reasons is because as a market,a well-known market which has thousands of trader and investors,wouldn't want to jeopardise the interest of there customers,also from all indications pundix token has it price between 1 to All most half a dollar which brings hope to it feature investors,so long the project interest Is protected and fellow up the chances of price increase will skyrocket in no distance time and thus aid the success of the company.

Conclusion

Based on the already existing protocol pundix token redenomination we have come to the knowledge of knowing the essence and exploration of the token,however token redenomination have been well defined and it reliability has been well ascertained which has fortell it capability of surviving in the nearest feature.

Cc
@wahyunahrul