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RE: Steem-Backed Dollars - Could a Rise in Supply Lead to a Rising Price?

in #steem6 years ago (edited)

The price and the value are two different things. The price is slightly too unpredictable and there are far too many factors to make completely accurate guesses. When it comes to value, an increase in supply necessarily increases the availability of a commodity and this increase, for a currency, increases the value. Since currencies only have value as far as they are recognised SBD will have more value the more there is of it.

Right now, $100 USD worth of SBD is worth less than $100 USD worth of USD. That difference will decrease as crypto currency and Steem becomes larger.

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