What is the meaning of no dilution in the context of cryptocurrency?

3 answers

• Mar 19, 2022 · 3 years ago
  No dilution in the context of cryptocurrency refers to the absence of any increase in the total supply of a particular cryptocurrency. It means that the number of coins or tokens in circulation remains constant, ensuring that existing holders' ownership percentage does not decrease over time. This is especially important for investors as it helps maintain the value of their holdings and prevents their share of the cryptocurrency from being diluted by the introduction of additional supply. By avoiding dilution, cryptocurrencies can provide a more stable and predictable investment opportunity.
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• Mar 19, 2022 · 3 years ago
  When we talk about 'no dilution' in cryptocurrency, it means that the total supply of a specific cryptocurrency remains fixed and does not increase over time. This is beneficial for investors because it ensures that their ownership stake in the cryptocurrency remains constant. Without dilution, investors don't have to worry about their share of the cryptocurrency being reduced due to the introduction of new coins or tokens. It provides a sense of security and stability to investors, making the cryptocurrency a more attractive investment option.
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• Mar 19, 2022 · 3 years ago
  No dilution in the context of cryptocurrency is an important aspect for investors to consider. It means that the total supply of a cryptocurrency remains unchanged, which prevents the value of existing holdings from being diluted. This is particularly relevant when new coins or tokens are introduced, as they can potentially decrease the value of existing holdings by increasing the overall supply. By choosing cryptocurrencies with no dilution, investors can protect their investment and ensure that their ownership percentage remains constant over time. It is a key factor to consider when evaluating the potential of a cryptocurrency as an investment.
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