1 Level
6 Review
3 Karma
Review on DigiByte by Gregoria Posner
If the entire crypto space continues to grow, DGB might not have a problem…
If the entire crypto space continues to grow, DGB might not have a problem reaching this price and higher, given the seemingly strong DGB community. But nothing is ever certain. Some projects see tremendous growth at some point in their life span, and then struggle to reach those highs once again, due to the hype factor being gone. Other projects reach former highs more easily, possibly because it is known price territory and they are sound projects with strong community. At this point in time, I do think DGB should break above its previous all time high at some point, especially because it seems as though many new people first getting into crypto, often look for the “cheapest” coin, not taking into account coin supply and market cap. But that’s all just my personal opinion and not professional or financial advice.
Pros
- This is a large coin supply, comparative to many other current crypto projects. This is not necessarily a negative thing. However, price could possibly dilute slightly when all coins are in circulation. This coin supply is 1,000 times larger than the total supply of Bitcoin (BTC). This means that, with regards to market cap, Digibyte would have the same market valuation as BTC, at roughly $324.17 USD per DGB, if DGB were to tie BTC in current market cap valuation, assuming both coins were at full circulating/max supply (according to both coin market caps as of 5/10/18).
Cons
- This core concept of cryptocurrency is fascinating, and will change the world in my opinion. The difficulty however, is that cryptocurrency is still in its early stages, and has faced many growing pains thus far. For example, in December 2017 and January 2018, the Bitcoin network was so congested, that it would often take up to several hours to send or receive a transfer. Not to mention the fees that were very high. If for example, a person were to buy a hamburger for $3 back in January, it likely would have cost more than $3 in fees to send the payment, and would have taken too long to send. This showed that, at the time, BTC was not really scalable or practical. Since then however, BTC has been in development of the lightning network. The future does indeed look to be more scalable. However, it is still questionable as to whether BTC will be able to achieve the status of store of value, as well as transitionary currency. If BTC achieves the popularly forecasted price of $100,000 or even $1,000,000, it will be interesting to see how expensive the fees are. For this reason, it would make sense to have a transitionary coin as well.
