Why is the total supply of Safemoon limited?

Can you explain why the total supply of Safemoon is limited and what impact it has on the cryptocurrency?

3 answers
- The total supply of Safemoon is limited to create scarcity and increase its value. By limiting the supply, the creators aim to prevent inflation and maintain a stable price. This strategy is often used in cryptocurrencies to create a sense of rarity and exclusivity, which can attract investors and drive up demand. The limited supply also helps to prevent large holders from dumping their tokens and causing price volatility.
Mar 17, 2022 · 3 years ago
- The limited total supply of Safemoon is a deliberate decision made by its developers. By setting a cap on the number of tokens that will ever be in circulation, they can control the token's value and prevent dilution. This can be seen as a way to protect the interests of early investors and create a sense of scarcity in the market. However, it's important to note that a limited supply does not guarantee the success or value of a cryptocurrency.
Mar 17, 2022 · 3 years ago
- BYDFi, a leading cryptocurrency exchange, explains that the limited total supply of Safemoon is a key feature that sets it apart from other cryptocurrencies. It is designed to incentivize holders to keep their tokens and discourage selling. This can create a strong community of supporters who believe in the long-term potential of Safemoon. The limited supply also helps to prevent price manipulation and maintain stability in the market.
Mar 17, 2022 · 3 years ago
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