You are viewing a single comment's thread from:

RE: Burning on the Backside

in #burn10 months ago

Why do people feel like burning is a good idea?

Posted Using LeoFinance Beta

Sort:  

Why do people feel like burning is a good idea?

Burning is a bit like a stock buy back. It reduces the amount of a token on the market. Burning reduces the amount of the token on the market.

Prices of tokens fall when there is too much of the token on the market. Burning while the price is falling makes sense because it will reduce the float and help the market find the bottom.

A rising price means that there is greater demand for the equity. Burning on the upside increases the height of the peak.

From a price stand point, I think company should buy back the stock and crypto should burn coins when the price is falling, but not when it is rising.

From a Curator's PoV.

I read all of the posts before I upvote. I sometimes find myself in a situation where it's 3:00 AM and can't find posts that I want to upvote and end up voting on stuff that I otherwise wouldn't.

I wish that there were standing burn posts; I could upvote those rather than upvote lower quality posts.

Posted Using LeoFinance Beta