The Importance of Unlimited Supply and My First Crypto Rugpull!

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avatar of @wildebunny
a year ago - 2 minutes read


I got lured in by high aprs on pancakeswap and lost about $1100. All play2earn games are pyramid schemes and that's a problem impossible to solve (and that's okay!) Let's focus on one game with such a problem: Cryptomines,

The concept of their game is building a fleet to mine eternal but with only 5 million in supply, it's bound to run out at some point in the future. Of course they realized (and misdiagnosed) why the game was unsustainable when market values started crashing, they decided to transition into a new game with details found below https://cryptomines.medium.com/cryptomines-community-voting-980401bbec4e

They had a few solutions in mind: a pegged currency and NFTs that degrade to prevent inflation but it doesn't solve the existing problem of sustainability. NFTs that degrade can just be seen as a tax on profit potential.

A pegged currency solves their current problem of a fluctuating token but with one important downside: it's only as trustworthy as the counterparty. With their telegraphed 5 million supply, it's bound to run into the same issues as the current one: no more rewards. If people can't even get ahead in Dark Matter terms (their new game currency) why would they play. And if they could, why won't it run out?

People want their game tokens to be scarce so they can hold on to value but they don't realize the very real downside of finite supply. To all game developers (and players) willing to deal with a finite game currency, what happens if people decide to HODL one of such a currency?

Just one, no problem, right? What happens if you find enough? How is your game playable then? It won't be.