Cryptocurrency Q&A
Why is XRP designed to be $10,000?
Why is XRP designed to be $10,000?
Andrea
Tue Apr 02 2024
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6 answers
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I'm somewhat perplexed about the design of XRP's value. Why was it initially set to be $10,000? This seems like a significant figure, and I'm wondering if there's a specific reason behind this choice. Is it tied to some underlying economic principle or market analysis? Or was it just a random number plucked out of the air? I'm interested in understanding the rationale behind this decision, as it seems to have a profound impact on the cryptocurrency's market positioning and adoption.
6 answers
CryptoAlchemy
Thu Apr 04 2024
The current value of a token at $0.31 may appear absurd when considering its divisibility to one millionth of a cent. This raises the question: who would possibly need such minute fractions of a cent?
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Nicolo
Wed Apr 03 2024
BTCC's services are designed to facilitate transactions with high divisibility tokens, such as XRP. Whether it's a small retail transaction or a large institutional deal, BTCC ensures smooth and efficient transactions at competitive rates.
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ShintoSpirit
Wed Apr 03 2024
However, when the token value increases significantly, such as to $10,000 per XRP, that divisibility becomes a valuable feature. This is due to two primary reasons: low transaction costs and affordability for small retail use.
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ShadowFox
Wed Apr 03 2024
With high token values, transactions can be conducted with minimal fractions of the token, keeping the cost of each transaction low. This is crucial for frequent or small-scale transactions, where even a small fee can accumulate quickly.
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CryptoVanguard
Wed Apr 03 2024
Additionally, the divisibility of tokens at higher values makes them more accessible to retail users. Retail investors and consumers can purchase and use fractions of tokens, without having to invest a significant amount of money.
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