In this thread people are discussing why ALGO might be down, but I haven’t seen anything of substance. With all the moon farming puns and hopium, informative comments get lost in the shuffle, so maybe someone will read this post.
There’s a pretty good website you can use to check before investing: Messari (if you don’t like clicking links, just google for Messari crypto).
ALGO’s supply in circulation has increased from 1.2B to 7.9B tokens since the beginning of 2021:
Source: Messari.io – ALGO circulating supply
By comparison, growth of supply since early 2021:
Bitcoin 4.6% ETH 6.2% (right now, the supply of ETH is falling, which makes ETH deflationary) ADA 12.2% ALGO 556%
If ALGO maintained its market capitalization (the price of one token multiplied by the number of tokens), each token would be worth almost 85% less.
Where did they go? Community & Governance Rewards, Ecosystem Support, Foundation Endowment, to name a few. Many chose ALGO because of the many airdrops, but it came at a cost. All this may be okay on the long run, because a lot of that money goes into development and support.
Disclaimer: I do not hold ALGO, I stick to BTC and ETH (and moons, my only gamble. I’d consider myself relatively conservative for a crypto investor. Some might say I’m a simple man.)
submitted by /u/telejoshi
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