I was wondering, there are many people owning several millions, way more than 21 millions xem.
So what would happen if XEM reaches parity with XBT?
How would anyone exchange 21 million XEM for 21 million XBT?
Or, in the case of someone owning 100 million XEM, how can they convert it to XBT?
It is a question that blows my mind and I am so confused that I decided to ask in the forum.
Nobody has a guess or an input?
Lets say I own 100,000,000 XEM. Today it is worth 100,000,000 XEM * 0.00001758 BTC = 1,758 BTC
If the XEM prices goes up to 0.0001 BTC, it is worth 10,000 BTC.
If the XEM prices goes up to 0.001 BTC, it is worth 100,000 BTC, I imagine it will be hard to liquidate but still possible…
but once XEM prices get to 0.5 BTC, it will be worth 50,000,000 BTC!! How on earth will we liquidate that? It exceeds the total possible supply of bitcoins! (21 millons)
I think you’re forgeting about direct fiat links.
At the moment there is only XEM/CNY, and hopefully soon XEM/JPY.
USD and EUR hopefully will come online as the price grows.
Any coin could have this problem, once you get a big enough market cap…
I’m sure there are some big holders, but the truly enormous addresses are the multi sig developer funds.
If momentum is high enough then more fiat gateways will emerge as we saw with ETH. I doubt the exchanges care what they’re hosting as long as people are clamouring to buy it.
Is there a possibility it could match Bitcoin? Well, if it did become used by businesses as a viable tool en masse then sure. It’s pretty hard to claim that Bitcoin is in any meaningful way but the crypto space can only grow so there’s no real need to surpass or usurp anything.
NEM is heading away on its own path which is what all proper projects should be doing.