Cryptocurrency appreciation theory

Appreciation Theory

1. Various currencies can be successful because the right to mint is marketized and liberalized.The traditional right to issue currency is held by central banks, which leads to currency issuance that is not subject to market supply and demand, making inflation more likely. The emergence of cryptocurrencies breaks the central bank's monopoly on currency issuance and returns the right to mint to the market, giving cryptocurrencies some value.
2. The value of cryptocurrencies is backed by and survives on the basis of free economic and financial spillover dividends.The emergence of industrialized robots and artificial intelligence will lead to a significant reduction in production costs, resulting in a large amount of free economic and financial spillover dividends. Cryptocurrencies can be minted to convert these spillover dividends into currency, giving them some fundamental value.
3. The success of each cryptocurrency will eliminate some debt and promote economic consumption. The cost of minting cryptocurrencies is relatively low, which makes it possible for ordinary people to participate in cryptocurrency investment. As cryptocurrencies become more popular, people will have more money to spend, which will promote economic growth. The success of cryptocurrencies has actually tapped into the production and consumption potential of the industrial robot era and the AI era.
4. The emergence of cryptocurrencies provides people with a new investment option, which will attract more people to participate in economic activities, thereby promoting economic growth. In addition, the decentralized nature of cryptocurrencies will also help to promote financial innovation, providing new impetus for economic development.
5. Cryptocurrencies have positive aspects, but there are also some risks. Cryptocurrencies have some investment risks, and investors need to be aware of risk management. In addition, cryptocurrencies also have some regulatory risks, and regulators need to strengthen regulation to protect the interests of investors.

price formula

CDU minting price formula (Increasing Curve, Earlier is Cheaper, Later is More Expensive;1 billion CDU prices from 1 USDT to 1000 USDT)

The price of the Xth CDU is P = (0.1 + X / 1 trillions) * 0.00000001 (USDT)

• X refers to the quantity range 【X, Y】 that users mint starting from the Xth CDU. Users pay the price of the Xth CDU to mint (Y - X) CDUs.
• A is a constant, A = 0.00000001 (7 zeros after the decimal point).
• The price of the first CDU is P = 0.1 _ A (USDT), and the price of the last CDU (100 trillionth CDU) is P = 100.1 _ A (USDT), with a P increase of 1000 times.
• The price curve is also relatively steep at the start, attracting early users to participate and rewarding early users.
• Every time, users can cast at least 100 million CDU, and at most 10 billion CDU.

Examples:

• For example, if a user mints CDUs in the quantity range 【X = 500 billion, Y = 500.1 billion】, X is the 500 billionth one, and the price of X is P = (0.1 + 500 billion / 1 trillions) _ 0.00000001 (USDT) = (0.1 + 0.5) _ 0.00000001 (USDT) = 0.000000006 (USDT). The quantity of CDUs that the user mints is Y - X = 500.1billion - 500 billion = 100 million, and the cost of minting is the price P = 0.000000006 (USDT) _ quantity 100 million = 0.6 (USDT).
• For example, if a user mints CDUs in the quantity range 【X = 10 trillions, Y = 10.001 trillions】, X is the 10 trillions CDU, and the price P = (0.1+10 trillions / 1 trillions) _ A (USDT) = 10.1* 0.00000001 (USDT) = 0.0000001 1(USDT). The quantity of CDUs that the user mints is Y - X = 10.001 trillions - 10 trillions = 1 billion, and the cost of minting is the price P = 0.00000011 (USDT) * quantity 1 billion = 110 (USDT).
• For example, if X is the 100 trillionth CDU, the price P = (0.1+100 trillions/1 trillions) _ A (USDT) = 100.1 _ 0.00000001 = 0.000001001 (USDT).