I suppose the price of Safecoin will initially be much lower than MAID is now

Maidsafecoin equals around 10% of the supply of Safecoin. Currently it is the only tradable fraction of Safecoin.

The problem is that upon a relase with Safecoin integration, an additional 10% of the supply will be introduced (that is set aside for early investors/ friends and family [5%] and open source developers [5%]) plus an additional 10% for App developers.

So effectively the currently available supply will double or even triple upon launch, which is surely not going to please speculators/ investors. The only question is how fast the additions are released, does anybody have an answer to that? I suppose at least the 5% for early investors will be tradable immediately at launch.

1 Like

I think the real speculators and investors are the ones who make applications, and farm the Safe Network, and I think the influx of those coins is going to please many of them.


Don’t work like that. The 5% of the Core developers and the 10% for App will be distributed over time in the same way that aimed at farmers.


Still, a sudden 50% increase of tradable supply (5% for early investors) can only have negative effects on the price

I doubt very much that investors, who for years have supporting this project, trying to sell his share from the beginning.


Well that is unfounded speculation. What if some of them will need the money that has been locked for so long?Just look how many people already sold Maidsafecoin after a much shorter holding time (not all of them can be lucky Mastercoin holders).

If it is a fact that the additional 5% of Safecoin will become immediately tradable (I am not sure of this) then this makes it economically absolutely unreasonable to buy Maidsafecoin now.

Less unfounded that thinking that the investors will act against the logic and try to get quick cash just when the project starts to flying.

And less unfounded that ignoring the impact over the price that would have the launch of the SAFE network.


There’s no sudden influx, all other coins except the sold coins in the crowdsale will be spread out over the coming years.

Like @digipl said


It is not ‘against the logic’. Investors exit their positions all the time.

Demand will take a long time to be built.

You hit the nail on the head there :wink:

The current safecoin value would be around 1/20th of their equity value, so you are 100% spot on here. Over time if/when safecoin increases in value, many of the equity holders of maidsafe will have the chance to sell their equity to the foundation (who holds the 5% fro this purpose specifically) and cash in. So that 5% will not be making much of an appearance and some may even burn (if an equity holder chooses not to sell).

It is these reasons that make me comfortable it’s not destructive. So on launch the coins that appear will be earned/farmed etc. and there should not be a pile getting dumped anywhere that I can see. So I think we are OK.

I also think the 5% for equity folks will circulate anyway so gradually get back into the network, which is good. I think the same for the crowdsale folks, as they cash out the coins do what they are best at, and that is running the network etc. I feel somehow it all balances out as long as we keep it super simple.


Thanks for your reply. Just for the record, I fully support this awesome project and will through farming. I am just unsure if an investment in Maidsafecoin now would make sense and I think (somewhat) harsh critique is the best way to find out.

Doubting is a healthy behavior but i don’t think the price are going to fall because we are next to an increase of liquity. In fact, we are leaving a kind of “cryptocurrency pet” to replace that for a wonderful token with a huge intrinsec value.


Sure, but the dynamics of supply and demand are always fundamental to any market.

Well I think I’ll personally wait until after the launch or focus solely on farming.

1 Like

as @Melvin says:

There’s no sudden influx, all other coins except the sold coins in the crowdsale will be spread out over the coming years.

so… answer is no. :smiley:

The idea is to increase the size of the pie, so everyone’s slice is worth more in total even though it is a smaller slice relative to the whole pie, the pie is bigger so the slice is bigger.

If the network launches, and has app developers earning coins, and farmers earning coins, then the value is going to be more than 3x the value of a project that everyone agrees would be great if it worked, but isn’t working.

Also, as others have said, the supply increase is not “upon launch”, it is over time as computational resources and working apps are contributed to the network. By definition of the rewards compensation, the amount of safecoin paid for these resources can be made less than the value they add to the network, so each increment of safecoin issued will increase the total value of the network enough to account for the issuance.

1 Like

The open source core developer SafeCoin allotment will be given to them over time, not all at once at launch!

Same with app dev’s 10%.

These are big points to keep in mind. They aren’t just releases at launch, but rather part of the eternal flow of SAFE’s SafeCoin ecosystem.

Not sure about the friends and family 5% tho. That’s the only part that might be true here

Edit: sorry I think someone might have already said this actually :stuck_out_tongue:


The other thing to look at is that, as the network goes live and functional, masses of more people will be moving into the space, creating a demand for safecoin to both buy network services and use it to trade otherwise. So even if some crowdsale investors and equity holders decided to offload their share, there would be A LOT more participants to absorb them. Yeah, any time somebody dumps a huge chunk at once, you see a price slump, but who wants to erode their own value by doing it that way? Even if somebody wants to liquidate a lot, it can be done in such a way as to maintain a reasonable price by not shocking the market. Moderate rate of dump, or do off-exchange trades privately.

Don’t see a situation here, because if the network delivers anything like what’s promised, the influx of users and developers, and thus investors, will be the biggest factor.


I agree with @fergish and @lowry_jim that when the network is proven and operational that instantly increases it’s value considerably.

As a result, current purely speculative valuations of the network are likely to increase, and new investors are going to snap up coins that at this point look cheap until the price rises enough to reduce that demand. No guarantees, but that’s what seems more likely to me.

@dirvine are you saying that equity holders effectively have a rolling option to sell their coins in forfeiture of their MaidSafe Ltd. shares (in proportion), or to sell their shares to the foundation while forfeiting their coin (in proportion)? It’s hard to describe let alone to tie up legally! :smile:

Sounds good though if I’ve understood.


But demand will not increase instantly. Demand will take time to build.

As I understand, the network itself regulates the Safecoin issuance by reacting to increased demand. But what it cannot react to is the additional supply that is introduced via the lots that are set aside. Ok they won’t be released ‘upon launch’ but it will still increase the supply drastically, perhaps much stronger then the initial demand that will take some time to develop. (perhaps years)

@Felixx what you say is true - both those kinds of demands (buy/sell for network use) will build over time. But I was talking about speculative demand which can, and I suggest would, move very fast. If there’s an undervalued asset around, it quickly gets bought until it reaches a fair price. My point is that this will dominate any effect from new coins being released, from all the sources mentioned.