Burning tokens is the equivalent of erasing cm from a ruler and remarking it in inches. Value will adjust itself, unless you are just hoping to increase the value of your current holdings which is a selfish goal.
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I have seen some reasoning on this thread as to why coins should NOT be burned. Any discussion to support why coins should be burned?
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The 45 billion total possible coins will be needed for the future circulation and business transactions that ada will see when things get revved up and the world figures out the usefulness and cost savings blockchain brings!
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I will get richer faster is a good reason to burn coins. As long as none of mine are in the burn pile that is.
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First, does everyone realize that Cardano is not turned on yet. Second, this is NOT an ICO. It is a platform for smart contracts and dApps and cryptocurrency (not just cryptocurrency). You need the tokens/Ada for the contracts and dApps. Less tokens, less smart contracts and dApps, less value. Yes it is a cryptocurrency, but it is so much more. You canāt compare ADA to Bitcoin or ICOās or fiat thinking. Scarcity is fiat thinking / ICO thinking. The platform is being built to solve real world problems in the business community. It is being built to be a robust system for many decades. It is also being design to enter a trillion dollar marketplace. Remember its a platform - not just a crypto coin. - My apologies if I sound gruff or grumpy - thatās not my intent.
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45 Billion is too many.
21 Million is too many.
100 is too many.
There should be a single, superlative, singularity,
The entire supply should be just 1 ADA.
God wills it.
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divisible into 45 billion lovelaces, which are divisible into million babbages each.
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I vote to burn a half a million babbages!
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Some simple arguments about burning ADA is really bad idea! in every logical senseā¦
What we all wants is mass adoption, Satoshi, any user, any blockchain protocol, the visionaries, those who think are visionaries, those who think are smarter than everyone ( dan, EOS ), the expert and the youtubers, those who wants a lambo and the others that wants freedom from current financial system ā¦. we ALL WANT MASS ADOPTION, we are talking about reaching and surpassing 1 billion users!
Lets assume that happens ( it truly could, but that for other discussion )
the maximum supply of ADA will be 45 Billions! thats it!
you must understand that this number is what it is! FOREVER!
To make it easy and obvious
case 1
lets assume Apple, after a global economic disaster of FIAT decides to go all in for cryptos, and as Cardano has so much talent in ACADEMIA, they would eventually choose Cardano and ADA as payment system for all their users ā¦
Apple has 500 billion $ liquidity in the bank!
actually there is not enough ADA for that or better even how much each ADA would have in value to allow that 500 billions to be exchanged to ADA ?
you would get your lambo!
Now, just look to the list of top 10 rich people, the top 10 companies, make a sum operation, mathematically each ADA should have a prohibitive price for mundane peopleā¦
You would also get your lambo
Some more obvious things! Apple if would eventually use blockchain, they will built their own!!..Yet they could use ADA ( at end explanation 
)*
Case 2
Lets assume there is a mass adoption in Asia of ADA, China + India are 4.5 billions people, how much each ADA would have in value to be able to support that all this people has a fraction for ADA ?
You would get your lambo
Case 3
we, people reach a collective intelectual and rational thinking ( wonāt happens shortly! ) and as people we decide to go for ADA, and you all that people buy what it remain of ADA, again there is not enough ADA for that much of people
You would get even better than a lambo, a Bugatti
Now, it not just people, you have to think in companies which services could be payed with ADA, producers, farmers its huge and each time you add some ramification you realize 45 billions is nothing
The first Pizza payed with bitcoin cost back then 10000 BTC, so lets imagine a mass adoption, there is no enough even lovelaces ( the fraction of ADA ) to make it that all we could buy for example milk, beer a car,
A meal, in a restaurant costs you eventually 0,000005 lovelaces ( obviously in idealistic situation ) its weird
Try to pay for a coffee with BTC, it just weird! the last year was at 19000$ each btc
With this comment i ignored a lot of very important things of why 45 billions ( incentives, treasury, economic dynamics, fluctuations, geopolitics ā¦. ) things that could lead to each situation, it was just to brutally simplify this thing ā¦
Please, understand one crucial thing, ADA and Cardano is built with the purpose that the NEXT Generation could have a protocol in which could fully rely and to substitute eventually what we have right now ā¦ If you could see the big pictureā¦ but it require a lot of work and tremendous efforts!
What we have to do, honestly, is trust IOHK and their judgment, at least until they deliver the protocol with treasury implemented, then we could ( naively! ) think that we have the right to judge anything from what they do, they are the first ones that strive to deliver a good protocol!
Burning ADA in my opinion is just MAYBE!! you could get richer momentarily ā and its not guaranteed! ā
Once delegation was updated( in the old roadmap ) ada reached 1,23$ ā¦i m not stating that it will again it just eventually once the CL is live you may be happy that you have some ADA!
- the Apple thing, to simplify : Cardano has as a target in Africa, lets assume they succeed and african people uses Cardano and ADA, if Apple wants eventually to access to this market, considering that they also purchase a lot of raw materials from africa to produce their products ā¦ eventually Apple would need ADA to be able to access this marketā¦ Its a big shot yet it truly possible!
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I like to think it is being built as an alternative to the traditional business solutions on the market, not to solve problems but more like to circumvent the problems that central authorities have entwined into the structure of the banking/business pattern that has only grown in complexity, Cardano is not being built as a tool for Wallstreet to profit from (although the street will find a way) but is being built for transparency and clarity to improve the structure for a business and individuals to build on in an environment that the truth is immutable and recorded in such a way that the protection it will afford will be unmatched in the banking industry.
To burn coins would only bring a level of discredit to the platform that other cryptoās experience with their shenanigans to improve on the market share of their coin, it is not a sustainable practice and those networks in time I think will stand with other currency institutions that manipulate the price of their currency and they will find the network stained by the ash of the coins they burned in greed.
Manipulation of price is manipulation no matter how it is done, burning for the sake of a price increase would definitely be manipulation and not a practice that should be entertained if the platform is to be recognized as a real alternative to the current mainstream currency solutions.
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Which coins would be āburnedā anyway? There are currently 25.9 billion ADA in circulation (I.e.owned/traded) with another ~19 billion set aside for staking rewards/governance. Are you suggesting that IOHK, Cardano Foundation or Emurgo ābuybackā 1 Billion ADA from existing owners and just Cancel/burn them? This just doesnāt make any sense. Cardano isnāt Apple with $250 billion USD warchest that keeps on buying back their sharesā¦ who is going to donate their ADA for the burn or who is going to pay to buyback the 1 Billion ADA and then just burn them?? I can think of better things to do with $150 million USD than to buy 1 billion ADA for the sake of just burning them.
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As it is now, every transaction on the network costās an amount of ADA to make the transaction, once Shelly goes live all the coins collected for transactions up til that point will be burned, other than that I donāt know what coins could possibly be burned unless you were to delay the treasury from accumulating coins or take from the future transaction fees which would hurt the people that choose to stake their ADA, it is really not a thought out idea to burn coins, the treasury will need its funds to ensure continuing development and transaction fees will contribute to staking rewards so who would really vote to burn the coins that they could expect to earn through staking?
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Exactly! Other than buying back the 1 billion ADA from the 25.9 billion in circulation, which is completely nonsensical, the remaining 19 billion are necessary for rewards/governance/sustainability of the network.
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And then?
Recently EOS has birthed an offspring, I can only imagine that if the holding community members of Cardano do something as foolish as burn coins than an offspring of Ouroboros would arise with great claims to bringing down its parent chain Cardano.
Oh the joy of open source software!
Well this whole thing is off course a non-topic, cause there are no ADA to burn lol. I dont think anyone is going to sign up voluntarily for their ADA to be burnedā¦
The remaining ADA cant be burned, since they do not even exist yet. They have not been added to the supply, so we cant remove them from the supply eitherā¦ Though If we can lower āmax capā by adding them and then burning them, all it would do is just prevent future inflation. Which I am indeed all for. Burn them all.
But there would be no effect whatsoever in the present.
Edit: yeah you already pointed this outā¦ just hadnāt read the earlier postsā¦ Been low on time lately.
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Transaction fees could be burned, in factā¦ the servers collecting the fees now will burn all that have been collected, so technically all transaction fees could be burned while the remaining unminted coins are distributed through staking to reward the nodes that validate the transactions in that time period, once Cardano goes decentralized I think that the transaction fees will jump tremendously in numbers and could possibly tempt the pyros to lobby to burn them as they come in.
And so back to your clip @jb455 Burn them Alll!
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At current transaction fee level of 15k ADA per Epoch, it will take close to 913 years to burn 1bln ADA.
Letās burn 1bln in transaction fees for a thousand years and have no money in treasury to develop the platform!
Sounds like a fantastic plan! Where do I sign up?
I am more for rolling over all the transaction fees collected before Shelley into the treasury before they get burned, just sort of as jump starting the fund.
Save the ADA!
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I always recommend that instead of burning should go to the community member base on their investment in coins 