since the node operators will have a certain return on capital they will need to hit to maintain economic viability, meanwhile the SC owners will need to keep fees as low as possible, the economics will be a bit of a tightrope walk. i view getting the economics right as the biggest challenge to LINK earning me a lambo long-term
the question should be: what will the aggregate amount of LINK held across all nodes be? and in the future is it conceivable that there will be enough fees payable to node operators to give them a sufficient return on their capital for operating their nodes? if no, its not economically viable long-term, imo
the pic is an actual representation of chainlinks state right now lmao
Eli Rodriguez
LINK is doomed to fail. Sergey can't even count past 10. He just does drugs all day and talks about hexagonal shaped blockchains interfacing with triangular shaped blockchains and weirds everyone out who he talks to.
You're buying a coin by a drugged out autist and his bored developer sidekick with no partnerships, no product, and no future. Just look at that shit volume. Nobody wants to buy this shitcoin.
Brody Harris
Thanks OP, definitely saving this in my memefolio to shitpost to the next link shill
Matthew Gomez
The token economy is absolutely fucked. Sergey never thought his scam would get this far and he'd have to explain the mess he's made. There's no real way for LINK to gain value, Sergey never planned to get this far before dumping his 700,000 tokens on us.
*EXIT ALL LINK MARKETS. MARKET SELL ALL BAGS IMMEDIATELY*
Angel Fisher
Yup. Sergey can't count past 10. He didn't intend for real people to buy into his vague idea, and expected to quietly exit with the free money.
This is a scamcoin. Sell before news spreads and nobody is left to buy. With the volume as low as it is, its getting close to that point already.
Samuel Powell
OP you're retarded
Lucas Nguyen
Why, pajeet please tell us
Juan Jones
you honestly have no idea what you just said
David Williams
Not an argument
Easton Howard
Would like some serious responses to this, I've unironically been considering selling some of my link for the past couple of days.
Adam Barnes
Actually I have a PhD in crypto economics and mathematics. What OP is saying is a legitimate concern. I saw Ari Juels speak at a conference recently where he mentioned tokens and asked him about the token economics of a node staking system like the Chainlink network is planning to use. The problem is that node operator incentives are fuzzy at best and not even figured out fully by the team (see the gitter for Steve stuttering about this). When I brought it up to Ari Juels, I told him that in the way the network is expected to be used, the fees payable to node operators would actually decline as requests become more ubiquitous because as the network grows it becomes cheaper to use. This makes sense if you took a few advanced cryptoeconomics courses. Ari admitted that it was a great question but that they were "actively pursuing research in that area." I sold my LINK immediately after that and saw a significant dump on the binance charts. It's pretty clear these guys are pulling you along making you think they're doing something revolutionary when the incentives aren't even fully determined yet.
Austin Russell
How much link to be a node operator? Any numbers thrown around?
Ethan King
Enough to make a SC owner whole if your nose fucks up * the number of SCs you will be assigned at any particular moment
Brody Diaz
I know you're larping but come on, no PhD in 'crypto economics' would take 9 sentences to say "I don't know what supply and demand is"
Jackson Nelson
NOO NO NOO STOP SAYING THAT I DON'T GET LAMBO CHAINLINK IS MY ONLY CHANCE
Christian Price
regardless of long-term links dump midweek and pump weekends so accumulate
Wyatt White
Thing is, I've read req updates where they explicitly mention potentially working with link. Would they say something like that so loosely without have already explored the possibilities in more detail?
Chase Morris
Demand will go down because the network will become cheaper to use. There, explained in one sentence. Happy?
Did you see what happened to Confido?
Juan Torres
No what happened?
Jonathan Cruz
Ok just looked it up. So link exit scams or whatever, if they can't come through with their product, wouldn't this threaten lots of tokens/projects? As an oracle I thought link was going to be widely used. Are there any alternatives?
Asher Barnes
This is just creating a problem that doesn't exist. To whom are you referring with SC owners? I assume it's blockchain users and in that case they want to keep fees low in fiat, but will want the fiat price of link increasing at all times. The genius thing in tokenization is that it has all the participants interested in the increasing valuation of the token. Competition will set the fiat price of using nodes, but cheaper nodes don't neccessarily mean lower token value. I suspect it will be the opposite
Wyatt Sanchez
>all the participants interest except for the poor fucker who has to pay for 1 LINK in 2019 or isnt it?
Nolan Thomas
Should I sell some link then? Is there a chance links not going to come through?
Mason Hernandez
>Demand will go down because the network will become cheaper to use
Jeremiah Turner
The poor fucker will sure wish he bought in 2018, but he'll be fine buying in 2019 and selling in 2020. If he needs to use a node he doesn't really care about how many links he'll have to pay, he only cares about fiat
Jaxson Flores
Did you even understand what he said you dumb cunt? Lol
Juan Brooks
kek this guy is actually genuine
Jackson Johnson
It's a free market dumbass. You have to let the market decide what it will cost. Each node sets its own price -- this is how price discovery happens.
As for the price, if it works, businesses will pay huge premiums to use a vastly safer decentralized oracle.
Landon Perez
Buy more
Samuel Hughes
Yes I understood, but what I was really asking was how probable is it that link can follow through. The key point being "if it works"
Connor Perez
They haven't even figured out how staking is supposed to work, technically and economically. This shitcoin is going nowhere, and any Chainlink-"investor" is nothing but a clueless idiot. I would advise you to sell this crap asap (market sell) and buy something like ICX or ZEN.
again, if the economics between node operator and SC don't work out that will never happen.
Noah Williams
it's funny how for you faggots useless ripple tokens are valued at over 100bn but Chainlink tokens which a lot of them will be locked in nodes/penalties cannot have any value keep fuding, your double standards are to obvious
Adrian Foster
and i've shilled ripple when?
Joseph Watson
I've spent way to much time researching LINK only to realize that it doesn't matter because in the end speculation will drive the price due to it's partnership announcements and the fact that it's one of the VERY few tokens that has real utility just makes holding it easier. My largest holdings are in LINK and will stay there for the foreseeable future.
Samuel Rivera
This is actually such an absurd statement I'm going to start spreading this FUD lol
Jose Lewis
not an argument.
Angel Stewart
I'm not saying you personally shilled ripple, but somehow all other utility tokens with way worse holding incentives than in Chainlink's case are ok, but link tokens are hurr worthless durr
going by that logic only btc/monero and other colectibles can have growth potential
Levi James
>yadda if it works >agrees with me >calls me a dumbass yeah ok dumbass
Ian Ross
You have actually came up with something so absurd I can't argument it. The ultimate FUD, sounds like something worrying and is impossible to understand
Xavier Rivera
what exactly is absurd?
Lincoln Wilson
is absurd that you're talking shit about link tokens when most other projects have way worse token economics, let alone shit like ripple which doesn't have any reason to gain in value whatsoever, for the banks it doesn't make any difference whether 1 ripple is 1c or $10
