TALKADO SET TO BURN 1 QUADRILLION TALK COIN
Talkado, a community-driven, automated hyper-deflationary, effortless, and frictionless high yield aggregation protocol is set to officially crush 1 Quadrillion Talk Coin in accordance with the promises to carry out periodic bulk coin crushing/burning as stated in the Talkado Whitepaper. This is a significant event that is not only common to Talkado, but to virtually all coins in the cryptocurrency market. The burning of coins has become relevant for so many reasons.
WHAT IS COIN BURNING?
Coin burning or Coin crushing as the name implies is a systematic process that involves the ‘burning’ or crushing of a particular coin. When a coin is burnt or crushed, it becomes unusable.
The process of crushing a coin takes place via a crushing machine. This is made possible when the quantity of coins to be burnt or crushed is sent to a wallet that has no access key. It is important to note that without the private key, these coins cannot be accessed by anyone and are therefore permanently lost.
What it means in essence is that the coins are removed from the available supply and thus create an increase in scarcity.
WHAT OTHER BENEFITS ACCRUES FROM COIN BURNING?
- Obvious Increase in the Value of Coins
From the basic Law of supply and demand, we can understand that when 1 quadrillion of TALK Coins is burnt or crushed, it reduces the quantity of TALK Coins in circulation. We all know that when the quantity of a product reduces, it also affects its supply, which by extension will affect its demand in the market. The result is that scarcity will be created. The scarcity of a product has been known to give value to a particular asset and in this case, TALK Coin.
Talkado is deflationary in nature, this is as a result of the automated crushing of 10% of tax from every transaction that takes place on the smart contract.
This mechanism alone with the periodic coin crushing events are strategies to manage the value of the Talkado coin. With no additional TALK Coins created after the minting of Talkado, the implication of this is that if demands increase, prices will increase since the number of TALK Coin in circulation will only be reducing too. Likewise, if the supply of TALK Coin further decreases as a result of burning, this would lead to a price increase as the number of TALK Coins in circulation is greatly reduced with more people demanding TALK Coins.
- Environmentally friendly
Coin burning is environmentally friendly as these coins are not burnt physically, but digitally. One of the cardinal objectives of Talkado is to fight against climate change, and the deployment of coin burning mechanism is a way of supporting the campaign, as Talkado is a green and intuitive coin.
- Long term commitment
Part of Talkado’s commitment as enshrined in the whitepaper is the initial token burn, which is a sign of our long-term commitment to both investors and community members that have supported the project right from inception.
Part of the idea behind the burning of 1 quadrillion of TALK Coins is to increase the generated value of the coin by taking certain quantities off the fixed quantity in circulation sustainably.
SUMMARY OF TALKADO COIN BURNING
In line with the standard approach and policy deployed by most cryptocurrency projects, Talkado aims to integrate the benefits of coin burning mechanism which ranges from being not only environmentally friendly but also holds a long-term value for our esteemed community members.
The crushing of 1 quadrillion of TALK Coin is a bold statement that represents a viable instrument that would help to preserve wealth for all TALK Coin holders and the Talkado community at large.
The Crushing/burning of such a huge quantity of TALK Coin (1 quadrillion) would effectively increase the scarcity of the TALK Coin and help curtail inflation and maximize the generated added value for all Talkado participants.
