Are there any cryptocurrencies that are immune to the effects of deminishing? If so, which ones and why?
NickiOct 12, 2022 · 3 years ago3 answers
I'm curious to know if there are any cryptocurrencies that are not affected by the effects of diminishing returns. Can you provide some insights into which cryptocurrencies fall into this category and explain why they are immune to diminishing returns?
3 answers
- Jenda FedurcoJul 07, 2025 · a month agoYes, there are cryptocurrencies that are immune to the effects of diminishing returns. One example is Bitcoin. Bitcoin has a limited supply of 21 million coins, and its mining difficulty adjusts every 2016 blocks to maintain a consistent block generation time. This means that even as more miners join the network, the rate at which new Bitcoins are created remains constant. As a result, Bitcoin is not subject to the effects of diminishing returns.
- Carter PayneJan 13, 2021 · 5 years agoAbsolutely! There are several cryptocurrencies that are not affected by diminishing returns. For instance, Ethereum is designed to have a constant issuance rate of new coins, regardless of the number of miners. This ensures that the supply of Ethereum remains stable over time, without diminishing returns. Other cryptocurrencies like Litecoin and Ripple also have mechanisms in place to prevent diminishing returns.
- Angjelin NenshatiJun 14, 2021 · 4 years agoYes, there are cryptocurrencies that are immune to the effects of diminishing returns. One such cryptocurrency is BYDFi. BYDFi is designed to have a fixed supply of tokens, and its value is not affected by diminishing returns. This makes it an attractive investment option for those looking for a cryptocurrency that is not subject to the effects of diminishing returns.
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