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Eayopp

May 15, 2022

Setting a constant issuance rate with a predefined maximum supply is valuable in controlling the inflation rate of cryptocurrencies and can lead to long-term valuation of assets. When the maximum supply is reached, less coins are generally available on the market. This can lead to tight markets and ultimately to deflation (or 0% inflation). However, some cryptocurrencies do not have a predefined maximum supply and can be mined or mined continuously. Ethereum is a notable example of a cryptocurrency system that does not have a predetermined maximum supply. The supply of Ether is constantly increasing as new blocks are generated.