Peercoin ultimate price

Some people say that Bitcoin price reflects its cost of mining. I am curious about the price of 1 PPC, since it is energy efficient and does not cost anything to mine- what would be its ultimate price? intrinsic value purported to Peercoin network?

Here’s my answer:

I think it’s not true that Peercoin has no cost of generation. If that were completely true, wouldn’t you generate a lot of peercoins for free and sell them on the market? :stuck_out_tongue:

Chronos, going directly to the point. ;D

It costs enough that I shut my 750GH miners down six months ago because they could not bring in enough to cover the cost of electricity and the effort required to keep them running.

I think op is talking about PoS and minting cost. ::slight_smile:

Coin price is not determined by the mining cost in general. In terms of hash per watt it does cost a lot to mint new Peercoins because minting is the same as mining except every stake can only do it once per second. According to this, there are about 3,000 stakes finding 25% of all blocks. So there are about 12,000 stakes for the entire peercoin network, each making one hash per second . Compared with bitcoin’s 300,000,000 G hash per second, a block of peercoin should be about 30,000 billion times cheaper than a block of bitcoin if the price is determined by how much hashing is needed :))

Price of peercoin (or anything) is determined by supply and demand in a free market.

I think value will be greatly determined by how wide the Peercoin ecosystem becomes.

The most valuable asset of peercoin is its time-tested, simple, robust network. On top it lots blockchain-based application can be made to work. The price of peercoins will be the price of your shares of contribution to keep this network running. The peercoin minters are small utility companies. The minters will find a way to sell their minting power to the highest bidder businesses that need it.

Suppose there will be a lot of services that would like minters to secure their network. I wish I could use my peercoins in such a way that:

  • I can select services that my minting supports conveniently, probably from the wallet interface.
  • I will be compensated by POS block reward paid by the services I mint for.
  • I am willing to have bigger size of my local blockchain as a price to pay for selecting the services.
  • Motion voting is just like minting for a service.

@mhps Profound answer - thanks :slight_smile: