Chess Coin Tokenomics

By manilpwn | ChessCoin | 4 Dec 2019

$0.10 tipped


Distribution

There are 300,000,000 CHESS tokens

The distribution will be done as such :

60% for the airdrop and bounty

20% for marketing and project development

15% for team

5% in reserve

 

 

Usecase

Chess Coin will be used to facilitate the ‘eco-system’ of the BrainiacChess Network, meaning that the interactions performed using Chess Coin. These interactions include:

- To pay for tournament registration fees of tournaments organised through BrainiacChess

- Pay winners of tournaments

- Pay arbiters and others who assist in events

- Send easily to other ecosystem members

- Purchase merchandise

- Gamble through the Ecosystem

- Tradeable for other cryptocurrencies and fiat currencies              

 

Holders

Let’s assume that, within 6 months of launch, 0.05% of chess players worldwide hold Chess Coin. That is still a whopping 300,000 people who will use the token and the associated BrainiacChess Network. Naturally, such a large number of people is sure to spur a great amount of tokenomic activity, and increase the market cap. Presume that, over time, the amount of holders doubles, triples, quadruples. If even 1% of Chess players use this platform specifically designed to combine the internet with the chess world, that will make 6 million holders of Chess Coin. This does not include the arbiters, managers, and general investors associated with the chess and cryptocurrency worlds.

At the time of writing (December 2019), there are around 600 holders of Chess Coin. With the price of one token being around $0.007 USD, this lends it a market cap of $2,100,000. Obviously, as there will be no supply increase, by creating a basic demand and supply graph we can assume a large market cap increases as adoption by the chess world skyrockets.

351665157-d9ab94890cffaf2101b993589bc3a6295bb49c129532f203478ce70ec69ffcea.png

         

In this demand and supply graph, D1 represents the amount of holders currently. As there is 600 holders, D1 represents the demand held by those 600 for the 300 million CHESS. Obviously, this puts a large amount of supply in every persons hands, and so the price is not too high, hence a low market cap, represented by P1. Presume the amount of holders increases, represented here by the shift from D1 to D2. Should D2 become the increased amount of demand for the 300 million CHESS tokens by the larger amount of holders, the price will increase and so will the market cap, represented here by the large increase from P1 to P2.

 

As supply is fixed, hence the straight line market S, any increase in demand means demand pull inflation is placed on the $CHESS, as more people are attempting to buy the same amount of CHESS.

 

Overall, the incredible size of the worldwide chess community lends to the notion that CHESS will have a very large market cap.


manilpwn
manilpwn

Head programmer of the Miasma cryptocurrency Also write on medium under the name Kayde Smith


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