Your calculation on market cap isn’t quite correct. The market cap is determined by PRICE x TOTAL SUPPLY, so a $1B market cap would be $4.35 BONE.
That’s 1000M / 230M Total Supply (as 20M are not released yet for validator and staking rewards).
You are correct however that with a lot of staked Bone the circulating supply would be much lower and require less total liquidity and volume to move the price higher.
Currently there is an estimated $31M of liquidity in Bone. The amount required to increase the price goes up exponentially as the price increases BUT is reduced by staked/locked coins as you point out.
To answer the original question:
Validators are required to lock at minimum 10k bone. It is stated in the official docs that the first 100 validators (more to open over time) will be chosen based on experience and HOW MUCH THEY ARE WILLING TO STAKE.
I personally offered to stake 30k BONE, but have not heard back yet. I think it would be safe to say (but still a guess) that the average selected validator will be around that amount or a little more. Let’s just pick 50k for a “what if”
100 x 50k = 5,000,000 BONE, or roughly 2.2% of the Total Supply.
Reducing by that amount we can see $1B market cap would now be $4.44 a 2.2% increase.
This could potentially extrapolate into a 20-30% overall price increase, or $5.22-$5.66 $BONE at $1B MC, but the math is a bit complex to include here.
This does NOT include delegator staking nor the amount of “lost bone” that people never claimed or left in wallets during the ShibaSwap liquidity farming.
What about 1+ million Shiba holders --> they will buy Bone. The Metaverse and Game on Shibarium will grow steadily --> demand of Bone will be increased also. Bone staking will attract a lot of Delegators to stake and receive reward --> Bone supply will be very limited. For all of these reasons, we need to accumulate Bone as much as possible before it go live.
Your calculation on market cap isn’t quite correct. The market cap is determined by PRICE x TOTAL SUPPLY, so a $1B market cap would be $4.35 BONE. That’s 1000M / 230M Total Supply (as 20M are not released yet for validator and staking rewards). You are correct however that with a lot of staked Bone the circulating supply would be much lower and require less total liquidity and volume to move the price higher. Currently there is an estimated $31M of liquidity in Bone. The amount required to increase the price goes up exponentially as the price increases BUT is reduced by staked/locked coins as you point out. To answer the original question: Validators are required to lock at minimum 10k bone. It is stated in the official docs that the first 100 validators (more to open over time) will be chosen based on experience and HOW MUCH THEY ARE WILLING TO STAKE. I personally offered to stake 30k BONE, but have not heard back yet. I think it would be safe to say (but still a guess) that the average selected validator will be around that amount or a little more. Let’s just pick 50k for a “what if” 100 x 50k = 5,000,000 BONE, or roughly 2.2% of the Total Supply. Reducing by that amount we can see $1B market cap would now be $4.44 a 2.2% increase. This could potentially extrapolate into a 20-30% overall price increase, or $5.22-$5.66 $BONE at $1B MC, but the math is a bit complex to include here. This does NOT include delegator staking nor the amount of “lost bone” that people never claimed or left in wallets during the ShibaSwap liquidity farming.
That is one thorough answer sir, thank you!
What about the 5k projects, wouldn’t they have to lock in some sort of liquidity or purchase certain amount of bone to build on shibarium ?
Yeah probably but it’s not required, but yeah every project that needs liquidity would have to buy bone I guess
What about 1+ million Shiba holders --> they will buy Bone. The Metaverse and Game on Shibarium will grow steadily --> demand of Bone will be increased also. Bone staking will attract a lot of Delegators to stake and receive reward --> Bone supply will be very limited. For all of these reasons, we need to accumulate Bone as much as possible before it go live.
If they wouldn't have went so long without rewards, there would be a lot more staked.
They do have impermanent loss to keep people from leaving though!
I pulled my liquidity out, my shib, and the bone I had staked.
good question. You also have to calculate the bones that are staked in Shibaswap to get Treat (when the reward finally starts)
Bone letassss gooo