Hey Steemit.
A few weeks ago I invested in two coins in particular. Tronix(TRX) and Paccoin(PAC). I recently was told there would be a coin burn on these coins in particular. Immediately my gf started to panic thinking I made a terrible investment move.
Today I want to talk a little more about coin burns and let you guys know that it actually turns out to be a positive thing. Lets get rid of a few misconceptions.
No you will not lose any coins in the burn.
No you will not lose any coins as direct result of the burn
No you should not sell directly because of a coin burn.
Technically all that is happening is you are trading your old coins for new coins. They are valued the same. For example, if Tronix is worth $1 and you buy 100 coins. You have a total of $100 in coins. AFTER the burn you might have 10 coins but they are now each worth $10. Your total will still be $100.
PAC will be redistributed at 1000/1 ratio. So If you have 5000 PAC, after the burn you will only have 5 PAC but they will be worth the same amount.
At the end of the day the entire point of a coin burn is to keep investors while at the same time updating technology on the particular coin. So if the business has a vision, they keep to their plan, they keep the community updated, then I would say your coin will do just fine. The burns are a positive thing for investors. It gives a good future and shows that the company is making moves toward better tech.
I hope this helps anyone else who had a slight heartattack when they heard their coin would be burned. It definitely is good knowledge! Stay awesome Steemit!
Thx for sharing. Besides these two coins, are there any more coins going for the burn?
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been keeping my eye out have seen any of late any one got any let me know ill do some digging do a post
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