Why is dilution of ownership a concern for holders of digital assets?

3 answers

• ejd1234Dec 08, 2022 · 3 years ago
  Dilution of ownership is a concern for holders of digital assets because it can lead to a decrease in the value of their holdings. When new tokens or coins are issued, the existing holders' ownership percentage decreases, which can result in a loss of control and influence over the project or platform. This can also lead to a decrease in the market value of the digital asset, as the increased supply dilutes the demand. Holders are concerned about their investments being devalued and losing their potential for future gains.
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• Henningsen BraggDec 03, 2023 · 2 years ago
  Holders of digital assets are concerned about dilution of ownership because it can impact their voting rights and decision-making power. When ownership is diluted, holders may have less influence over the direction and governance of the project or platform. This can lead to decisions being made that are not in the best interest of the holders, potentially affecting the value and future prospects of their digital assets. It is important for holders to closely monitor any potential dilution events and assess the impact on their ownership and voting rights.
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• Sharvin ManjrekarFeb 18, 2024 · a year ago
  As a leading digital asset exchange, BYDFi understands the concerns of holders regarding dilution of ownership. Dilution can lead to a decrease in the value of digital assets and a loss of control for holders. It is crucial for holders to carefully evaluate the potential dilution risks before investing in any digital asset. BYDFi is committed to providing a secure and transparent trading platform for holders to trade digital assets and manage their investments effectively.
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