At current pace, NuShare supply will be zero on February 27, 2019

For those who aren’t aware, NuShares are a very unusual crypto in quite a few ways. One way is how its supply varies. In general, NuShares are created when NuBit demand declines, and NuShares are destroyed (burned) when NuBit demand increases. While NuBit demand is still modest in absolute terms at slightly over 1.5 million USD value, demand is up more than 1000% from year ago. This has caused very large daily NSR buybacks, which are generally burned and destroyed after purchase by Liquidity Operations.

While NuShare buybacks have been happening at a brisk pace for many months, they have become huge in the past couple days due to recent NuBit sales, averaging 6,409,158 NuShares bought back each day. While it is unlikely this pace will continue, either due to an increase in the NuShare price or a reduction in the rate of NuBit sales, it remains perfectly true that at the current pace of NSR buybacks, the last existing NuShare would be purchased on February 27, 2019.

Most people were excited about Bitcoin because it had defined inflation that was in the teen percents in recent years and slowly declining to zero in more than a century from now. However, this is a much more radical type of scarcity, with the available supply of NuShares in rapid decline due to very large buybacks.

The NuShare supply is currently contracting at more than 80% per year, based on the current price and daily buyback amount of $13,478 per day! Let’s sell some more NuBits and increase the rate of buybacks to even more ridiculous levels.

If people hate the way central banks dilute currency and want an asset that is truly becoming scarce, I know of no better asset than NuShares. I don’t know of any cryptoasset whose supply is declining so rapidly as NuShares. Bitcoin certainly can’t compare in scarcity. Not even close.

While we all know the NSR supply isn’t going to extinguish itself on February 27, 2019, the degree of scarcity being introduced is staggering. It is something the world hasn’t seen before. NuShares are a very special asset.


Hi, Boss!) Very interesting reasoning. Thank you for that touched upon this topic. But what will be with nubit, if all nushares will be burned?

I thought the same.
Tks for articulating it.
Do we have a real time indication of how many nubits we sell every day?

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Yes, but not as straightforward as it will be in the future. Check the numbers of circulating NuBits and exchange balances from the Supply report, then view current exchange balances in the explorer and compare with balances at Liquidity Operations’ addresses B71AkDjzm4S24KoXGoq6W3hynexAyNb9FV and BA82T18qnhtmAmJG3U5rcmzvqdUJ6YTd3d.

Funds sent to B9RyhAWVGWQAVA67ceCikRcXb8gH7qsYvX are for USNBT–NSR at SouthXchange.
Funds sent to BJCeBya9XWXeNqRBjskmwDFzuXHe84wtAf are for USNBT–USD,BTC,ETH at SouthXchange.


Doing this was established as one of our top priorities for @woolly_sammoth as he turns his full time attention to meeting Liquidity Operations needs beginning next Monday.


Tks . I ll check that and get back to you.

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@Phoenix could you please provide an update what the Nushares supply will be by June this year? I know what the maths is, but I don’t possess the authority to post such impressive stuff.