Liquidity refers to the efficiency of converting an asset, or security, into ready cash without affecting its market price. If you guess that it is cash that is being termed as "liquid", you are correct. Cash is the most "liquid" of all assets. Low liquidity therefore means that low efficiency of conversion,so assets become difficult to trade with.
It is a common experience in Scorum to be faced with it's low liquidity. It can be very frustrating for Scorumites and non-scorumites as well. However, this post intends to give you the fuller picture of things and hopefully you should see some light at the end of the tunnel.
The reason for Scorum's low liquidity and higher volatility is because we have more in common with Bitcoin than almost any other cryptocurrency, especially graphene based cryptos. We could easily increase the liquidity if our coin supply ten times more, added inflation, and brought our circulating supply closer to other similar blockchain projects.
These above changes could also help our development team by allowing them to hold more coins out for themselves like many of the hyped projects that everyone knows and loves so well. But the Scorum team has taken a totally different route, a less selfish route in a day and time selfish developers abound.
Scorum is designed so that true investorshave an opportunity to receive incredible gains as Scorum receives adoption.
Take an objective look at the way Scorum economy is designed to operate and I believe that any knowledgeable blockchain enthusiast would see that Scorum has the potential to be more profitable than even Bitcoin itself! I'm not exaggerating, Scorum can do anything that can be done on Ethereum, but with free transactions, plus, it has a total supply close to the total supply of Bitcoin, and unlike Ethereum but more like Bitcoin there is no inflation.
Also Scorum is cheap and energy efficient to operate because it makes use of the DPOS blockchain model. We literally have no peers, this is the most unique economic model in all of blockchain and there is almost no application that can not be built to take advantage of our benefits.
As adoption begins to happen and the value of 1 SCR rises to a level to where most trades happen in fractions of an SCR, then you will have tons of liquidity. Let me add that at present Hotbit is more friendly to us, liquidity-wise.
As always on topics like this,credit to the senior man @Pete for his insights. Picture from Scorum Official Chat,Telegram group.
Hey we can be upbeat about the future.
Cheers
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