[praeconium]

"I did the calculation how many coins we needed to become the richest person on the planet," Igor says. "I said to Andreea, 'We need to build it up to 100 million coins, because when this coin goes to €100 and we have 100 million, we are richer than Bill Gates.' It's mathematic. It's easy as that."

Great math-guy.. wonder where he got info on Gates wealth.

[kingcobraninja]

Not really though because they would have a lot of trouble converting all those coins to another currency at that exchange rate. Once they started selling, demand at that price would be met and the bidding price would fall.

[ivalm]

More like 100M * 100 = 10 B < Gates

[smabie]

Sure, but mark-to-market is a commonly used method of valuing assets. Of course what you’re saying is true, but there’s nothing inherently wrong with valuing a portfolio like this. Even with real currency, you can’t directly measure value in another currency for the reasons you gave. So it’s probably just a better idea to ignore slippage and bid-ask bread when talking about value.

[est31]

There is a difference though: Google isn't built on a scam. While another dot com boom isn't impossible, it's still not very likely that it will happen in the near future. So your Google cofounder with tons of Google shares can divest from them over a period of decades, building themselves a diverse portfolio. A pyramid scheme currency only has very short lived and temporary value. Thus you need to exit before the scam is detected. The faster you try to exit though, the more the effect that GP mentioned becomes relevant.

Anyways, even if she had managed to exit with a large stash of money, she'd still have to keep it out of reach from the government authorities, lawyers, etc. So even if she owned $1B momentarily, it wouldn't be of much worth to her if she (rightfully) lost it all again in 4 years plus interest. That's why criminals have such an extravagant lifestyle: they can't think long term because long term they might be in prison, killed by another criminal, etc. Same goes for rich people in authoritarian regimes: the moment they fall out of favour, their money is gone, so often they want to get it out of the country before the tides turn on them.

[colejohnson66]

That argument doesn’t really work. Measuring coins in their current value, not their theoretical value is used in other situations too. Specifically stocks. You can possibly sell $1b of stocks and expect to get $1b.

[Swenrekcah]

Except that you can. It will take some time and/or you need to do some work to find buyers, but people can and do. Because (most) stocks are backed by real world companies that have real world value.