Why a large supply is a good thing

Continuing the discussion from Why burning makes no sense:

Binance added an autoburn mechanism recently. They used to do manual burns until not long ago.

And I have addressed both methods in my post.

@Luna_G supply doesn’t matter as much as market cap matters. What matters is the market cap.

A large supply is actually beneficial because it attracts more buyers. See the case or Shiba, Dogecoin and other such coins. Low price makes a coin appealing. Same logic behind stock splits, a low price makes a stock look more appealing and affordable.

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I totally agree. If you look at Doge, Shiba, Floki Inu and other such coins, having a large supply was very beneficial. People love to get millions of coins instead a small fraction of a coin.

Large supply or small supply doesn’t matter if it was that way from the start and the market would have priced it accordingly. However, if the coin increases its supply by trillion after you have purchased it with a different supply to price ratio then that is fraudulent.

If everyone would have bought LUNA with 6.9T supply then I don’t think anyone would complain. But since the supply was inflated by trillions right after purchase many users got cheated and that needs to be corrected.