Seasonal Tokens — First multi-token project using proof of work

Srikandi_88
5 min readApr 11, 2022

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SUMMARY

They’re cryptocurrencies, mined using proof-of-work, like bitcoin. They’re designed so that, if you trade them in a cycle, you’ll end up with more than you started with.

There are four tokens, Spring, Summer, Autumn and Winter. Once every nine months, the rate of production of one of the tokens is cut in half. The token that’s produced at the fastest rate becomes the slowest. Spring tokens are currently produced at the fastest rate of the four. In June, the Spring halving will take place, and Spring will then become the most difficult of the four to mine.

They’ve been designed this way to benefit investors. Winter tokens are currently produced at the slowest rate of the four, and they have the highest cost of production. As a result, they’re the most expensive token to buy, and Spring is the cheapest. Investors can trade Winter tokens for Spring today and increase the total number of tokens they own. When the rate of production of Spring tokens is halved, the cost of production will double. Spring will become the most expensive token to produce, and the price can be expected to rise over the following months as the market adjusts to the decrease in the supply and the increase in the cost of production. Over time, Spring tokens will tend to become the most expensive of the four.

This allows investors to hold Spring tokens while they rise in price relative to the other tokens, and then trade them for a greater number of Summer tokens, which will then be the cheapest. Then the Summer halving will take place in March 2023. After that, Summer’s price can be expected to rise, and over time Summer will tend to become the most expensive of the four. They can then be traded for an even greater number of Autumn tokens.

By trading the tokens in a cycle, investors can continually increase the total number of tokens they own. This makes it possible for investors to increase their holdings without spending more. It also makes it possible to eliminate the risk of making a trading loss measured in tokens: If you always trade tokens for more tokens of a different type, the total number of tokens in your investment will increase with every trade.

In the long term, the tokens are equally valuable, because which one is the most expensive will keep rotating. Today’s market will price the tokens according to today’s cost of production, though, which ensures that the tokens will always tend to have different prices, and it will be possible to trade tokens for more tokens of a different type.

The rate of production of each token halves every three years. They’re becoming harder to obtain over time. In twenty years, they’ll be produced at less than 1% of today’s rate. Although there’s no way to absolutely guarantee that the prices of the tokens measured in external currencies such as USD will rise over time, the increasing cost of production and scarcity makes it likely that the tokens will be more expensive to buy in the future. This makes the total number of tokens in an investment a good measure of its investment value. Investors can trade the tokens in a cycle and acquire more of them over time, even as they become harder to obtain.

Unlike bitcoin, which was designed to be money, and ethereum, which was designed to be a public computer, the tokens are designed to be an investment. They can be used as money, but that’s not what they were created for, and it’s not necessary for people to use the tokens for payments in order for them to rise in price relative to one another as intended. It’s the changes in the cost and rate of production, not popularity, that drive the prices of the tokens relative to one another.

The tokens can be compared to exchange-traded products such as ETFs, which, like the tokens, are designed to allow investors to change the sensitivity of their investment to variables such as market performance or volatility. These financial instruments, like the tokens, are designed primarily for investment, and don’t rely on popularity, or usefulness for purposes other than investment, to achieve the sensitivity of their price to the underlying variable. In the case of the tokens, that variable is time.

Protect your funds and grow your wealth over timeThe first crypto designed to make cyclical trading profitable

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A Big Problem for Investors

Seasonality is a problem for cryptocurrency investors. Seasonal Tokens have been engineered to make seasonality work for the benefit of investors.

Bitcoin is a trillion-dollar investment market in which every investor watches the their portfolio lose more than half of its value once every four years. The price rises dramatically once every four years, and then declines. Bitcoin investors know that bitcoin won’t rise in price dramatically again until 2025. We’ve been through the cycle three times now, and we can see the repeating pattern. When bitcoin goes out of season, investors need to look elsewhere.

Bitcoin’s seasonality is good once every four years. The tokens have been designed to provide the same opportunity every nine months. We can design cryptocurrencies to achieve the results we want. One of the tokens will always be in season.

There are four tokens, Spring, Summer, Autumn, and Winter. They’ve been designed to rise in price relative to each other in a predictable sequence. Spring tokens will tend to rise in price, then Summer, Autumn, Winter, and Spring again.

The prices of the tokens relative to each other are driven by supply and demand. There’s a supply from mining, and a demand from farming. Once every nine months, the rate of production of a token halves, and the cost of production doubles. It goes from being the cheapest to produce, to being the most expensive. Then it goes from being the least valuable for farming, to being the most valuable.

This combination of seasonal supply and seasonal demand provides the pressure on the prices of the tokens relative to each other that makes them increase in a predictable sequence. If you trade the tokens in a cycle, you’ll end up with more than you started with.

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FOR INFORMATION :

AUTHOR
USERNAME : Srikandi88
https://bitcointalk.org/index.php?action=profile;u=3334477

Bitcoin Wallet Address : bc1qgmpetknr58pflarn4cwzv92jxchjtlrzjd3m8t

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