SCP Supply Precision Change
In February 2020, SCP’s supply went through a precision change, or to be more precise, a change to how the precision is represented to wallet and exchange users. It involved the moving of the decimal 3 places to the left, so that the total supply is in millions, not billions. Technically, the supply of SCP didn’t change, only the representation of it. Visually, transactions on the ScPrime network are seen in SCP, but they actually occur in hastings, which is the smallest unit of a ScPrimeCoin (24 digits or 1⁰²⁷ pre change,1⁰²⁴ post change). The smart contracts that the network uses requires very small transactions amounts because they are calculated as Hastings per Byte per block. The adjustment just changed this representation of a single SCP for every place it is used.
If you had 20,000,000 SCP pre supply change, you would have 20,000 SCP post supply change. This made the supply more manageable, in addition to making SCP more attractive to exchanges, and to facilitate listings on sites such as CoinMarketCap and Coin Gecko. It was possible because at the time, the coin only traded on a single exchange (SouthXchange), who’s team worked with us to dump the book and reset so that no value was lost. It’s important to understand that this adjustment did not change the valuation of the currency at all. SCP was not devalued. The emission remained consistent and the only change was the moving of the decimal 3 places.
Here is a quick example using community member Bill. Bill had 1,000,000 SCP ‘pre supply change’. Bill hasn’t been following the project the last few years but notices that the value of SCP is going up. Bill decides to check his ScPrime wallet and sees that he now only has 1000 SCP. This has caused some disappointment for him. Bill sees SCP is worth 4 cents (value at the time of this article), and assumed he still has 1,000,000 SCP. It is VERY important for Bill to understand that if he still had 1,000,000 SCP, each SCP would only be worth $0.00004. He didn’t lose any value on his holdings. If anything, the supply change has allowed SCP to gain value by ‘trimming the fat’ of a cumbersome supply chain.
If you still have any further questions in regards to ScPrime and the supply change of SCP, please feel free to visit the ScPrime Discord!