Cryptocurrencies created for testing reach a price of R$18 million per unit

As investors celebrate Bitcoin approaching $31,000, the cryptocurrency is surging HayCoin it already amounts to about US$3.6 million (R$18 million). The reason is the limited number of tokens. This week, Hayden Adams burned 99.99% of his HAYs, leaving only 4.4 HAYs available on the market.

HayCoin was created in 2018 for testing purposes in the first version of Uniswap, a decentralized cryptocurrency broker, and was supposed to have no value, but some investors eventually turned it into a kind of memecoin.

On his social networks, Hayden Adams commented on the rise of the cryptocurrency, noting that it was used in testing the first versions of Uniswap. In other words, HAY ultimately became a souvenir for fans of the developer and the history of cryptocurrencies.

“Five years ago, before the launch of Uniswap v1, I launched a token called HayCoin to use in testing”wrote Hayden Adams. “After v1 launched, I created a small test liquidity pool with a small portion of the total supply and left the rest in my wallet.”

“Over the years some people have noticed it and bought it as a joke/for the novelty.”

HayCoin (HAY) cryptocurrency, which trades for US$3.6 million (R$18 million) per unit.  Source: CoinMarketCap.
HayCoin (HAY) cryptocurrency, which trades for US$3.6 million (R$18 million) per unit. Source: CoinMarketCap.

Developer burns R$3.2 trillion in HAY

Hayden Adams continues his text, noting that he felt uncomfortable holding so many HAYs in his wallet while other people traded their cryptocurrency on a daily basis.

“Ultimately, I don’t feel comfortable owning almost the entire supply (~99.99%) of a token that people meme and speculate, so I decided to burn the total value in my portfolio (“valued” at an absurd US$ ~650 billion – R$3.2 trillion).

Finally, the creator of Uniswap notes that he will not have any involvement with HayCoin and such in the future “Speculating about this is nonsense”. As for the project’s logo, currently a simple “H,” Adams does not want his photo used.

“If my photo is used in this way, I may consider removing the image.”he noted.

Despite the price of R$18 million, HAY is currently not even among the 2,000 largest cryptocurrencies on the market. Its market capitalization (market value) is estimated at just R$79.2 million, a far cry from Bitcoin’s R$3 trillion, for example.

Uniswap (UNI), the broker’s official cryptocurrency, while worth $4.2 per unit, is the 26th largest on the market.

HayCoin wasn’t the only one to have already surpassed Bitcoin

Besides HayCoin, other projects have already surpassed Bitcoin’s value. An example is (YFI), which reached $77,000 in May 2021. However, it is worth remembering that there are only 33,214 YFIs in circulation, while Bitcoin currently has 19.5 million units.

If there were only 33,214 bitcoins in circulation, the price of each BTC would be around R$18 million. In a more extreme case, with only 4.4 units like HayCoin (HAY), each BTC would be valued at R$135 billion per unit.

The thinking is the opposite of the main pitfall of altcoins, which put a large number of coins into circulation so that their prices always remain in the pennies. Therefore, investors tend to believe that the project is ‘cheap’, but that is not the case.

Finally, HayCoin’s R$18 million value may not mean much, as there are only 4.4 HAYs in circulation. However, it is possible that a visionary investor bought some of the currency when it was still worthless and profited from its appreciation.

Source: Live Coins