XCPtokens cannot be mined and was not sold in an ICO .
Rather, it came into existence by using a “Proof-of-Burn” method. This simply means that a certain amount of bitcoins ( BTC ) were sent to an unspendable address, and in exchange of these BTC , Counterparty tokens were generated upon the Bitcoin blockchain.
This was done to avoid pre-mining or ICOs.
As BTCs were burned, they can never be spent again. This method of coin generation also gives a fair and equal opportunity to everyone (including the founder of the project).
A total of 2,130 BTC were burned creating 2.65 million XCPtokens .
These XCPtokens are used to make custom tokens and run smart contracts.
To overcome their problems with smart contracts, Counterparty imported over the EVM – Ethereum Virtual Machine.
Since then, Counterparty has grown at a decent pace. It was launched on 9 January 2014 at the price of $7 per unit.
Moreover, as the XCPcurrency is tied to the Bitcoin blockchain, it will grow as the technology of Bitcoin improves.
Also, XCPtokens is being used as a fuel to be burnt for running smart contracts on the EVM.
Hence, its total available supply will decrease over time as no more XCPs will ever be created.
This indicates a rise in the price of XCPtokens in the long run. A good example is Binance Coin(BNB) who burns 20% every quarter. If you check counterparty's blog 2018 will be a very interesting year