CV is coupled to the price in Steam's store. So if the price drops there, the CV drops here too.
Edit: There are rare cases (e.g. Factorio, Shovel Knight) that had a price increase, followed by a CV increase here.
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CV is a fluid and changing thing so when the Steam store price drops then the CV drops also.
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It doesn't drop to 0 CV if you make more than 5 copies but you get less and less CV for each copy after the fifth. FAQ:
After you give away a game 5 times (whether in the same giveaway, or in multiple giveaways), it will begin decreasing in value. The value is decreased by 10% for each additional copy. This means if you decide to give away 8 copies of a $10 game, it would add $74.39 (10 + 10 + 10 + 10 + 10 + 9 + 8.10 + 7.29) to your contributor value. This has little effect on the majority of users, but prevents individuals from receiving a high contributor value from gifting a large number of promotional gifts, games obtained through pricing errors, or keys from contacting game developers.
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if you want to farm cv, do it with bundles since the price will be more consistent over time (even if one game is removed from the store or goes free, your cv won't be hit too hard).
on the other hand, if you want to share nice games, don't pay attention to cv.
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If I were to give a game that cost 50 away, and 6 months later it got marked down to 30, would my contributor level for that game be 30, or remain 50? I'm wondering if it drops because new games often tend to lose a lot of value after the first year.
So is it more worthwhile to give away games that have been out awhile, and are already, 19.99, and 9.99, since they are less likely to see a reduction. Exactly how does the contributor level work with price reductions? It's not totally clear to me.
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