Supply

Circulating Supply

The Circulating Supply (CS) means the amount of coins/tokens/cryptocurrencies that are circulating in the market and are tradeable by the public. It is analogous to the flowing shares in the stock market.

The goal of CS is to help calculate and determine its relative cryptocurrency's market capitalization. The method of using CS is analogous to the method of using public float to determine the market capitalization of companies in traditional investing.

Max Supply

TokenInsight defines Max Supply as the maximum number of tokens/coins coded to exist in the lifetime of that cryptocurrency. It is analogous to the maximum number of issuable shares in the stock market.

Max Supply = Theoretical Max Number of Tokens as Coded

Market Capitalization

Market Capitalization (Cryptocurrencies)

TokenInsight's Market Capitalization of a specific cryptocurrency reflects a reference of its market scale and share. It is analogous to market capitalization in traditional investing, but it normally has two forms. One is Circulating Market Capitalization, the other is Fully Diluted Market Capitalization.

The Circulating Market Capitalization (CMC, also known as Market Cap on our website) is the total market value of a cryptocurrency's Circulating Supply. It is analogous to the free-float capitalization in the stock market.

Circulating Market Cap (Market Cap) = Current Price x Circulating Supply

The CMC is calculated by multiplying the existing dynamic reference price of that cryptocurrency by the Circulating Supply (CS) of that cryptocurrency.

The Fully Diluted Market Capitalization (FDMC, also known as Fully Diluted Valuation, FDV) is the market cap when the Max Supply is in circulation:

FDMC (or FDV) = Current Price x Max Supply

The FDMC (or FDV) is calculated by multiplying the existing dynamic reference price of that cryptocurrency by the Max Supply (MS) of that cryptocurrency.

Below we give two examples of how we calculate Bitcoin's different market capitalization. Suppose:

Example 1: Circulating Market Capitalization

• BTC Price in USD (TokenInsight) = 40,000 USD / BTC

• Current CS of BTC = 19,000,000 BTC

• BTC Market Cap in USD (TokenInsight) = (40,000 USD / BTC) * (19,000,000 BTC) = 760,000,000,000 USD = 760 Billion USD

Hence, the TokenInsight BTC Circulating Market Capitalization is 760 Billion USD.

Example 2: Fully Diluted Market Capitalization

• BTC Price in USD (TokenInsight) = 40,000 USD / BTC

• Current Max Supply of BTC = 21,000,000 BTC

• BTC FDMC (or FDV) in USD (TokenInsight) = (40,000 USD / BTC) * (21,000,000 BTC) = 840,000,000,000 USD = 840 Billion USD

Hence, the TokenInsight BTC Fully Diluted Market Capitalization is 840 Billion USD.

Market Capitalization (Global)

The Global Market Capitalization of the whole cryptocurrency market (top of the website, below the menu bar) is the sum of the all listed project's Circulating Market Capitalization (Or Market Cap) on TokenInsight.