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How is the fully diluted market cap calculated for cryptocurrencies?

avatarRoger LeeDec 25, 2021 · 3 years ago3 answers

Can you explain how the fully diluted market cap is calculated for cryptocurrencies? I'm curious to know the formula or method used to determine this value.

How is the fully diluted market cap calculated for cryptocurrencies?

3 answers

  • avatarDec 25, 2021 · 3 years ago
    Sure! The fully diluted market cap of a cryptocurrency is calculated by multiplying the current price of the coin/token by the total supply of the coin/token. This includes both the circulating supply and any additional supply that may be unlocked in the future. The fully diluted market cap provides an estimate of the potential value of the cryptocurrency if all coins/tokens were in circulation at the current price. It's important to note that the fully diluted market cap may not accurately reflect the actual market value, as not all coins/tokens may be in circulation.
  • avatarDec 25, 2021 · 3 years ago
    Calculating the fully diluted market cap for cryptocurrencies involves taking into account the total supply of the coin/token, including any locked or vested tokens that may become available in the future. This value is then multiplied by the current price of the coin/token to determine the fully diluted market cap. It's worth mentioning that the fully diluted market cap is a theoretical value and may not accurately represent the actual market value of the cryptocurrency.
  • avatarDec 25, 2021 · 3 years ago
    The fully diluted market cap for cryptocurrencies is calculated by multiplying the current price of the coin/token by the total supply of the coin/token, including any tokens that are locked or vested. This value represents the potential market value of the cryptocurrency if all coins/tokens were in circulation at the current price. However, it's important to consider that the fully diluted market cap may not reflect the actual market value, as it assumes all coins/tokens are available for trading.