Why is FDV considered an important factor in evaluating cryptocurrency performance?

3 answers

• Dec 28, 2021 · 3 years ago
  FDV, or Fully Diluted Valuation, is an important factor in evaluating the performance of cryptocurrencies. It takes into account not only the current market capitalization of a cryptocurrency, but also the potential future supply. This is crucial because it helps investors understand the true value of a cryptocurrency and its growth potential. By considering the fully diluted valuation, investors can make more informed decisions about whether to invest in a particular cryptocurrency or not.
  495248
• Dec 28, 2021 · 3 years ago
  When evaluating the performance of cryptocurrencies, FDV plays a crucial role. It provides a more comprehensive view of a cryptocurrency's value by considering its potential future supply. This is important because it helps investors gauge the growth potential and long-term sustainability of a cryptocurrency. By factoring in FDV, investors can better assess the investment opportunities and risks associated with different cryptocurrencies.
  442148
• Dec 28, 2021 · 3 years ago
  FDV, also known as Fully Diluted Valuation, is an essential metric in evaluating the performance of cryptocurrencies. It takes into account the maximum potential supply of a cryptocurrency, including both circulating supply and any additional supply that may be unlocked in the future. This is important because it provides a more accurate representation of a cryptocurrency's market value and potential market cap. By considering FDV, investors can gain a better understanding of a cryptocurrency's true worth and make more informed investment decisions.
  555139