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    WHY IS THE CIRCULATING SUPPLY USED IN DETERMINING THE MARKET CAPITALIZATION INSTEAD OF TOTAL SUPPLY?

    BTCNEXT Exchange
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      Platinum Team last edited by

      We've found that Circulating Supply is a much better metric for determining the market capitalization. Coins that are locked, reserved, or not able to be sold on the public market are coins that can't affect the price and thus should not be allowed to affect the market capitalization as well. The method of using the Circulating Supply is analogous to the method of using public float for determining the market capitalization of companies in traditional investing.

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