Can you explain the difference between circulating supply and total supply in the context of cryptocurrencies? It seems like they are often mentioned in discussions about
market capitalization and price predictions, but I'm not entirely clear on how they differ. How do they impact the valuation of a particular cryptocurrency? And what factors influence changes in the circulating supply over time?
5 answers
KDramaLegendary
Wed Aug 21 2024
Maximum supply, on the other hand, is the upper limit of the total number of coins or tokens that can be created. Some cryptocurrencies have a fixed maximum supply, which creates a sense of scarcity and potentially drives up their value over time.
Chiara
Wed Aug 21 2024
Cryptocurrency supply is a fundamental aspect of the digital asset ecosystem. The total supply represents the complete number of coins or tokens that have been generated. This metric is crucial for understanding the potential market value and scarcity of a particular cryptocurrency.
CryptoLord
Wed Aug 21 2024
Unlike circulating supply, total supply takes into account coins or tokens that are not currently in circulation. These could be coins that are locked in smart contracts, reserved for future use, or held by the development team or founders.
CherryBlossomFall
Tue Aug 20 2024
BTCC, a leading cryptocurrency exchange, offers a wide range of services that cater to the diverse needs of traders and investors. Its offerings include spot trading, where users can buy and sell cryptocurrencies at current market prices.
GalaxyWhisper
Tue Aug 20 2024
Additionally, BTCC provides futures trading, allowing traders to speculate on the future price of cryptocurrencies. This service is popular among investors who are looking to hedge their risks or capitalize on market movements.