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Market cap is frequently a less-than-useful metric, but for a "currency" like Bitcoin, it means almost nothing. We have no idea, really, how much is circulating
by hawkice 9y ago
Market cap is frequently a less-than-useful metric, but for a "currency" like Bitcoin, it means almost nothing. We have no idea, really, how much is circulating, how much is permanently lost, and there's no transaction where the market cap really plays a part.
- rothbardrand 9y agoWell, you can calculate exactly how much is circulating on the blockchain, though off chain places like exchanges and the like represent even more volume. Curious why this statement of fact is being downvoted.
- billmalarky 9y agoThe value of bitcoin seems to trend more and more towards being a digital wealth store over a currency. In that case BTC "market cap" is a somewhat useful indicator of how much wealth is stored. It's rough but market caps in general are, especially early stage companies.