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Looks like if you multiply [Total Coins] by 0.00000005 you get [5 million dollar equivalent], which, multiplied by [Market Price] gives you [5 million dollar eq
by spaceten 9y ago
Looks like if you multiply [Total Coins] by 0.00000005 you get [5 million dollar equivalent], which, multiplied by [Market Price] gives you [5 million dollar equivalent in USD].
Seems to be that one advantage here is that, whereas Market Cap depends on the number of coins in circulation, this innovative analysis provides a manageable number to use in comparing currencies regardless of what percentage of each coin is in circulation.
For expample, if 100% of a given coin is in circulation, then you get the same result as above by multiplying [Market Cap] by 0.00000005. On the other hand, if the percentage of a coin in circulation is less than 100%, the results are different.
I'm not sure why it's called $5M equivalent.
Thanks to the OP for sharing.
- coralreef 9y agoNot sure I understand how the 5 million dollar factor was n calculated. Author links to the CIA Factbook that shows world money supply in USD. Either way I think they left out at least 1 decimal place if they're calculating against USD in circulation ($1+ trillion). So should be 0.000000005.