Cryptocurrency capitalization or what is the price of virtual money?

08.04.2017
Posted by: Ganesa

Cryptocurrency capitalization

Few people know what “cryptocurrency capitalization” is, and in fact, cryptographs rightly consider the future currency and knowing what their price depends on is the duty of every inhabitant of the planet who considers himself financially literate. The realities of modern life are such that to be successful in a world that is constantly changing and acquiring innovations, you can only keep up with all these innovations.

And although the cryptocurrency is no longer a wonder, and many people have long known about it and successfully earned it, there are still many gaps in knowledge about cryptographic signs. In this article I will cover the issue of cryptocurrency capitalization, I will tell you in detail what it is and what the price of cryptocurrency depends on.

Capitalization is

The concept of capitalization is often misunderstood due to the low financial literacy of the majority of the population, although the concept is not new. What is the only thing they do not attribute this concept to and, often, it simply loses its deep meaning.

Capitalization is the market value of the assets (most often referring to company shares) in circulation. In order to know the capitalization, you need to multiply the number of all available shares by the price of one.

Let me explain this concept with a simple example. There is a company that issues shares in the number of 100 pieces, and one such share of the company has a value of 100 000 rubles. In order to find out how much the whole company costs by the standards of the exchange, the shares of which are represented in the shares, it is necessary to multiply the number of these shares by the cost per piece. Thus, the price of our company, and hence the capitalization, is 10 million rubles. It was in such an experimental way that we established what capitalization is and why it depends directly.

Cryptocurrency capitalization

If we talk about cryptocurrency, then each of its varieties has its own capitalization (for example, onecoin capitalization). At the same time, do not confuse capitalization with the exchange rate - these are different concepts, although interrelated with each other - the higher the exchange rate becomes, the higher the market capitalization rises. But with cryptocurrency is not so simple as with the shares of the company, which was presented above. If the number of shares is amenable to accounting and accounting, then with cryptocurrency the situation is somewhat different and it follows from the very peculiarities of virtual money. First of all, it is important to note that, in general, the issue of cryptocurrency capitalization is rather controversial - many financiers and researchers in this field refer to the fact that it is simply impossible to establish the exact amount of the market value of any of the cryptocurrencies. It is based on the fact that many cryptographic signs have long been lost and it is not possible to determine how many such ones are and where they are. For example, the creator (or creators) of Bitcoin Satoshi Nakamotu went missing, “taking” 1 million cuts with him. There are also numerous cases where, at the dawn of cryptocurrency, virtual money disappeared along with lost passwords, burned hard drives that were stored on, etc. Today, when humanity has comprehended the value of virtual money (many make Bitcoin investment), they are just not lost, but still, some cases of missing cryptographs are taking place.

Methods and mechanisms

Capitalization methods

So, the capitalization of a cryptocurrency depends on its total quantity and the cost per unit. The mechanism for calculating the market value of any of the cryptocurrencies is quite underdeveloped, because, according to many experts, the amount that is called today is very far from the real situation. This is due to the very specifics of the cryptographs, whose number is constantly increasing (for example, the reason why Bitcoin cloud mining and mining of other altcoins). These are not company stocks that were issued once and are rising or falling in price, because both Bitcoin and altcoins continue to be generated. Do not forget that to know the exact number even of those bitcoins is simply impossible.

It is known how many cryptographs were generated, but to establish that they really exist at a given time is an unrealistic task. Nevertheless, few people listen to the experts, and in the wake of the hype around Bitcoin, everyone continues to calculate its market value. At the same time, everyone continues to turn a blind eye to the fact that Bitcoin or another currency is a banknote, albeit a virtual one, and it is not advisable to equate it with company shares - is it possible to pay for a company share in a cafe or a store? Anyway, according to preliminary estimates, from 1,5 to 4 million bitcoins are lost forever, because if the data from the hard disk is lost, then restore access to the wallets, and therefore the currency, is not possible. As for me, this is quite an impressive amount in order to calculate the market value of the cue ball as incorrect. Thus, the concept of “cryptocurrency capitalization” is quite relative, and many are skeptical about whether it is possible to apply this formulation to cryptographic signs at all.

Cryptocurrency market

Nevertheless, a cryptocurrency market exists, and an investor who wants to invest in this direction, it is simply necessary to keep records of the total value of one or another cryptocurrency. Why do you ask, because it seems to be enough to know the course of the currency? In fact, capitalization shows an important parameter, which gives an idea of ​​which currency is worth mining or which one to keep your savings. Despite the limited emission, the market value of cryptocurrency is a priori programmed for continuous economic development. Since the number of signs of a currency is constantly increasing, and the exchange rate is growing depending on the need, capitalization cannot remain unchanged or go down. The most popular, and therefore expensive in every sense, currency is Bitcoin - it is he who has the largest market capitalization (and there is no kriptovalyuta monero or others can not compare with this crypto giant). Moreover, this cryptocurrency even breaks market value records - at the beginning of 2017, the amount reached 15 billion US dollars. At the same time, I note that Bitcoin is the most volatile, and its course is constantly jumping in different directions - of course, and capitalization will change its performance.

Cryptocurrencies and market capitalization

The cryptocurrency market is very unstable and various exchanges show different pricing policies in relation to it. Since cryptocurrencies have high volatility, indicators on one exchange may be less than another, and even at different times of the day, you can get different indicators when calculating capitalization. However, it cannot be denied that the cryptocurrency market exists - it exists and even develops very actively - it’s not for nothing that they consider cryptocurrency to be the currency of the future. After the general interest of cryptocurrency and the inflow of real money into its market, the scale of this very market began to increase significantly. Many even little-known cryptocurrencies can boast that their capitalization has reached not only millions, but also billions, and this contributes to an even greater increase in demand for virtual currency units.

# Logo Name Symbol Algorithm USD price Market capitalization
1 Bitcoin Bitcoin BTC SHA-256 8058.64 145078000000.00
2 Ethereum Ethereum ETH Dagger-Hashimoto 174.02 18833200000.00
3 XRP XRP XRP ECDSA 0.294189 12721500000.00
4 Tether Tether USDT 1.00232 4117580000.00
5 Bitcoin Cash Bitcoin Cash BCH SHA-256 778.107 13262100000.00
6 Litecoin Litecoin LTC Scrypt 54.3263 3450080000.00
7 EOS EOS EOS 6.01433 4560090000.00
8 Cardano Cardano ADA SHA-256 0.149199 3868290000.00
9 NEO NEO NEO 53.3117 3465260000.00
10 Stellar Stellar XLM Transaction fee 0.0634983 1272180000.00
11 TRON TRON TRX 0.0489173 3216220000.00
12 IOTA IOTA DAG 2.5058 6964950000.00
13 IOTA MIOTA 1.10877 3081860000.00
14 Monero Monero XMR CPU mining, CryptoNight 56.4133 974132000.00
15 Dash Dash DASH X11 68.8387 626786000.00
16 Qtum Qtum Qtum 14.6548 1296710000.00
17 Binance Coin Binance Coin BNB Transaction fee 10.9314 1082360000.00
18 ICON ICON ICX 2.56023 990918000.00
19 OmiseGO OmiseGO OMG SHA-256 8.98254 916601000.00
20 Iconomi Iconomi ICN 3.65822 361909000.00
21 Ethereum Classic Ethereum Classic ETC Dagger-Hashimoto 4.4714 511601000.00
22 Bitcoin Gold Bitcoin Gold BTG 48.8089 825353000.00
23 NEM NEM XEM Blockchain 0.0401354 361218000.00
24 Dogecoin Dogecoin DOGE Scrypt 0.00271133 329977000.00
25 Populous Populous PPT Scrypt 13.5363 500898000.00
26 Zcash Zcash ZEC Equihash 36.4271 279415000.00
27 Status Status SNT Transaction fee 0.0866719 300793000.00
28 Decred Decred DCR Blake256 14.3859 151848000.00
29 Veritaseum Veritaseum VERI Scrypt 131.985 268807000.00
30 Ethos Ethos Bqx 1.87809 139967000.00
31 DigiByte DigiByte DGB SHA256, Scrypt, Qubit, Skein, Groestl 0.00750784 93077200.00
32 Lisk Lisk LSK sidechain 0.763971 92482200.00
33 Augur Augur REP Smart contract 8.13917 89530800.00
34 Siacoin Siacoin SC Blake2b 0.00205795 86057400.00
35 Namecoin Namecoin NMC 5.87968 86645400.00
36 Waves Waves WAVES Transaction fee 0.805181 80518100.00
37 Gas Gas GAS Scrypt 16.8641 168446000.00
38 BitBay BAY 0.0788776 79835700.00
39 Funfair Funfair FUN Scrypt 0.0340629 156862000.00
40 MonaCoin MONA 1.08831 71534400.00
41 BitShares BitShares BTS Transaction fee 0.0260434 71523900.00
42 Bytecoin Bytecoin BCN CPU mining, CryptoNight 0.000360403 66338100.00
43 Komodo Komodo KMD Equilhash 0.554883 64626100.00
44 MaidSafeCoin MaidSafeCoin MAID Transaction fee 0.128091 57968100.00
45 clams clams CLAM 20.0729 72426400.00
46 Syscoin Syscoin SYS Scrypt 0.0992332 54846400.00
47 TokenCard TokenCard TKN 2.30486 54496200.00
48 Bitcoindark Bitcoindark BTCD SHA-256 44.9151 57889300.00
49 Burning Burning ARDR Scrypt 0.0508721 50821200.00
50 Counterparty Counterparty XCP Transaction fee 32.925 86180000.00

Subscribe and always keep up to date with the latest news:
Add your comment
Comments (32) (Comments)
Taahak (19.03.2018 to 13: 17)
RE: Cryptocurrency capitalization beats imaginable and unimaginable records And on average, 1000 times the capitalization of Forex)
Christian (17.03.2018 to 19: 39)
Cryptocurrency capitalization beats imaginable and unimaginable records
GREGORY (01.03.2018 to 14: 05)
After the recent events with the collapse of some cryptocurrency, to invest in it for a long time, the hunt has disappeared. I work extremely quickly, on the principle of bought - sold, so less risk.
Artyom (28.09.2018 to 18: 05)
GREGORY, and by what method do you work?
Oksana (24.01.2018 to 18: 21)

I do not understand anything about capitalization, what it is and where it comes from)

Alika (19.01.2018 to 06: 15)
Yes, the course is rather unstable, and the exchanges use it, she noticed it more than once! But Bitcoin is already a well-known and widespread unit, in contrast to various newfangled (or simply advertised) cryptocurrencies, so I continue to monitor it.
Pirat (10.01.2018 to 00: 10)
Shares can be lost too. In consequence of the death of the owner without heirs. But they are still taken into account capitalization. And Ripple cannot be minted, which gives an understanding of the number of coins. That is, it is possible to count the cryptocurrency capitalization.
Ganesa (03.01.2018 to 17: 20)
Pavel Boytsov, I personally invest in Yota and Ripple. After January 9, my crypto portfolio will be published on the blog.
Pavel Boytsov (03.01.2018 to 14: 08)
What cryptocurrencies will show growth by the end of 2018 of the year? What to invest in?
Basil (28.12.2017 to 08: 49)
It is quite difficult to track the trend of growth or decline in the value of any cryptocurrency, it sometimes happens suddenly, for this reason I don’t associate with any cryptocurrency for a long time, I just buy and sell, so at least I can earn.
MIE63 (27.12.2017 to 12: 11)

Records beats on all fronts capitalization of coins

All Namaste!
About me:

I am the author and the ideological mastermind of the GQ Blog Monitor, one of the TOP articles on money and economy came out of my pen. I work with more 10 investment tools and teach people to become rich and free.

Latest benches