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Market Cap · market capitalization

The total value of a cryptocurrency, calculated as its unit price multiplied by its total circulating supply.

Market cap is calculated by multiplying an asset's current unit price by the total number of tokens in circulation, and it's a better yardstick than price alone for comparing the real size of different projects.

Two assets can have completely different unit prices but a similar market cap; for this reason, making decisions based on price alone, without considering market cap, can be misleading.

To see other terms and learn more about the market, head back to the glossary.

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