Total Supply

The total supply of a cryptocurrency is the maximum number of coins or tokens that can ever exist for that particular cryptocurrency. This is an important metric for investors and traders because it can give an indication of the potential scarcity or abundance of a particular cryptocurrency.

Definition

The total supply of a cryptocurrency is the sum of all the coins or tokens that have been created for that particular cryptocurrency. This includes coins or tokens that are currently in circulation as well as those that have been mined or minted but are not yet in circulation.

How to Calculate Total Supply

To calculate the total supply of a cryptocurrency, you need to add up the number of coins or tokens that have been distributed or sold, the number of coins or tokens that have been mined, and the number of coins or tokens that are still in reserve.

For example, if a cryptocurrency has distributed 10 million coins or tokens, mined 5 million coins or tokens, and has 2 million coins or tokens still in reserve, then the total supply of that cryptocurrency would be 17 million coins or tokens.

Where to Find Information about Total Supply

The total supply of a cryptocurrency can usually be found on its website or on cryptocurrency market data websites such as Dexer.io, CoinMarketCap, or CoinGecko. These websites provide detailed information on the total supply of different cryptocurrencies as well as other important metrics such as market capitalization, trading volume, and price.

Examples

One example of a cryptocurrency with a fixed total supply is Bitcoin. The total supply of Bitcoin is capped at 21 million coins, of which approximately 18.6 million coins have already been mined as of March 2023. This means that there are only 2.4 million Bitcoins left to be mined, making it a scarce asset.

Another example is Ethereum, which has a maximum total supply of 115 million Ether. However, Ethereum is not a fixed supply cryptocurrency, and its total supply increases over time as new blocks are added to the blockchain through the mining process.

Conclusion

The total supply of a cryptocurrency is an important metric for investors and traders because it can give an indication of the potential scarcity or abundance of a particular cryptocurrency. Calculating the total supply involves adding up the number of coins or tokens that have been distributed or sold, mined, and are still in reserve. This information can usually be found on the cryptocurrency's website or on cryptocurrency market data websites. Examples of cryptocurrencies with different total supply models include Bitcoin, which has a fixed total supply, and Ethereum, which has an increasing total supply over time.