Generally speaking, when the maximum supply is reached, there will be fewer coins available on the market . This is expected to create market scarcity, which may eventually lead to deflation conditions (or 0% inflation rates).
Read moreIs circulating supply same as total supply?
Circulating Supply is the best approximation of the number of coins that are circulating in the market and in the general public’s hands. Total Supply is the total amount of coins in existence right now (minus any coins that have been verifiably burned).
Read moreWhat does circulating supply mean for crypto?
Circulating Supply is the total number of coins or tokens that are actively available for trade and are being used in the market and in general public . When a company creates a particular number of tokens, only a portion of it instead of the whole supply is made available for circulation.
Read moreDoes crypto total supply affect price?
Since the market prices of a cryptocurrency coin cannot be directly affected by the part of the supply that is locked or reserved , the calculation of market capitalization normally considers only the circulating supply instead of the total supply.
Read moreWhat happens to price when crypto reaches max supply?
Generally speaking, when the maximum supply is reached, there will be fewer coins available on the market . This is expected to create market scarcity, which may eventually lead to deflation conditions (or 0% inflation rates).
Read moreWhat happens when circulating supply is reached?
After reaching 21 million supply in circulation, Bitcoin will become more scarce and miners will be dependent on transaction fees, instead of block rewards . The miners will start earning more out of the transactions that happen on these blockchains than from the mining itself.
Read moreWhat happens when crypto circulating supply reaches max supply?
The maximum supply of a cryptocurrency refers to the maximum number of coins or tokens that will be ever created. This means that once the maximum supply is reached, there won’t be any new coins mined, minted or produced in any other way .
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