Total supply is the total amount of a cryptocurrency that already exists or has been mined. Total supply is not the same as circulating supply, which is the amount of cryptocurrency that is already in circulation and can be used.
Why is Total Supply Important to Know?
Total supply can provide important information about the characteristics and value of a cryptocurrency, such as:
Scarcity
Total supply can show how rare or abundant a cryptocurrency is available. Cryptocurrencies that have a low or limited total supply tend to be rarer and more in demand than those that have a high or unlimited total supply.
For example, Bitcoin has a total supply limited to only 21 million coins, while Dogecoin has no total supply limit.
Distribution
Total supply can show how fairly or not a cryptocurrency is distributed to its holders. Cryptocurrencies that have a large total supply may be partly or wholly owned by a small group of people or organizations, which can influence their price and liquidity.
For example, Ripple has a total supply of around 100 billion XRP, but around 60% of the total supply is owned by the Ripple company itself.
Potency
Total supply can show how big or small the potential growth or decline of a cryptocurrency is. Cryptocurrencies that have a total supply that is close to the max supply or circulating supply tend to have smaller growth potential than those that have a total supply that is far from the max supply or circulating supply.
For example, Ethereum has a total supply of around 116 million ETH, but does not have a definite max supply, so it still has large growth potential.
How to Find Out the Total Supply of a Cryptocurrency?
The total supply of a cryptocurrency can be determined in several ways, such as:
Visit the official website of the cryptocurrency
The official website of a cryptocurrency usually provides information about the total supply, max supply, and circulating supply of the cryptocurrency, as well as how to calculate or verify these numbers. For example, the official Bitcoin website provides information about the number of Bitcoins mined and remaining, as well as the algorithm that governs the Bitcoin mining process.
Visit a cryptocurrency data or analysis platform
Cryptocurrency data or analysis platforms such as CoinMarketCap or CoinGecko provides information about total supply, max supply, and circulating supply of various cryptocurrencies, as well as other data such as price, volume, market capitalization, and ranking.
For example, CoinMarketCap provides information about the total supply, max supply, and circulating supply of more than 10,000 cryptocurrencies on the market.
Using special applications or software
Special applications or software such as wallets, miners, or cryptocurrency explorers can be used to find out the total supply, max supply, and circulating supply of certain cryptocurrencies, as well as transactions and activities that occur on the cryptocurrency network.
For example, Etherscan is an Ethereum explorer that can be used to view the total supply, max supply, and circulating supply of Ethereum, as well as transactions and smart contracts that occur on the Ethereum network.
Conclusion
Total supply is the total amount of a cryptocurrency that already exists or has been mined. Total supply can provide important information about the characteristics and value of a cryptocurrency, such as scarcity, shareability, and potential.
The total supply can be found by visiting the official website of the cryptocurrency, visiting a cryptocurrency data or analysis platform, or using a special application or software.
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DISCLAIMER: This article is informational in nature and is not an offer or invitation to sell or buy any crypto assets. Trading crypto assets is a high-risk activity. Crypto asset prices are volatile, where prices can change significantly from time to time and Bittime is not responsible for changes in fluctuations in crypto asset exchange rates.
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