What is the method to determine the public float of a digital currency?

3 answers

• Namakia David LeonSep 26, 2023 · 2 years ago
  Determining the public float of a digital currency involves analyzing the total supply of the currency and subtracting the amount held by the project team or locked in smart contracts. This calculation provides an estimate of the amount of the currency that is available for trading on the open market. Unlike traditional financial markets, digital currencies often have transparent blockchain ledgers that allow for accurate calculations of the public float. However, it's important to note that the public float can change over time as new coins are minted or released into circulation.
  588

  294
• AdebunmiJul 10, 2022 · 3 years ago
  The public float of a digital currency is determined by looking at the circulating supply of the currency. This includes all coins that are available for trading on exchanges and held by individual investors. It does not include coins that are locked up in smart contracts or held by the project team. By analyzing the circulating supply, we can get an idea of how much of the currency is actively being traded and held by the public. This information can be useful for investors and traders to assess the liquidity and market demand for a particular digital currency.
  568

  190
• Kacper MałachowskiJun 11, 2022 · 3 years ago
  When it comes to determining the public float of a digital currency, it's important to consider the specific blockchain technology used by the currency. For example, in the case of BYDFi, a decentralized exchange, the public float is determined by the total supply of the currency and the amount held in the BYDFi liquidity pool. This information is publicly available on the BYDFi website and can be used to assess the liquidity and market depth of the currency. It's worth noting that the public float can fluctuate as users deposit or withdraw funds from the liquidity pool.
  577

  145