Market Cap (Market Capitalization)
The total value of a cryptocurrency, calculated by multiplying the price per token by the circulating supply.
For stablecoins pegged to $1, market cap and circulating supply are essentially the same number. If there are 75 billion USDC in circulation at $1 each, the market cap is $75 billion.
Market cap is useful for comparing stablecoins. USDT (Tether) has the largest stablecoin market cap, followed by USDC. A higher market cap generally means more liquidity and wider adoption.
For non-stablecoin crypto assets, market cap fluctuates with price. Bitcoin's market cap changes every second as its price moves. For stablecoins, market cap mainly changes through minting and redemption.
Related Terms
Circulating Supply
The total number of tokens currently in circulation and available on the market.
Stablecoin
A cryptocurrency designed to maintain a stable value, usually pegged 1:1 to a fiat currency like the U.S. dollar.
Liquidity
How easily an asset can be bought or sold without significantly affecting its price.
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This definition is provided for educational purposes. USDC.org is an independent resource and is not affiliated with Circle Internet Financial.