RE: Brand New Gridcoin Resource - in the works!

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Brand New Gridcoin Resource - in the works!

in gridcoin •  7 years ago 

1 GRC currently has a value of about $0.16, so compared to Bitcoin it's practically worthless

That is not how a comparison like this works... The value of 1 Gridcoin, or 1 Bitcoin, is an arbitrarily sized piece of the coin's market cap. The latter is what matters, and all other coins fall short of matching that market cap at present.

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Oh okay, I don't quite understand the market cap yet.. Could you explain the basics by chance?

Imagine if Bitcoin decided that its base unit will no longer be a Bitcoin, but a Satoshi (one 100 millionth of a Bitcoin). The more valuable Bitcoin becomes, the more likely that the Satoshi will be the measure people use for value. Just because one Satoshi is worth USD$0.00015 while GRC is worth USD$0.16 doesn't mean that compared to GRC, sats are practically worthless (you just have more of them, each worth less individually).

The market cap is the total value of a coin - if you could sell all coins at current market price. For GRC that is around USD$61 million, while for BTC it is USD$259 billion. BTC has the highest market cap of all coins.

Thank you much for the explanation :D