Low float and high FDV explained in three sentences:
A report by Binance Research suggests that a low circulating supply combined with a high FDV may create excessive selling pressure in the future, which may not be favorable to retail investors.
High prices shortly after launch are often linked to a small number of tokens in circulation, and may not reflect the valuation once all tokens are circulating.
When looking at new tokens, first calculate the ratio of circulating market cap to FDV, then check the unlock schedule for the coming year.
$BNB 748.56 (+0.55%)
#BNB
The above is a compilation of publicly available information. Please verify it yourself.
A report by Binance Research suggests that a low circulating supply combined with a high FDV may create excessive selling pressure in the future, which may not be favorable to retail investors.
High prices shortly after launch are often linked to a small number of tokens in circulation, and may not reflect the valuation once all tokens are circulating.
When looking at new tokens, first calculate the ratio of circulating market cap to FDV, then check the unlock schedule for the coming year.
$BNB 748.56 (+0.55%)
#BNB
The above is a compilation of publicly available information. Please verify it yourself.