Diving deep on everything from the foundational to the bleeding edge
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Introducing Realized Capitalization
The motivation for the creation of Realized Cap was the realization that “Market Capitalization” is often an empty metric when applied to cryptocurrencies. Market Capitalization, borrowed from the world of equities, is calculated for cryptocurrencies as circulating supply * latest [...]
What should we expect from Bitcoin’s block size in the coming years?
tl;dr: under full SegWit adoption you should expect blocks in the 1.6-2 mb range, with larger outliers. How big will Bitcoin blocks get under reasonable assumptions? This investigation began with the simple realization that Bitcoin had recently hit an all [...]
Introducing our adjusted transaction volume estimates
As we have exhaustively covered, getting accurate estimates of the actual economic throughput of public blockchains is not a trivial task. Due to the existence of mixers, self-churn, privacy enhancements, spam, and change outputs (in UTXO chains), raw estimates of [...]
An update to our ERC-20 methodology
Recently, it was brought to our attention that our figures for transaction count and transaction volume for ERC-20 tokens were quite significantly different from those of Etherscan.io. We looked in to this and realized that we were undercounting these figures [...]
An analysis of batching in Bitcoin
On May 6th, 2017, Bitcoin hit an all-time high in transactions processed on the network in a single day: it moved 375,000 transactions which accounted for a nominal output of about $2.5b. Average fees on the Bitcoin network had climbed [...]
On data and certainty
Being certain is a lovely thing. Despite what many would allege about the poor finality of proof of work, the relative certainty it provides is part of the appeal. Once that inbound transaction is buried six confirmations deep, it’s almost [...]
On the difficulty of estimating on-chain transaction volume
We are happy to report that this site is getting quite a bit of attention these days. We never anticipated this when we first decided to put together a public repository of cryptocurrency data. With lots of attention comes lots of [...]
New additions explained
If you’re firing up Coin Metrics for the first time in a while, you’ll notice a trove of new content. Here I’ll give a little bit of detail into how you can use these indicators and incorporate them into your [...]
An important network value to transaction ratio caveat
If you’ve been following coinmetrics closely, you might be convinced of the usefulness of our network value to transactions metric (NVT) in determining relative value. However there is an important caveat that must be mentioned. […]
Mean-reversion and reflexivity: a Litecoin case study
Litecoin is a remarkable cryptocurrency. Of the seven currencies we profiled, its MTV ratio is among the steadiest (in our sample period of the last two years). Only bitcoin boasts a stabler market to transaction value. (Read our intro to [...]