[April 25, 2023]
The 'market cap' algorithm has been optimized based on user feedback and research conducted by the NFTGo team. The updated algorithm, as shown below, takes into account the factors including collection liquidity, number of holders, floor price, etc.
Updated Market Cap Algorithm
ERC721 collections: Market Cap = the sum of all NFT estimated value of the collection
ERC1155 collections: Market Cap = ∑(each NFT estimated value * the number of unique owners)
NFT estimated value:
- For high-liquidity collections: NFT estimated value = max(floor price, collection 7D median Price)
- For low-liquidity collections: NFT estimated value = floor price
- For collections whose volume is 0 in the last 7 days or with few holders: NFT estimated value = min(floor price, last price of this NFT item)
Suspected wash trades have been filtered out.
Updated 'market cap' algorithm will influence both collection market cap calculation and total market cap calculation.