CoinMarketCap misplaced Polkadot and Binance Coin?
The ranking of the Polkadot (DOT) cryptocurrency on CoinMarketCap differs from that of other platforms.
But not only that, yesterday there was also a problem on CoinmarketCap as Polkadot appeared in sixth position and Binance Coin in fifth position but the market cap said the opposite.
This is not the first time CoinMarketCap has made such a mistake since it was acquired by Binance.
Polkadot and the market cap
In addition to this, the ranking of cryptocurrencies by market capitalisation on different platforms shows different results.
The problem is related to a different circulating supply, i.e. the total number of tokens issued and distributed.
The supply of Polkadot on CoinMarketCap
Taking CoinMarketCap as an example, Polkadot‘s circulating supply would be around 852 million DOT.
Multiplying these by the price of DOT, about $5.2, results in a market capitalization of about $4.4 billion.
On CoinGecko, the market capitalization turns out to be 4.7 billion dollars, although the price is always around 5.2$. The fact is that for CoinGecko the circulating supply is much higher, at around 913 million DOT.
Even the total supply differs: 987 million on CoinMarketCap and 994 million on CoinGecko.
On CoinPaprika, for example, the same supply used by CoinMarketCap is used as circulating supply, resulting in a market capitalization of about $4.4 billion. In addition, the total supply also matches that of CMC.
On Messari the total supply is 989 million DOT, with a market capitalization of $5.2 billion.
Unfortunately on the official explorer, polkascan.io, there are no indications of supply, so it is difficult to say who is right. The fact is that Polkadot’s position in the ranking of major cryptocurrencies by market capitalisation changes from platform to platform.
Furthermore, CMC, in addition to the circulating supply and the total supply, also reports another figure that is difficult to interpret, the so-called “Reported Circulating Supply”, amounting to about 904 million DOT.
In other words, there is still a lot of confusion about what is the real circulating supply of Polkadot, and consequently also about the most correct calculation of its market capitalization.
This problem does not only concern Polkadot.
Divergences on CoinMarketCap, CoinGecko and CoinPaprika
For example, on CMC Polkadot is currently in fourth position, with Binance Coin fifth, Bitcoin Cash sixth, and Chainlink seventh, while on CoinGecko in sixth place there is Chainlink with Binance Coin in seventh.
On CoinPaprika instead in fifth place there is Binance Coin, followed by Chainlink, Polkadot and Bitcoin Cash.
In other words, the ranking changes according to the platform on which it is displayed due to a different calculation of market capitalization resulting from different data concerning the circulating supply.