According to a recent CoinGecko report, low-circulation cryptocurrencies account for 21.3% of the top 300 cryptocurrencies by market capitalization. This means that 1 in 5 large-cap crypto assets have a significant portion of their token supply still locked, resulting in a market capitalization to fully diluted valuation (FDV) ratio below 0.5.
Top 4 Cryptocurrencies with the Lowest Circulating Supply
Among large-cap cryptocurrencies, the four lowest-circulation assets are:
- Worldcoin (WLD) – Market cap to FDV ratio: 0.02
- Cheelee (CHEEL) – Market cap to FDV ratio: 0.06
- Starknet (STRK) – Market cap to FDV ratio: 0.07
- Saga (SAGA) – Market cap to FDV ratio: 0.09
All four of these projects were launched in 2023 or 2024, indicating a trend among newer crypto assets to maintain tight control over token unlocks.
Why Low Circulation Matters
A low circulating supply can lead to higher price volatility, as fewer tokens are available for trading. Additionally, major unlocks can dilute token value over time if demand doesn’t keep pace with supply increases.
👉 Discover how to navigate crypto investments wisely
FAQs
Q: What does a low market cap to FDV ratio indicate?
A: It suggests that most of the token supply is still locked, meaning future unlocks could significantly impact price.
Q: Are low-circulation cryptocurrencies riskier?
A: Yes, since their prices may be more susceptible to volatility from supply shocks once locked tokens enter the market.
Q: How can investors mitigate risks with such assets?
A: Research token unlock schedules and assess whether project fundamentals justify potential dilution effects.
👉 Explore top exchanges for secure crypto trading
Understanding market dynamics like circulating supply helps investors make informed decisions in an ever-evolving crypto landscape. Stay updated on FDV trends and liquidity conditions to optimize your portfolio strategy.