New data from CoinMetrics indicates that 6 million Bitcoin Cash (BCH) have never been touched, which is approximately 33% of the entire Bitcoin Cash (BCH) supply, and is equivalent to roughly $1.55 billion.
This means that the Bitcoin Cash (BCH) circulating supply is 12.4 million rather than 18.4 million, and that the market cap is $3.19 billion instead of $4.74 billion. This gives Bitcoin Cash (BCH) a slightly larger market cap than Litecoin (LTC) which has a $3 billion market cap, and lowers the total crypto market cap by 0.75%.
Indeed, if each cryptocurrency was closely inspected to figure out which coins have never been touched and are not really circulating, then the total crypto market cap would probably be significantly lower than the CoinMarketCap estimate of $208 billion.
The reason that this is possible with Bitcoin Cash (BCH) is that it is a fork of Bitcoin (BTC), so all of the Bitcoin Cash (BCH) created during the fork on August 1 2017 were not mined. This is unlike Bitcoin (BTC) where every coin had to be mined at some point, and therefore every coin was touched.
On a final note, the people who hold the keys for this 6 million Bitcoin Cash (BCH) could one day have an epiphany that they own a ton of Bitcoin Cash (BCH) and proceed to dump it, which would destroy the Bitcoin Cash (BCH) market. Although this isn’t very likely, it is a possibility to think about.