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Market capitalization is a metric that determines the true worth of a cryptocurrency. The main three categories of market cap are small-cap, <a href=https://www.bitdegree.org/"/crypto/learn/crypto-terms/what-is-mid-cap/">mid-cap, and <a href=https://www.bitdegree.org/"/crypto/learn/crypto-terms/what-is-large-cap/">large-cap. All crypto assets on price tracking platforms fall under one of the three categories.</p>\n<p>Market cap is used to determine the dominance and popularity of a cryptocurrency. It can be calculated by multiplying the total number of <a href=https://www.bitdegree.org/"/crypto/learn/crypto-terms/what-is-token/">tokens by their price. Circulating cap, a metric that reveals the difference between the total number of tokens currently in circulation and their overall <a href=https://www.bitdegree.org/"/crypto/learn/crypto-terms/what-is-max-supply/">max supply</strong></a>, can also be used.</p>\n<p>The categorization by market cap means that crypto assets are grouped according to their risk factor and popularity. Some of the underlying factors of a market cap are the strength of the crypto project, its fundamental values, <a href=https://www.bitdegree.org/"/crypto/learn/crypto-terms/what-is-volatility/">volatility, <a href=https://www.bitdegree.org/"/crypto/learn/crypto-terms/what-is-liquidity/">liquidity, and responsiveness to market trends.</p>\n<p>Mid-cap crypto assets have a market capitalization ranging between $1 billion and $10 billion. Such projects are perceived as well-established and are expected to expand in the new future. Tezos (XTZ), Monero (XMR), and VeChain (VET)&nbsp;are some of the most popular mid-cap crypto assets at the time of writing.</p>\n<p>Although the market capitalization of mid-cap crypto assets is smaller than that of large-cap cryptocurrencies, their <strong>growth potential is greater</strong> as they are seen to be continuously increasing their market and use cases.</p>\n<p>Mid-cap crypto assets can be perceived as risky due to their potential to depreciate. Their value can fluctuate due to the lack of establishment compared to large-cap crypto assets.</p>\n<p>Mid-cap cryptocurrencies can be used to diversify a crypto portfolio as they tend to perform well over time. However, this is not a guarantee of all mid-cap crypto assets, so further research into individual coins is highly recommended.</p>\n<p>Although there have been many notable examples of mid-cap crypto assets growing significantly, it&rsquo;s not unlikely for them to disappear from the market due to depreciation.</p>\n<p>Aside from market capitalization, some other criteria are used to determine the popularity and dominance of a crypto asset. More subjective factors, such as the team involved in the project, its fundamentals, technical aspects, and value proposition can also play an important role in determining the popularity of a coin.</p>","level":"medium","meta_title":"What is Mid-Cap? Definition & Meaning | Crypto Wiki","meta_description":"Mid-Cap meaning: Mid-Cap - a metric used to determine the market value of cryptocurrencies with a market capitalization ranging between $1 billion and $10 billion.","meta_keywords":null,"language":"en","created_at":"2022-03-23T07:08:51.000000Z","updated_at":"2022-05-13T14:32:23.000000Z","preview_url":"https://www.bitdegree.org/crypto/learn/crypto-terms/what-is-mid-cap"},"prevSection":{"id":513,"original_id":null,"author_id":41,"translator_id":null,"title":"What is MicroBitcoin (uBTC)?","slug":"what-is-microbitcoin-ubtc","section":"M","keyword":"MicroBitcoin (uBTC)","status":"published","definition":"one millionth (0.000001) of a Bitcoin.","content":"<p><strong>MicroBitcoin (uBTC)</strong> is a unit accounting for one millionth, or 0.000001, of a <strong><a href=https://www.bitdegree.org/"https://www.bitdegree.org/crypto/buy-bitcoin-btc/">Bitcoin. Not to be confused with the MicroBitcoin (MBC) fork.</p>","level":"easy","meta_title":"What is MicroBitcoin (uBTC)? Definition & Meaning | Crypto Wiki","meta_description":"MicroBitcoin (uBTC) meaning: MicroBitcoin (uBTC) - one millionth (0.000001) of a Bitcoin.","meta_keywords":null,"language":"en","created_at":"2022-03-23T06:52:08.000000Z","updated_at":"2022-05-13T14:32:23.000000Z","preview_url":"https://www.bitdegree.org/crypto/learn/crypto-terms/what-is-microbitcoin-ubtc"},"currentChapter":"M","currentSection":"what-is-microtransaction","chapterTitle":"M","readingLevel":"easy"},"url":"/crypto/learn/crypto-terms/what-is-microtransaction","version":"cdd198d50cbe5c9c21c9329d7c096ffc"}" class="container-fluid d-flex crypto-book p-0">
Crypto Terms: Letter M

What is Microtransaction?

Microtransaction MEANING:
Microtransaction - a business model of making payments in very small sums for goods and services.
Easy
1 minute

Let's find out Microtransaction meaning, definition in crypto, what is Microtransaction, and all other detailed facts.

A microtransaction is a business model used to make very small payments for digital goods and services. Microtransactions are commonly used in digital games to buy small items such as skins or boosters. Some platforms accept cryptocurrencies as a valid method of payment. Bitcoin (BTC) holders can use Satoshis to cover very small payments.