Скачать или смотреть Equation of Exchange and Conclusion

The Equation of Exchange is a core concept in crypto economics that links money supply and transaction activity:
MV = PQ

Where:
M = Money supply (total coins/tokens in circulation)
V = Velocity (how often they change hands)
P = Price level
Q = Quantity of goods and services

🔹 What It Means in Crypto
A coin’s value depends on both its supply and how actively it’s used in the network.
If usage (V) or demand (Q) grows faster than supply (M), the price (P) tends to rise.
If people hoard coins instead of spending them, velocity drops and the network may stagnate.

🔹 Conclusion
The equation shows that real-world adoption and usage are what sustain long-term value — not just speculation. A healthy crypto economy needs balanced supply, strong demand, and steady circulation.