The Smith + Crown cryptofinancial valuation series seeks to provide readers with the resources necessary to evaluate prominent cryptofinancial valuation techniques. This second installment examines the Quantity Theory of Money, easily the most widely referenced crypto valuation tool, known also as the ‘Equation of Exchange’ or MV=PQ. Readers will find the formula’s premises straightfowardly explained, in a manner that illuminates the unique challenges and limitations in applying the theory to cryptoeconomic systems. Readers can also expect to learn the rich history of the theory’s interpretation and place in policy discussions, as well as the most current thinking on quantifying key variables.
- Overview historical and emerging valuation techniques
- Equip readers with the resources necessary to evaluate prominent cryptofinancial valuation techniques
- Highlight the latest developments in cryptofinancial valuation