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GRIFF COIN

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CRYPTO EXPLAINED · EXPLAINER 11 OF 20

Why You Can’t Judge a Token by Its Price

A token costing £0.000001 is not automatically cheaper than one costing £100.

Concept explainer · about a 2-minute read

Unit price depends on how many units exist

If a project divides its value across one billion tokens, each unit will naturally have a lower price than if the same overall value were divided across one million tokens.

UNIT PRICE NEEDS SUPPLY CONTEXT
Token A£0.001 each
1,000,000,000 units
Token B£10 each
10,000 units

Think in percentages, not decimal places

Buying £100 of a token gives you £100 of exposure at that moment regardless of whether that means 0.5 tokens or 50 million tokens. A 10% move has the same proportional effect.

DECIMAL PLACES ARE VISUAL, NOT VALUE
A MOVE FROM £0.001 → £0.002 IS +100%

Supply makes comparisons meaningful

To compare scale, you need to know supply as well as unit price. This is one reason market cap exists, although market cap has its own limitations.

Lots of zeros are not upside

A very small unit price does not create more room to rise. Removing zeros requires enormous percentage increases, and the supply/liquidity structure determines what those increases would imply.

“CHEAP LOOKING” CAN MISLEAD
Many zerostiny unit price
→
Huge supply
→
Valuation may still be large

Cheap-looking tokens are a visual trick

A token at £0.000001 can feel “cheaper” than a token at £10, but the unit price tells us almost nothing without supply. If the first project has one trillion tokens and the second has only one thousand, the low-priced token can represent the much larger overall valuation. Changing the number of units is a bit like cutting the same pizza into more slices: each slice is smaller, but you have not magically created more pizza.

What I compare instead

When I want context, I put unit price beside circulating supply, market cap and liquidity. For a small DEX token I also care about holder concentration and pool depth. None of those numbers gives a verdict on its own, but together they stop the number of zeros after the decimal point from doing the thinking for me. “It is only fractions of a penny” is not an investment case; it is just a description of the unit size.

WHAT I LEARNED BUILDING GRIFF COIN

GRIFF has a one-billion-token supply. That choice naturally produces a very different unit price from an otherwise identical token with a one-million-token supply.

The useful takeaway

GRIFF’S QUICK CHECK
Separate the number you can see from the mechanism that produced it. In crypto, price, market cap, liquidity, supply and on-chain activity each describe a different part of the system. One number rarely tells the whole story.
WATCH OUT
This is education, not a reason to buy or sell a cryptoasset. Understanding how a mechanism works can help you interpret information, but it cannot predict price, guarantee liquidity or remove smart-contract, platform or scam risk.