Valuation multiples
Financial metrics used to assess the relative valuation of a protocol
P/F ratio (fully diluted)
What is this metric: Valuation multiple, based on the fees paid by end users.
How it is calculated: Fully diluted market capitalization / annualized fees. The annualized fees are calculated based on the past 30d sum.
Why do we show it: Shows how many years it would take for the fees to "repay" the fully diluted valuation.
Example:
Stargate dashboard: https://tokenterminal.com/terminal/projects/stargate
P/F ratio (circulating)
What is this metric: Valuation multiple, based on the fees paid by end users.
How it is calculated: Circulating market capitalization / annualized fees. The annualized fees are calculated based on the past 30d sum.
Why do we show it: Shows how many years it would take for the fees to "repay" the circulating valuation.
Example:
Ethereum Name Service dashboard: https://tokenterminal.com/terminal/projects/ethereum-name-service
P/S ratio (fully diluted)
What is this metric: Valuation multiple, based on the revenue earned by the protocol.
How it is calculated: Fully diluted market capitalization / annualized revenue. The annualized revenue is calculated based on the past 30d sum.
Why do we show it: Shows how many years it would take for the revenue to "repay" the fully diluted valuation.
Example:
Hop Protocol dashboard: https://tokenterminal.com/terminal/projects/hop-protocol
P/S ratio (circulating)
What is this metric: Valuation multiple, based on the revenue earned by the protocol.
How it is calculated: Circulating market capitalization / annualized revenue. The annualized revenue is calculated based on the past 30d sum.
Why do we show it: Shows how many years it would take for the revenue to "repay" the circulating valuation.
Example:
Optimism dashboard: https://tokenterminal.com/terminal/projects/optimism
Updated about 2 months ago