The maximum number of coins that will be in circulation in the lifetime of the cryptocurrency is known as the total supply. This is different from the circulating supply, which is the amount of coins that are currently in use. The total supply will eventually reach its maximum and will not increase any further.
Cryptocurrencies have a maximum supply that is set at the time of creation. This is the maximum amount of coins that will ever exist in the lifetime of the cryptocurrency. Once this limit is reached, no more coins will be produced.
The maximum supply of digital assets is usually determined by the underlying protocols of those assets. For Bitcoin, the maximum supply is fixed at 21 million. Not all cryptocurrencies have a predetermined fixed supply, Ethereum being one of them. The maximum supply for Ethereum is not fixed, and can be changed based on how the protocol is programmed.
The maximum supply of a cryptocurrency is different from the total supply. The maximum supply is the total number of coins that can be mined, while the total supply is the amount of coins that have been mined minus the number of coins that have been lost.
There are different types of maximum supply:
Cryptocurrencies that have no maximum supply can have an indefinite number of coins. This is often seen in utility tokens, where the number of coins is not limited by the number of coins but by the number of users.