Mining ratio refers to the proportion of a cryptocurrency that is generated or mined relative to the total supply available. This metric provides insights into the distribution and scarcity of a particular coin.For example, in a proof-of-work system, miners solve complex mathematical problems to validate transactions and secure the network. The mining ratio indicates how much of the cryptocurrency’s total supply is currently obtained through mining versus how much has already been pre-mined or distributed through other means, such as staking or initial coin offerings.A high mining ratio may suggest a greater reliance on miners for the creation of new coins, potentially impacting the coin’s stability and market dynamics. Conversely, a low mining ratio might indicate that most of the supply is already in circulation, leading to reduced incentives for miners.Understanding the mining ratio can help investors assess the long-term viability and value proposition of a cryptocurrency, as it highlights aspects of supply, demand, and community participation in maintaining and growing the network.