How does the par value of a digital asset affect its market price?

1 answers

• Dec 20, 2021 · 3 years ago
  The par value of a digital asset is a fixed value assigned to it by the issuer. However, it does not have a direct impact on the market price of the asset. The market price of a digital asset is determined by the forces of supply and demand in the market. Factors such as investor sentiment, market trends, and overall market conditions play a significant role in determining the market price. While the par value may provide some reference point, it is not a reliable indicator of the asset's market price. Investors should consider other factors and conduct thorough market analysis before making any investment decisions.
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