One of the best new features of the @SkyEcosystem Dashboard is the P/E ratio.
If you're still an only-DeFi person with TVL top of mind while the big institutional bags are coming, price to earnings is a TradFi valuation metric that, adapted for DeFi, compares the token price to its earnings per token in circulation.
Here's the math for Sky:
• First, calculate Earnings per Share by dividing earnings by token supply. Sky uses an annualized estimate of $184 million in annual earnings based on the current system status. So Earnings per Share is $184 million / 23.3 billion SKY, which gives you ~$0.00788 per token.
• Next, divide the token price by Earnings per Share: $0.0578 / $0.00788 = 7.33
According to TradFi terminology, the P/E ratio indicates how much investors are willing to pay for each dollar of a "company's" earnings.


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