Arithmetic on today's supply, not a forecast. It assumes nothing about whether Tether Gold could attract that much money.
A coin's market capitalisation is its price multiplied by the number of coins in circulation. Tether Gold has 613,013 XAUT in circulation at $4,347.61 each, which is $2.67B. Holding that supply still and putting PAX Gold's $1.89B in its place gives $3,075.90 per XAUT.
Tether Gold is already worth more than PAX Gold. Moving to the smaller cap would take XAUT down to $3,075.90, which is 0.707x of what it trades at now.
Supply is held still, and in practice it moves: coins are minted, burned and unlocked, and every one of those changes the price a given market capitalisation implies. The figure also says nothing about whether the money exists to buy XAUT at that level, which is the part that actually decides a price.
$3,075.90 per XAUT. That is PAX Gold's current market capitalisation of $1.89B divided across the 613,013 XAUT in circulation.
0.707x. Tether Gold trades at $4,347.61 today and PAX Gold's market cap is $1.89B against Tether Gold's $2.67B.
No. It is one division: PAX Gold's market capitalisation spread over the supply of XAUT that exists today. It assumes nothing about whether Tether Gold could attract that much money, and it holds the supply still when in practice supply changes.
It sets it. Market cap is price times circulating supply, so the same $1.89B of market cap spread over more coins gives a lower price per coin. This uses the 613,013 XAUT in circulation now.