Definition. This chart presents the three supply regions defined within the Cointime Economics framework, alongside price (grey):

• 🟣 Circulating Supply represents the total BTC supply issued to miners, which asymptotically approaches the defined cap of 21M.

• 🔴 Active Supply describes an equivalent sum of Bitcoin which has experienced a complete expenditure of all its accumulated cointime. Active Supply can be considered to be the economically meaningful coin volume which is actively participating in the Bitcoin economy.

• 🟢 Vaulted Supply describes an equivalent sum of Bitcoin which has never been spent and represents the unspent coin volume required to generate the cumulative sum of coinblocks stored within the network. Vaulted Supply may be considered as the equivalent coin volume which is completely dormant and is not actively participating in the Bitcoin economy.

Technical. The regions are derived by weighting Circulating Supply with the cumulative cointime state variables:

• Active Supply = Liveliness x Circulating Supply (red)
• Vaulted Supply = Vaultedness x Circulating Supply = (1 - Liveliness) x Circulating Supply (green)

The two regions sum to Circulating Supply at all times.

Interpretation. The Active/Vaulted split re-weights the supply by its accumulated dormancy rather than by discrete age bands: growth in Vaulted Supply reflects wealth migrating into deep cold storage (accumulation regimes), while growth in Active Supply reflects previously dormant coins re-entering circulation (distribution regimes). Vaulted Supply was first introduced by Adamant Capital as HODLed and Lost coins.

Notes. Built from Liveliness and Circulating Supply. The drivers of changes in each region are decomposed in Active Supply Change Decomposition and Vaulted Supply Change Decomposition. Developed within the Cointime Economics framework for Bitcoin, a joint venture between Glassnode and ARK Invest, with full details available in two formats: an overview primer (Version I published via ARK) and a comprehensive guide for specialists (Version II published via Glassnode).