# Network Value to Transaction (NVT)s

The Network Value to Transaction Ratio (NVT-BT) is a valuation method that looks at the network value relative to the transaction value settled over the network. It is similar to a price to sales ratio in traditional equity analysis.

The NVT ratio is often referred to as the price to sales ratio for crypto-assets and is one of the most direct metrics to determine a fair value for a crypto-asset network.

The NVT-BT is calculated using the following formula: