How Does the Market Capitalization of a Coin Relate to Its Economic Security?

A coin's market capitalization is directly related to its economic security, especially in PoS systems. A higher market cap means the cost for an attacker to acquire 51% of the staked coins is proportionally higher.

This makes the 51% attack significantly more expensive and less feasible. Therefore, market cap is a key indicator of the network's resilience against economic attacks.