Micro cap refers to a publicly listed corporation whore market capitalization is between $50 to $300 million. Micro-cap companies are subjected to more volatility as compared to large, mid, or small-cap companies.
Intrinsically it becomes riskier for retail traders to invest in such companies. While the market valuation of micro-cap is higher than nano-cap companies, it still has lower market capitalization as compared to small, mid, or large-cap companies.
In the crypto market, the capitalization of a token is determined by calculating the price of one coin with the total number of coins in circulation. The only way micro-cap company can further expand is via offering value propositions to the customers, and creating high-demand products/services.