tokenomics
Digital currency design
Tokenomics is the economic design of a cryptocurrency or digital token—how it's created, distributed, and incentivized.
The term blends "token" and "economics." Tokenomics encompasses supply limits, inflation rates, staking rewards, and mechanisms that affect a token's value: The project's tokenomics looked unsustainable.
Investors scrutinize tokenomics to assess whether a crypto asset is worth holding.
Self-enforcing coded agreements
- proof of stakeBlockchain validation via holdings
- proof of workEffort demonstrating task completion
- sidechainsAuxiliary blockchains linked to primary
- interoperabilityCross-platform functional harmony
scalability · nodes · hashing · cryptography · wallet · public key · private key · protocol
Alternative digital currency
- stablecoinPrice-anchored cryptocurrency
- airdropParachute delivery from aircraft
- whitepaperAuthoritative explanatory document
- exchangeMutual giving and receiving
Producing official currency
- inflation rateSpeed of rising costs
- deflationSustained decrease in prices
- vesting scheduleTimeline for earning ownership
- allocationDistribution of shares
halving · buyback · treasury · velocity · transaction fees · fee structure · network effects
Profit-to-cost ratio
- valuationAssessment of monetary worth
- market capTotal equity value
- seed roundFirst outside investment stage
- private saleTransaction without public offering
public sale · due diligence · risk assessment · bullish · bearish · speculation · liquidity · trading volume
Electoral influence strength
- proposalFormal plan for consideration
- quorumMinimum for valid proceedings
- delegationTransferring responsibility downward
- stakingRisking something valuable
snapshot · ragequit · forum · council · grants · decentralization
smart contracts
Self-enforcing coded agreements
- proof of stakeBlockchain validation via holdings
- proof of workEffort demonstrating task completion
- sidechainsAuxiliary blockchains linked to primary
interoperability · scalability · nodes · hashing · cryptography · wallet · public key · private key · protocol
altcoin
Alternative digital currency
- stablecoinPrice-anchored cryptocurrency
- airdropParachute delivery from aircraft
- whitepaperAuthoritative explanatory document
exchange · market cap · whale · presale · launchpad · listing · dex
minting
Producing official currency
- inflation rateSpeed of rising costs
- deflationSustained decrease in prices
- vesting scheduleTimeline for earning ownership
allocation · halving · buyback · treasury · velocity · transaction fees · fee structure · network effects
ROI
Profit-to-cost ratio
- valuationAssessment of monetary worth
- market capTotal equity value
- seed roundFirst outside investment stage
private sale · public sale · due diligence · risk assessment · bullish · bearish · speculation · liquidity · trading volume · accumulation
voting power
Electoral influence strength
- proposalFormal plan for consideration
- quorumMinimum for valid proceedings
- delegationTransferring responsibility downward
staking · snapshot · ragequit · forum · council · grants · decentralization
- cryptoBitcoin, Ethereum, blockchain, cryptocurrency, altcoins
- tokenomicsvesting, vesting period, vesting schedule, burning, airdrop
- DeFilending, swap, staking, liquidity, borrowing
tokenomicscentral banking
State management of currency
monetary policy · classical economics · quantitative easing · Keynesian economics · macroeconomics
token, economics, tokens, fintech, tokenize, tokenization, tokenizing, tokenized