tokenomics
Tokenomics (noun) means the design of a cryptocurrency token: how many will ever exist, how they are handed out, who holds them, what they can be used for, and how new ones are created or removed over time. Example: “The tokenomics say a fifth of the supply goes to the founding team, released over four years.”
How to use tokenomics
Learner’s notesIn plain EnglishThe rules about how many of a digital coin exist and who gets them.
Industry jargon, usually treated as a singular mass noun: "the tokenomics is unclear" and "the tokenomics are unclear" are both heard, with the plural form more common.
Two figures do most of the work in these discussions: total supply, meaning every token that will ever exist, and circulating supply, meaning those actually released so far.
Trace the full origin ↓Fill the gap
Can you complete this real example?
The _____ say a fifth of the supply goes to the founding team, released over four years.
Etymology
A blend of token and economics.
Synonyms
View more →Rhymes for tokenomics
See all rhymes for tokenomics →Frequently asked questions
What is the difference between total supply and circulating supply?
Total supply is every token that exists or will ever exist under the rules. Circulating supply is the portion currently in people's hands, excluding tokens still locked up for the team, investors or the treasury. A large gap between the two means many more tokens are due to be released.
What does token burning mean?
Burning means permanently removing tokens from circulation, usually by sending them to an address nobody can spend from. Projects do it to reduce supply, and burns are often written into the rules so that a share of fees is destroyed.
What is a vesting schedule?
A vesting schedule sets out when tokens allocated to founders, staff or early investors become available to sell, typically in instalments over months or years. It is part of the tokenomics because it determines how much new supply reaches the market and when.
What is the meaning of tokenomics?
"tokenomics" (noun) means the design of a cryptocurrency token: how many will ever exist, how they are handed out, who holds them, what they can be used for, and how new ones are created or removed over time.
Example sentences
Real-world examples showing tokenomics in context, drawn from published sources. Any opinions expressed are those of the original source and do not reflect the views of FreeDict.com.
Tokenomics describes how a token is issued, distributed and removed from circulation — the supply rules rather than the technology.