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Crypto Glossary/Tokenomics

Tokenomics

A study, and summary of how tokens related to decentralized blockchain networks are issued, circulated and utilized in an optimal manner.

A term popularized by ICO white papers pre-2020, tokenomics involves the study of, and subsequent recommendations for, optimally creating and managing a token economy related to a blockchain network or project.

Since blockchain projects rely on tokens for a variety of purposes, including fund raising, governance and other utilities, their issuance, distribution and other incentives are key to the financial success and stability of an ecosystem.

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