Understanding Tokenomics: The Real Value Of A Token

The term ‘tokenomics’ is a hybrid of token and economics, and its meaning is quite similar to economics. Tokenomics studies how people interact with tokens. Specifically, the issuance, distribution, and burning of tokens of a cryptocurrency. Economics is often divided into micro- and macro-economics. In this article I want to take more of a micro v... See more

“Tokenomics” has become a popular term in the last few years to describe the math and incentives governing crypto assets. It includes everything about the mechanics of how the asset works, as well as the psychological or behavioral forces that could affect its value long term.

We call Tokenomics all the things that enable participants to earn more tokens by contributing positively. Basically, setting up Tokenomics for your project means "What can we put in place to incentivize my community to participate in my project.