Tokenomics

Tokenomics is the design of a crypto token's supply, distribution, and incentives: how many exist, who gets them, and what makes people want to hold or use them. It matters because these rules shape whether a token's price reflects real demand or just early insiders cashing out. For example, Bitcoin's tokenomics cap supply at 21 million and cut new issuance in half roughly every four years, which is why the "halving" gets so much attention. Contrast that with a token that mints 40% of its supply to the founding team with a one-year lock-up: that setup tells you a lot about likely sell pressure once the lock-up ends. Reading a project's tokenomics before its marketing is usually the faster way to spot the actual incentives at play.