Tokenomics

The economic design of a token: supply, distribution, vesting, utility, and incentives.

Tokenomics describes how a token's supply is created, distributed, locked, and used. The standard components: total supply, initial circulating supply, allocation (team, investors, community, treasury), vesting schedules, emission curve, sink mechanisms (fees burned, tokens locked for utility), and governance rights.

Bad tokenomics is the most common reason a technically sound project still fails. A protocol with strong product-market fit but 90% of supply held by insiders unlocking on a 12-month cliff isn't a public asset — it's a slow rug.