Someone asked: When evaluating a token, what should you look at in its tokenomics?
My answer: Many projects allocate tokens to the team, investors, the community, and an ecosystem fund. The team’s and investors’ allocations usually have lock-up periods and vest over time. Whether a token has genuine utility and demand matters more than its total supply; a burn mechanism only affects the supply side.
$ETH 2429.79(-3.61%)
Have you ever learned this the hard way? Share your experience so others can avoid the same pitfalls.
#ETH
My answer: Many projects allocate tokens to the team, investors, the community, and an ecosystem fund. The team’s and investors’ allocations usually have lock-up periods and vest over time. Whether a token has genuine utility and demand matters more than its total supply; a burn mechanism only affects the supply side.
$ETH 2429.79(-3.61%)
Have you ever learned this the hard way? Share your experience so others can avoid the same pitfalls.
#ETH