DeFi 101Sep 13

Tokenomics Explained

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Tokenomics

Summary

  • Tokenomics refers to the economics of cryptocurrency tokens
  • Tokenomics show the financial qualities that make a token attractive to investors.
  • Crypto token tokenomics is explained in the white paper.

Tokenomics is a word derived from marrying the terms token and economics. It is used to refer to the economics of cryptocurrency tokens, including all the financial qualities that make them attractive to investors.

The tokenomics of any crypto token is usually explained in the white paper, making it easy for any investor to grasp the objective, functionality, and allocation policy, among other attributes of a given token.

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