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What is Tokenomics?

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Tokenomics is a term that refers to the economic design and incentive model behind a cryptocurrency or blockchain project. Tokenomics includes token distribution, token utility, token supply, token inflation/deflation, and economic incentives and models.

Tokenomics describes how a cryptocurrency or blockchain project is designed and distributed to create a sustainable economic model. This includes token distribution, token utility, token supply, token inflation & deflation, as well as incentive systems that allow various parties to contribute to the ecosystem. Well-designed Tokenomics is important for the long-term adoption and sustainability of a blockchain project.

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