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Initial Stake Distribution

Definition

Initial stake distribution refers to how the native tokens or staking power of a Proof-of-Stake (PoS) blockchain are allocated at its inception. This distribution determines the initial influence and economic incentives for participants who secure the network. It can occur through various methods, including initial coin offerings, airdrops, or pre-mining, impacting the network’s early decentralization profile. A fair and broad initial distribution is often considered important for long-term network health.