Definition ∞ Long Term Vesting is a contractual agreement that gradually releases digital assets or equity to recipients over an extended period. This mechanism incentivizes sustained commitment and alignment with a project’s objectives. It is commonly used in blockchain projects for team members, advisors, and early investors to prevent immediate selling pressure.
Context ∞ The discussion around Long Term Vesting in the crypto sector frequently addresses its role in fostering project stability and discouraging short-term speculative behavior among token holders. A critical development involves the transparency and fairness of vesting schedules, which are closely scrutinized by communities and potential investors. Effective vesting arrangements are viewed as a sign of a project’s commitment to its long-range vision and equitable distribution.
Blockchain Knowledge
Cryptocurrency Foundation
Cryptospace Newsfeed
