Model

Definition ∞ A model, within the digital asset domain, refers to a conceptual or computational framework used to represent, analyze, or predict aspects of blockchain systems or crypto markets. This can include economic models for tokenomics, security models for protocol design, or statistical models for price prediction. Models serve as simplified representations of complex realities, facilitating understanding, testing hypotheses, and informing strategic decisions. They provide structured methods for evaluation.
Context ∞ The application of various models is crucial for research, development, and investment strategies across the cryptocurrency ecosystem. News reports might reference specific models when discussing the viability of new decentralized applications, the stability of stablecoins, or the potential risks within DeFi lending protocols. The accuracy and robustness of these models are continuously scrutinized as the digital asset landscape evolves.