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Tokenomics Paradigm

Definition

A tokenomics paradigm is the overarching framework that governs the economic design and incentives of a digital asset. This refers to the fundamental model dictating how a cryptocurrency or token is created, distributed, managed, and used within its associated blockchain ecosystem. It encompasses supply schedules, staking mechanisms, governance rights, and utility functions, all designed to align participant incentives and drive network value. The paradigm influences an asset’s scarcity, demand, and long-term viability.