An innovative idea is a great starting point. Then it comes down to execution and covering ground fast. This is true for technology projects but especially true for Blockchain/Crypto projects. Typically, Web3 projects require a ton of efforts around the various moving pieces:
Tokenization of digital and physical assets is moving mountains like never before. With blockchain and crypto, anyone can create a token with an incentivization system. This is tokenomics …. Token and Economics …. Collectively the sum of these systems is an incentivization system that humans have never seen or experienced before. That is why tokenomics is important for community growth.
Tokenomics is defined as “the practice of designing the economics of a crypto token so that users/holders of tokens can get the value associated with these tokens.”
Tokenomics has become the backbone of almost all the Web3 and blockchain projects because these projects need an economic value to their tokens to survive and thrive. Tokenomics therefore, is the process that helps a project to identify the way it can transfer the economic value of a token to its holder.