Token Economics

Glossary

Tokenomics, in plain English.

The terms every founder needs before sitting down with their first investor. One sentence definitions, longer explanations where they matter, and examples drawn from 300+ real public launches.

airdrop

Airdrop

A free distribution of tokens to users, often retroactive — for example, to anyone who used a protocol before launch.

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CEX

Centralized Exchange

A regulated trading platform like Binance or Coinbase. Listings here drive most of the visible volume.

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cliff

Vesting cliff

A waiting period after launch during which no tokens unlock for that bucket. Common for team and investor shares.

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DePIN

Decentralized Physical Infrastructure Network

A protocol that uses token rewards to bootstrap real-world hardware (compute, storage, wireless).

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DEX

Decentralized Exchange

An on-chain trading venue like Uniswap or Raydium. Trades anyone can do without an account.

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FDV

Fully Diluted Value

Price per token × total supply. The valuation if every token were already circulating.

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float

Circulating float

The portion of total supply that is unlocked and able to trade. The rest is locked in vests, treasury, or burns.

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insider

Insider allocation

Tokens held by the team and investors (as opposed to community / treasury / public).

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LP

Liquidity Provider

A wallet that supplies tokens to a DEX pool, earning a share of trading fees in return.

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MM

Market Maker

A professional firm that quotes both sides of the order book to keep trading liquid. Most listed tokens have at least one.

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RWA

Real-World Asset

A token backed by something off-chain — bonds, real estate, gold, invoices.

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TGE

Token Generation Event

Launch day — when the token first exists and trading begins.

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treasury

Treasury

A pool of tokens reserved for the project itself — grants, hires, partnerships, future programs. Often controlled by governance.

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vest

Vesting

The schedule that releases tokens over time. Used to align team and investors with long-term success rather than dumping at launch.

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Don’t just read about it

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The free editor + the AI lets you draft a full tokenomics — pie, vesting, sell-pressure, risk score, comparable launches — from a sentence. Open it in your browser, no signup required.

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