Sirwin
Sirwin

Do You Want To Be Profitable? Then you Have to Learn Tokenomics

By Lucapelle | ShitCoins I Like | 19 Oct 2022


If you want to increase your profits as a crypto investor It is fundamental for you to have an understanding of tokenomics.

 

Ok but what are Tokenomics?

To keep It simple; they are the factors that drive the demand for tokens.
It includes: • math • supply vs. demand • incentives • value accrual • Human behavior & game theory Tokenomics = Tokens + Econonmics

Some of my worst investments were because I didn't understand Tokenomics: 
-The tokens were inflationary without enough utility.
-Concentration of tokens by VCs & whales led to retail getting dumped on.

I fucked It up already so you don't have to. So study Tokenomics, It will help improve your crypto investments and limit your losses.

 

Supply Side of Tokenomics

Here's what you should watch out for:
-How many tokens are in existence?
-How many tokens will there be in total?
-Who has the supply? WHEN can they sell?
-How will the supply change over time?
-What are their policies for changing?

 

If you want my noob opinion your best bet is to observe everything you can, not just the white-papers of successful projects, but also be curious and understand why things flop; how models evolve over time and how different incentives make a community feel different emotionally.

 

But you're much better off studying from people much smarter than me, so

Here are the best resources I could find regarding tokenomics:

https://every.to/almanack/tokenomics-101

http://youtube.com/c/economicsdesign…

https://www.amazon.com/Token-Economy-Web3-reinvents-Internet/dp/3982103819/ref=mp_s_a_1_3?crid=2QF716VYC1C5E&keywords=token+economy+how+the+web3+reinvents+the+internet&qid=1644597761&sprefix=token+e%2Caps%2C70&sr=8-3&asin=3982103819&revisionId=&format=4&depth=1   Hope that helps you not to get wrecked like me. feel free to comment and add any other resources that I've surely missed.   

How do you rate this article?

13



ShitCoins I Like
ShitCoins I Like

a journey through the smaller market cap Coins that have got all the chances to move quickly for big gains

Send a $0.01 microtip in crypto to the author, and earn yourself as you read!

20% to author / 80% to me.
We pay the tips from our rewards pool.