Token distribution refers to the process of allocating and dispersing tokens in a cryptocurrency project. This process is a critical aspect of a project’s initial setup and ongoing management. Token distribution covers various phases including initial coin offerings (ICOs), private sales, public sales, and airdrops. The method of distribution is designed to ensure a fair and wide dispersal of tokens, incentivize different stakeholders (developers, investors, users), and align with the long-term goals of the project. The specifics of token distribution are often detailed in a project’s whitepaper and can impact the token’s value, distribution, and potential for centralization or decentralization.
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