Tokenomics:
Use Cases

Tokenomics shapes the incentives, functionality, and sustainability of digital assets, influencing user behavior and the overall health of the blockchain network.

Tokenomics ensures a balanced ecosystem

Tokenomics is a blend of "token" and "economics," referring to the design and analysis of the economic system behind a blockchain token.
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Case Studies

Here are some current use cases of how tokenomics have been applied to a blockchain. 

1. Bitcoin (BTC) Tokenomics Model

Supply: Fixed maximum supply of 21 million BTC.
Emission: New bitcoins are emitted via mining rewards, decreasing over time through halving events.
Distribution: Distributed through proof-of-work mining; initially allocated to developers, early investors, and miners.
Utility: Store of value and digital gold.

2. Ethereum (ETH) Tokenomics Model

Supply: No fixed maximum supply; annual issuance decreases over time.
Emission: Validated through proof-of-stake (post-merge), with issuance influenced by network activity.
Burning Mechanism: EIP-1559 burns a portion of transaction fees, reducing supply.
Utility: Platform for decentralized applications and smart contracts.

3. Uniswap (UNI) Tokenomics Model

Supply: Initial supply of 1 billion UNI tokens.
Allocation: Distributed to community, team, advisors, and ecosystem fund.
Governance: UNI tokens enable decentralized governance of the protocol.
Utility: Governance rights and staking rewards.Web

4. Cardano (ADA) Tokenomics Model

Supply: Fixed max supply of 45 billion ADA.
Distribution: Staking rewards, treasury, and operational incentives.
Staking: Delegators and stake pools earn rewards proportional to their staked amount.
Utility: Participation in network security and governance.

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