Glossary

Tokenomics & On-chain

What is token allocation in a crypto project?

Token allocation is the breakdown of how a project's total token supply is divided among stakeholders, such as the team, early investors, the community, treasury, and ecosystem incentives. It shows who holds what share and on what schedule those tokens unlock. For example, an allocation might assign 20% to the team, 15% to investors, and the rest to community and treasury, each vesting over years. Allocation matters because concentrated holdings or large early-investor shares can shape future selling pressure. Reading the allocation alongside the vesting schedule reveals how ownership is structured before you commit capital.

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