BTC $64,061.08 -0.59%
ETH $1,860.85 -0.32%
BNB $566.59 +1.01%
XRP $1.09 -0.57%
SOL $73.91 -0.80%
TRX $0.3297 -0.15%
DOGE $0.0698 +1.52%
ADA $0.1635 -0.78%
BCH $210.51 +0.99%
LINK $8.36 -0.07%
HYPE $57.52 -1.56%
AAVE $90.85 -3.36%
SUI $0.7073 -2.05%
XLM $0.1780 -1.36%
ZEC $477.90 -3.77%
BTC $64,061.08 -0.59%
ETH $1,860.85 -0.32%
BNB $566.59 +1.01%
XRP $1.09 -0.57%
SOL $73.91 -0.80%
TRX $0.3297 -0.15%
DOGE $0.0698 +1.52%
ADA $0.1635 -0.78%
BCH $210.51 +0.99%
LINK $8.36 -0.07%
HYPE $57.52 -1.56%
AAVE $90.85 -3.36%
SUI $0.7073 -2.05%
XLM $0.1780 -1.36%
ZEC $477.90 -3.77%

Mechanism Capital Co-founder: The Best Token Economic Model Design Does Not Require Lock-up Restrictions for Investors

2024-10-27 23:41:13
Collection

ChainCatcher news, Mechanism Capital co-founder Andrew Kang posted on X platform stating: "This may sound counterintuitive, but the best token economic model design for a project is to not set lock-up restrictions for investors and to allow as many tokens to circulate as possible from day one (excluding team and treasury shares).

A 1-year lock-up period followed by a 3 to 4-year release period is a poor standard, stemming from a misunderstanding of capital markets and lazy replication of previous projects. In reality, longer unlock restrictions have little impact on investor participation after TGE; excellent investors will support the project regardless of whether the tokens are unlocked. The industry standard needs to change."

app_icon
ChainCatcher Building the Web3 world with innovations.