Refer to the “Education” section of Tokenomics DAO for the most up to date resources/articles on tokenomics.

Introductory Content

* All You Need to Know About Tokenomics

* Great starting point outlining the basics of tokenomics and overview of the key variables: supply, burning, monetary policy, token distribution and earnings

* An introduction to token economics (tokenomics)

* Similar level of detail to link above, but with a bit more detail on token distribution

* Tokenomics 101: The Basics of Evaluating Cryptocurrencies

* Breakdown of tokenomics through the lens of supply + demand as opposed to the underlying drivers (e.g. burning, monetary policy, etc.), with a high-level evaluation of Convex Finance

* Economics Design Youtube

* Lisa JY Tan’s channel on tokenomics. She’s also authored Economics and Math of Token Engineering and DeFi : Fundamentals of Token Economics

Sample Protocol Tokenomics Overviews

* Each example covers initial tokenomics, governing principles and the associated trade offs made when designing incentives compared to other protocols.

* NEAR Protocol

* Harmony One (Initial Token Economic Model, Updated Tokenomics, Economic Model)

* Florian’s substack

* Ethereum Tokenomics 2021: Impact of Eth2, EIP 1559, and L2 Scaling Solutions on Demand/Supply

* Slightly outdated, but helpful illustration of how changes infrastructure changes impact supply/demand dynamics for ETH (or another crypto asset)

Advanced Content

* https://ahitchhikers.substack.com/ - good deep dive substack on token engineering.

* Chapter 3: Cryptoeconomic Patterns - Value capture and distribution of protocols.

Tokenomics Evaluation Framework

Supply

Key Question: Based on supply alone, will this token hold or increase it’s value? Or will that value be inflated away?

* Total Supply

* How many tokens exist today?

* How many will ever exist? (eg is there a supply cap)

* Issuance rate

* Is the issuance rate fixed or variable?

* If variable, what are the factors that determine (and can influence) issuance rate?

* Allocation/Vesting

* How was supply initially allocated among investors, community, core team, etc? Are there any group(s) with a significant holding that could drive material selling pressure upon vesting?

* What is the vesting schedule for the largest holders?

Demand

Key Question: Why would someone hold this token?

* ROI

* Excluding any price appreciation, what is the return generated by simply holding the token? (eg staking)

* Is there an opportunity to earn additional return by yield farming?

* Are earnings/fees generated from the protocol distributed back to token holders?

* Does any “rebasing” take place as the protocol inflates?

* Rebasing works similar to a stock split, whereby holding and staking the token enables the holder to receive more, thereby offsetting any impact of inflation (eg % ownership remains constant)

* Community

* How active is their Discord/Twitter?

* Has an ecosystem fund been announced? Grants? Hackathons?

* How is the protocol actively working to drive additional community engagement?

* Do one-time + ongoing initiatives drive additional token demand?

* Lockups

* Is there a lockup program in place?

* If there is a lockup program in place, what is the incremental value of rewards and what are the requirements to earn those rewards?

* What % of total tokens outstanding are locked up?

* How much selling pressure is generated upon lockup expiration (and when)?

* Are there other non-monetary benefits to staking + locking up tokens? (eg increased voting power)

DAO Specific Content

* Incentive Design & Tooling for DAOs

* How to match a DAO's goals with the right incentive mechanisms to achieve them...