Thread by @tokenomicsdao

In #tokenomics, demand refers to consumers' desire for a particular cryptocurrency.

If the demand increases faster than the supply, the price of the #cryptocurrency will increase.

How does demand increase?

#demand #valuecreation #web3

What can increase the demand for a token?

1. Increase in Awareness: When there is an increase in awareness of the project, the demand can increase.

2. Increase in Utility: When there is an increase in utility in the project, the demand can increase.

Keep in mind: The core demand driver for a token is always the value creation of the project.

If this is not the case, the token price will flame out faster than you'd expect.

Tokens have MANY benefits for founders and investors. But please remember, the token itself is NEVER the driver of value.

A token acts as a MULTIPLIER of the value that the products or services create. That means, if value creation is near 0, the token cannot multiply anything.

Modeling demand for tokens is the hardest part of tokenomics.

There are very few models, and so far, none have accurately predicted the future.

We have created our own tokenomics calculation template to model different demand drivers.

The tokenomics calculation template is included in our "Intro to Tokenomics" course.

This course is the FASTEST way to learn the basics of tokenomics.

tokenomicsdao.thinkific.com/courses/tokeno…