Distributing tokens refers to the process of allocating newly created tokens to investors, supporters, or the community. This often happens during events like initial coin offerings (ICOs) or token sales, where a project raises funds by selling a portion of its tokens.The distribution can take various forms, including pre-sales, public sales, airdrops, or rewards for early adopters. Airdrops involve sending free tokens to holders of another cryptocurrency, often to generate interest in a new project.The manner in which tokens are distributed can significantly affect a project’s success. Fair distribution ensures a broad base of support and helps avoid centralization, where a few individuals control most of the tokens. Proper management of the distribution process is essential for building trust and a strong community around a project. Transparency regarding how many tokens are distributed, to whom, and for what purpose is crucial for maintaining credibility and attracting investment.