Runway refers to the amount of time a project can continue to operate before needing additional funds. It’s calculated based on the current cash reserves and the burn rate, which is the speed at which the project spends its capital.For example, if a project has $1 million and spends $100,000 a month, it has a runway of 10 months. This metric is crucial for startups, including those in crypto, as it helps assess financial health and sustainability.Projects with a short runway may face urgent funding needs, potentially leading to emergency fundraising or cutbacks. Conversely, a longer runway offers more flexibility to adapt, develop, and navigate market fluctuations without immediate pressure.Understanding runway helps investors gauge the viability of a project. It indicates whether the project can achieve milestones and potentially generate revenue before funds run out.