Supply Schedule

Supply shock in crypto refers to a sudden decrease in the availability of a cryptocurrency, potentially leading to increased prices due to heightened demand.

A supply schedule details the quantity of a cryptocurrency that will be available at different price levels over time. It typically represents how the total supply of a coin or token is distributed, which can include the initial amount launched and the rate at which new coins are generated.In many cases, especially for projects using mechanisms like mining or staking, the supply schedule defines how many new coins are created and released into circulation. This can influence market dynamics, as an increase in supply often leads to price adjustments based on demand.Understanding a cryptocurrency’s supply schedule helps investors anticipate potential future supply changes that could affect prices. For example, projects with a fixed supply, like Bitcoin, have a predictable halving schedule, impacting scarcity and potentially driving value in the long term. In contrast, cryptocurrencies with flexible supply schedules may experience more volatility. Ultimately, a supply schedule is essential for evaluating a cryptocurrency’s potential, understanding market behavior, and making informed investment decisions.

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