Vesting Pool

Understand the concept of "Victory Condition" in crypto terminology, focusing on the criteria that must be met for success in blockchain projects.

A vesting pool is a mechanism used to manage the distribution of tokens over a specific period. It is designed to prevent sudden sell-offs that can occur when large holders, often founders or early investors, release their tokens all at once.In a vesting pool, tokens are locked for a predefined duration. Instead of receiving all tokens upfront, participants receive their allocation gradually, usually on a set schedule, such as monthly or quarterly. This encourages long-term commitment to the project and helps stabilize the token’s market price.The vesting schedule can vary; for example, an early portion may be available immediately, followed by a lock-up period that releases a portion of tokens progressively. This not only aligns the interests of early contributors with the overall success of the project but also builds trust within the community.Overall, vesting pools are a strategic approach to token distribution that enhances project stability and supports continuous investment and participation from stakeholders.

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