This is a chapter from **Tokenomics for Builders: The Practitioner’s Guide to Token Design.*

This document and all resources, threads, models, and materials linked to within are for informational purposes only. None of this document’s contents, nor the contents linked to within, should be construed as legal advice, financial advice, technical advice, investment advice, accounting advice, or representations in any way regarding legal, technical, financial, investment, or accounting matters by the author. The author is not a lawyer or financial advisor in any jurisdiction, and highly encourages readers to engage with registered professionals to ensure compliance with any and all relevant laws and regulations.*

You’re a blockchain developer or founder (or aspire to be one). Maybe you already have a problem in mind you want to solve. Maybe you’ve already designed a great solution to the problem that people will love.

Why then should you worry about tokenomics?

Because, the decisions you make (or fail to make) about your token will impact nearly every aspect of what you’re working on, including:

• Regulatory and legal risks
• Ownership and governance
• User experience
• User acquisition strategy
• Frictions and barriers to adoption
• Retention, engagement, usage, and growth rates
• Value created for your users
• Value captured by your project
• Value accrued to your token (not the same thing as creating or capturing value!)
• Exploit, abuse, and attack vectors
• Longevity and bear market resiliency
• And more…