Vesting is a mechanism that regulates the gradual release of tokens to contributors, especially in the context of fundraising events such as token sales or Initial Coin Offerings (ICOs). Instead of granting full ownership of Floin tokens (FLTK) immediately, vesting plans are used to spread access to the tokens over a predetermined period based on specific conditions.
This vesting plan ensures that tokens are unlocked only under certain conditions and in predefined time intervals. This helps to keep stakeholders, such as investors or team members, engaged with the project over the long term and supports the sustainable growth of the ecosystem.
Through this mechanism, tokens are not all released to the market at once, contributing to market stability and supporting the long-term success of the project. Vesting is, therefore, an essential component in building trust and ensuring security during fundraising events.
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