Skip to main content

In What Ways Does Staking Contribute to a Token’s Intrinsic Value?

Staking contributes to intrinsic value by providing a direct mechanism for yield generation and by reducing the token's circulating supply. The yield acts as a form of cash flow for DCF analysis, and the reduction in supply creates scarcity.

Furthermore, staking often secures the network or validates transactions, linking the token's value directly to the security and operational health of the underlying blockchain. This dual function strengthens its fundamental value proposition.

How Does a Vesting Schedule Affect a Coin’s Future Circulating Supply?
How Does Staking Impact the Circulating Supply of a Coin?
How Does the Concept of ‘Token Burn’ Affect the Circulating Supply and Value Proposition?
How Does Token Inflation Affect the Relationship between Circulating and Total Supply?