What Is a “Cliff” in a Token Vesting Schedule?

A "cliff" is an initial period during which no tokens are released, even if the overall vesting period has begun. For example, a 4-year vesting schedule with a 1-year cliff means that for the first year, zero tokens vest.

At the end of the 1-year cliff, the tokens scheduled to vest up to that point (e.g. 25% of the total) are released all at once.

After the cliff, the remaining tokens vest on a regular, typically monthly or daily, schedule.