Skip to main content

What Is the Concept of ‘Supply Shock’ in Economics?

A supply shock is an unexpected event that suddenly changes the supply of a commodity or service, resulting in an abrupt price change. In crypto, a sudden, unexpected reduction in circulating supply (e.g. a massive burn) can cause a positive supply shock.

What Is a ‘Black Swan’ Event and How Can It Impact Crypto-Collateralized Systems?
How Does an Unexpected News Event for a Cryptocurrency Affect the Extrinsic Value of Its Options?
Define ‘Event Risk’ in the Context of Crypto Derivatives Trading
How Does the Concept of “Event Risk” Affect Option Pricing?