Emission in cryptocurrency refers to the process of new coins or tokens being created and released into circulation. This emission can occur through various means, such as mining, staking, or as part of a token sale.
In the case of mining, cryptocurrencies like Bitcoin are created through a process where miners solve complex mathematical puzzles to validate transactions on the blockchain. As a reward for their efforts, new coins are generated and added to the supply.
Staking, on the other hand, involves users locking up their coins in a wallet to support the network and validate transactions. In return for this service, they may receive newly minted coins as a form of reward.
Emission plays a crucial role in determining the total supply of a cryptocurrency and can impact its value and scarcity. Understanding how emission works is essential for investors and users looking to assess the long-term viability of a particular cryptocurrency.
