Definition
Mint is a concept in crypto and DeFi that describes the process of bringing new tokens or coins into existence on a blockchain. When tokens are minted, the protocol updates its ledger to reflect an increased total supply and assigns the new units to specific addresses. The conditions and limits for minting are defined by the project’s tokenomics, which may specify who can mint, when minting occurs, and in what quantities.
Minting can be triggered by various mechanisms, such as protocol rules, governance decisions, or automated smart contracts. In many systems, mint is paired conceptually with burn, where tokens are permanently removed from circulation to adjust supply. Some supply schedules, including those that incorporate events like halving, are designed to control the rate at which minting occurs over time.
Context and Usage
In DeFi, mint often refers to the issuance of governance tokens, liquidity tokens, or yield-bearing tokens when users interact with smart contracts. For example, a protocol may mint new tokens as rewards to participants, allocating them according to predefined tokenomics parameters. This minting activity directly affects circulating supply and can influence how value and control are distributed within the ecosystem.
The concept of mint is central to understanding how a crypto asset’s monetary policy operates in practice. Protocols may use mint and burn together as tools to expand or contract supply in response to market or governance signals. Over longer periods, scheduled changes such as halving events can alter the pace of minting, shaping the long-term supply curve of a token or coin.