Description: Fungible supply refers to the total amount of fungible tokens available within a given ecosystem, such as that of blockchain technology. Fungible tokens are those that are interchangeable with one another, meaning each unit of a token has the same value and characteristics as any other unit of the same type. This contrasts with non-fungible tokens (NFTs), which are unique and non-interchangeable. In the context of blockchain ecosystems, fungible supply is crucial for the stability and functionality of the ecosystem, as it enables the creation of digital assets that can be used in transactions, smart contracts, and decentralized applications. The management of fungible supply also influences the token’s economy, affecting its value and the dynamics of supply and demand. Therefore, understanding fungible supply is essential for developers, investors, and users participating in blockchain ecosystems, as it directly impacts the liquidity and viability of the projects built on these platforms.
