Hedera (HBAR) Tokenomics
Hedera (HBAR) Information
Hedera is the most used enterprise-grade public network for you to make your digital world exactly as it should be – yours. HBAR is the native, energy-efficient cryptocurrency of Hedera that powers the decentralized economy. Whether you're a startup or enterprise, a creator or consumer, Hedera goes beyond blockchain for developers to create the next era of fast, fair, and secure applications.
Hedera (HBAR) Tokenomics & Price Analysis
Explore key tokenomics and price data for Hedera (HBAR), including market cap, supply details, FDV, and price history. Understand the token's current value and market position at a glance.
In-Depth Token Structure of Hedera (HBAR)
Dive deeper into how HBAR tokens are issued, allocated, and unlocked. This section highlights key aspects of the token's economic structure: utility, incentives, and vesting.
Issuance Mechanism
- Total Supply: HBAR launched with a fixed maximum supply of 50 billion tokens. The supply cannot be increased without unanimous consent from the Hedera Governing Council.
- Distribution Pattern: Tokens are released from the treasury at the end of each quarter, following a controlled, non-linear schedule. The supply increases at discrete intervals, typically quarterly, rather than continuously or linearly.
Allocation Mechanism
| Category | Allocation (Billions) | Percentage of Total Supply |
|---|---|---|
| Pre-Minted Treasury | 16.20 | 32% |
| Ecosystem Development | 11.99 | 24% |
| Purchase Agreements | 8.70 | 17% |
| Founders and Early Executives | 6.90 | 14% |
| Swirlds (Tech Creator) | 3.98 | 8% |
| Employees & Service Providers | 2.22 | 4% |
- HBAR Foundation: In September 2021, the HBAR Foundation was allocated 7 billion HBAR (~21.4% of total supply) to fund ecosystem development.
- Other Allocations: Additional allocations include developer community funds and ecosystem reserves.
Usage and Incentive Mechanism
- Transaction Fees: HBAR is used to pay for network transaction fees, which are split into network, service, and node fees.
- Medium of Exchange: HBAR is the primary medium of exchange within the Hedera ecosystem, used for trading, purchasing NFTs, and (in the future) paying for smart contract hosting.
- Staking: HBAR is staked by consensus nodes (currently permissioned and managed by the Council) to secure the network. Tokenholders can delegate HBAR to nodes and receive a share of staking rewards.
- Staking Rewards: As of March 2024, the maximum annual staking reward rate is 2.5%. Rewards are distributed from a dedicated staking reward account.
Locking Mechanism and Unlocking Time
- Treasury Release: HBAR tokens are released from the treasury at the end of each quarter, following a controlled schedule. The release is not continuous but occurs in discrete, scheduled intervals.
- Vesting and Lockups: Allocations to founders, early executives, Swirlds, and employees are subject to vesting and lockup schedules, as detailed in the HBAR Economics Paper and regulatory filings. For example, Swirlds receives a one-time allocation and ongoing monthly payments, with vesting over 46 months for certain allocations.
- Staking Lock: Delegators must stake HBAR for at least 24 hours to begin earning rewards. Accrued staking rewards must be claimed within 365 days, or they are forfeited.
Summary Table
| Mechanism | Details |
|---|---|
| Issuance | Fixed supply (50B), quarterly treasury releases, no inflation without Council approval |
| Allocation | See allocation table above; largest to treasury and ecosystem development |
| Usage | Transaction fees, staking, medium of exchange, ecosystem incentives |
| Incentives | Staking rewards (max 2.5%/year), node operation, ecosystem grants |
| Locking | Quarterly unlocks, vesting for team/founders, staking lock (24h min, 365d reward claim) |
| Unlocking Time | Discrete quarterly releases, vesting schedules for specific allocations |
Additional Notes
- Governance: The Hedera Governing Council (up to 39 global enterprises) manages network upgrades, treasury releases, and staking parameters.
- Decentralization Roadmap: While currently permissioned, Hedera plans to open node operation to the public over time.
- Transparency: The HBAR Economics Whitepaper and Treasury Management Report provide ongoing updates to tokenomics and release schedules.
This comprehensive structure ensures HBAR’s utility, security, and long-term ecosystem growth, with a strong emphasis on controlled supply, transparent allocation, and robust incentive mechanisms.
Hedera (HBAR) Tokenomics: Key Metrics Explained and Use Cases
Understanding the tokenomics of Hedera (HBAR) is essential for analyzing its long-term value, sustainability, and potential.
Key Metrics and How They Are Calculated:
Total Supply:
The maximum number of HBAR tokens that have been or will ever be created.
Circulating Supply:
The number of tokens currently available on the market and in public hands.
Max Supply:
The hard cap on how many HBAR tokens can exist in total.
FDV (Fully Diluted Valuation):
Calculated as current price × max supply, giving a projection of total market cap if all tokens are in circulation.
Inflation Rate:
Reflects how fast new tokens are introduced, affecting scarcity and long-term price movement.
Why Do These Metrics Matter for Traders?
High circulating supply = greater liquidity.
Limited max supply + low inflation = potential for long-term price appreciation.
Transparent token distribution = better trust in the project and lower risk of centralized control.
High FDV with low current market cap = possible overvaluation signals.
Now that you understand HBAR's tokenomics, explore HBAR token's live price!
How to Buy HBAR
Interested in adding Hedera (HBAR) to your portfolio? MEXC supports various methods to buy HBAR, including credit cards, bank transfers, and peer-to-peer trading. Whether you're a beginner or pro, MEXC makes crypto buying easy and secure.
Hedera (HBAR) Price History
Analyzing the price history of HBAR helps users understand past market movements, key support/resistance levels, and volatility patterns. Whether you are tracking all-time highs or identifying trends, historical data is a crucial part of price prediction and technical analysis.
HBAR Price Prediction
Want to know where HBAR might be heading? Our HBAR price prediction page combines market sentiment, historical trends, and technical indicators to provide a forward-looking view.
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Disclaimer
Tokenomics data on this page is from third-party sources. MEXC does not guarantee its accuracy. Please conduct thorough research before investing.
Buy Hedera (HBAR)
Amount
1 HBAR = 0.22728 USD