Save 30% on a Ledger Nano Color. Use COLOR30 at checkout.

Shop Now



Buy, exchange, grow and manage over 5,500 coins and tokens

Shop now Compare wallets

Vesting Period

May 21, 2023 | Updated May 21, 2023
A vesting period in crypto refers to a predetermined time frame during which certain tokens or assets are restricted and become accessible or transferable over time.

What is a Crypto Vesting Period?

In the crypto industry, the vesting period is the phase when a project restricts the sale of its early investor tokens. These tokens are acquired by early investors, project stakeholders, and contributors during the pre-ICO stage. The project’s vesting determines how long these tokens will be “locked” and the intervals at which they will be released. 

It is a mechanism designed to gradually release or unlock tokens over time, often as a means to incentivize long-term commitment, discourage immediate selling or dumping of tokens, and promote stability within the crypto ecosystem. The vesting period allows token holders to gain access to their tokens gradually, ensuring a more controlled and measured distribution of assets within the network.

The vesting model is not unique to cryptocurrencies and has been in use in traditional financial markets for decades such as employee stock options or restricted stock units (RSUs). For instance, companies grant employees stock options as a form of compensation. These stock options give employees the right to purchase company shares at a predetermined price within a specific period. The vesting period determines when the employee can exercise these options and acquire the company’s shares. Typically, employees need to work for a certain period of time before their stock options fully vest and become exercisable.

Non-Fungible Token (NFT)

An NFT, or non-fungible token, is a digital asset that represents ownership of a unique item or asset including art, music, in-game items, and other forms of media.

Full definition


An algorithm is a set of well-defined instructions used to perform calculations, accomplish a task, or solve a problem(s). The instructions must be executed in a specific order to produce the desired outcome.

Full definition

ERC-20 Tokens

ERC-20 tokens is the technical standard for fungible digital tokens that run only on the Ethereum blockchain network. They are built on smart contracts that keep track of the tokens created on the Ethereum network.

Full definition