Hard cap
The maximum supply a cryptocurrency protocol permits, enforced by consensus rules or token contract logic.
- Also known as
- maximum supplymax supply
A hard cap is a fixed upper bound on total supply. For proof-of-work coins like Bitcoin and Bitcoin Cash, consensus rules enforce it through a subsidy schedule that declines over time and eventually stops issuing new coins.
A hard cap makes issuance predictable, but scarcity alone does not create value. Demand, security, liquidity, utility, and trust in the rules all matter.
Related terms
4 linkedExplore connected entries beyond the alphabetical index.
Emission Schedule
→An emission schedule defines when and how quickly new coins or tokens enter circulation.
Halving
→A scheduled reduction in block subsidy that cuts new coin issuance, often by half, at predetermined block heights.
Fair Launch
→A fair launch distributes a token or project without privileged insider allocation, pre-mine, or private sale advantages.
Inflation
→A sustained rise in the general price level, reducing a currency's purchasing power over time.
All terms and definitions may update as the Cryptionary improves.
