The J-curve describes trajectories that dip before rising sharply, used to explain early underperformance followed by growth in projects and token economies.
Early-stage projects can face initial costs, low network effects, or dilution before momentum compounding leads to accelerated value creation, forming a J-shaped path over time.
"Token emissions can depress price initially, but as distribution broadens and utility grows, value can recover and accelerate."
"User growth often lags infrastructure investment, then rises quickly once thresholds are crossed."
The J-curve frames expectations for investors and builders, emphasizing patience and metrics beyond short-term price.
"Projects communicate J-curve dynamics in roadmaps to set realistic milestones."
"Treasury management can stagger incentives to smooth the early dip."
All terms and definitions may update as the Cryptionary improves.