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Lesson # 5

Token Design & Financial Game Theory

Blockchain Basics

1. What does “high token emissions” usually lead to without strong demand or utility?

A. Higher token price

B. Price stability

C. Sell pressure and inflation

D. Increased staking rewards

2. Which of the following is a characteristic of real yield?

A. Paid from token printing

B. Backed by protocol fees in stablecoins or ETH

C. Based on airdrops

D. Generated through referral bonuses

3. Why is it risky when a large % of a token’s supply is still locked with VCs or the team?

A. It increases transaction fees

B. It leads to smart contract bugs

C. It creates future unlock sell pressure

D. It reduces token utility

4. What type of token utility typically supports long-term demand?

A. Airdrops

B. Auto-staking

C. Real yield from protocol fees

D. Unlimited supply

5. Which of the following token models supports sustainability without relying on emissions?

A. Inflation-based with farming incentives

B. Fixed supply with revenue-sharing mechanisms

C. Emission-heavy with reflexive APY

D. Auto-rebase supply expansion

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