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What is Minting?

Crypto Terms Glossary: What is Minting?

Minting is a process that is used to create new tokens for a blockchain network. Minting requires no resources and is used to increase the circulating supply. It is often carried out by validator nodes (in systems that contain these types of nodes). Cryptocurrencies that are minted often have no upper supply limit and tend to rely on the constant growth of the project's economic system in order to remain valuable. Crypto minting is similar to the minting of fiat money within the traditional finance and banking process, in that there is in theory no limit to the amount of money that can be printed, except that the printing must be controlled to prevent excessive inflation/devaluation.

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