What Is Token Dilution?

Token dilution happens when new token supply changes the relative ownership position of existing holders. In crypto, dilution is often treated like the enemy in itself. The more useful distinction is between normal new issuance and forced dilution.

Forced dilution is what happens when new supply arrives in a way that existing holders cannot realistically defend against. That is where trust breaks. That is why Mammoth focuses on rights-based anti-dilution and bounded issuance cycles.

The goal is not to pretend future fundraising never happens. The goal is to structure it more fairly.