Chapter 6 provides a comprehensive overview of tokenomics, analyzing the economic models and incentive mechanisms underlying tokens and cryptocurrencies. It explores the classification, functions, supply and demand dynamics, and financial aspects of various token types, including utility, governance, platform, stablecoins, NFTs, and meme coins. The interplay between tokenomics and Decentralized Finance (DeFi) is examined, highlighting considerations such as staking rewards and yields. Innovations such as "play to earn" gaming are covered but also their risks such as sustainability and Ponzi schemes. The impact of community sentiment and conviction on valuation is analyzed through meme coins and viral hype. Overall, this chapter offers crucial insights into the foundational economics of the Web3 ecosystem, grounded in a nuanced understanding of the incentive structures and value drivers behind diverse crypto tokens and assets. Both the technological potential and limitations are critically appraised. The key takeaway is an ability to comprehensively evaluate tokenomics across dimensions such as utility, supply, demand, distribution, financials, sentiment, and regulation.