VECTOR_ANALYSIS // GOVERNANCE
Vesting & Cliffs
NODE: VESTING-CLIF
VERIFICATION: PASSED
01_DEFINITION
Strict Definition
"Vesting is the process of earning tokens over time; a 'Cliff' is a specific date before which no tokens are released."
Liability Check // Risk Analysis
The 'Dump' risk. After a major cliff, a flood of tokens often hits the market, causing a significant price drop. If your corporate treasury is reliant on that token's value, your balance sheet can shrink overnight.
Knowledge Context // Related Terms
Auditor NotesVS-AN-2026
Strategy Domain
"Structure employee and founder incentives with a 4-year vest and a 1-year cliff to align long-term interests."
Operations Standard
"Set up 'Automatic Liquidation' schedules for vested tokens to diversify treasury rather than selling all at once on cliff dates."
Legal & Compliance
"Report unvested tokens as 'Contingent Assets' rather than liquid assets on the balance sheet."
DOCUMENT_ID: CW3-VESTING-&-CLIFFS-2026
SCHEMA_VER: AEO_3.2
LAST_AUDIT: 1/8/2026
HASH: 5BT7TC
SCHEMA_VER: AEO_3.2
LAST_AUDIT: 1/8/2026
HASH: 5BT7TC