Minting creates new tokens or coins on a blockchain. The word comes from physical coin production, where metal is stamped into a coin. In crypto, minting happens in a few ways. A proof-of-work chain mints new coins as block rewards. A proof-of-stake chain mints coins as staking rewards. A smart contract mints tokens when someone calls the mint function. An NFT is minted when an artist publishes a new piece on-chain.

The rules for minting depend on the protocol. Bitcoin's supply is capped at 21 million, and minting slows every four years until it stops. Ethereum's supply is not capped, but fee burning can offset new issuance. ERC-20 tokens mint according to whatever logic the developer wrote. Some have a hard cap. Some mint infinitely. Some have a mint function that only the owner can call. That last pattern is a centralization risk. If one wallet can mint unlimited tokens, the token has no scarcity guarantee. Read the contract before you buy. The mint function tells you a lot about the project.

Minting in practice

• Block rewards — new coins minted for miners or validators
• Token minting — smart contract creates new tokens
• NFT minting — publishing a unique digital asset on-chain
• Mint function — contract code that controls supply

Minting is not always inflationary. Burning can offset issuance. The net effect depends on the protocol's design.