Vesting Commencement

Vesting commencement is the specific date or event that triggers the start of an asset distribution schedule. It is the point in time from which the vesting clock begins to tick, marking the transition from a locked state to a gradual release state.

Defining this event clearly is essential for legal and technical clarity in token distribution agreements. The commencement can be linked to the project's mainnet launch, a specific fundraising round, or a pre-defined calendar date.

If the commencement is tied to a milestone, it adds a layer of performance-based risk for the recipient. Once the commencement occurs, the smart contract logic governing the release of tokens becomes active.

It is a critical milestone for all stakeholders involved, as it initiates the process of liquidity accrual for the asset holders.