Utility mining is a token distribution method in which a project rewards users with its own tokens for using its product, for example by trading on an exchange, making transactions or paying fees. The word "mining" is borrowed loosely: no hardware or proof of work is involved, and the "work" is simply activity on the platform. The aim is to put tokens in the hands of real users and build early activity, a goal shared with liquidity mining and airdrops. The main weakness is that rewards tied to activity invite fake activity. Around 2018 some exchanges that refunded fees in their own tokens saw users trade with themselves to farm rewards, which inflated reported volume through wash trading. Also see tokenomics.