Governance tokens give owners the ability to influence decisions that affect the core protocol, product or feature roadmap, hiring and staffing, and changes in governance parameters.
“Governance” mainly includes changes to the protocol code, such as increasing the block size or inflation rate. In most cases, users can then vote on these decisions with their tokens (1 token = 1 vote).
The launch of a governance token offers the opportunity to effectively involve the community in the decision-making process. The largest governance tokens by market capitalization can be found here.
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