Token Weighted Strategy
Token-weighted voting is a governance mechanism where participants' voting power is proportional to their holdings of specific tokens.
Process: In token-weighted voting, users' voting influence is determined by the quantity and type of tokens they hold. Each token type may confer a different voting weight, allowing for nuanced decision-making based on token characteristics.
Use Cases: Token-weighted voting is commonly used in decentralized autonomous organizations (DAOs) and blockchain-based governance systems. It enables token holders to directly influence protocol changes, resource allocation, and other governance decisions based on their stake in the network.
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