What is the role of AVAX in governance within the Avalanche network?

What is the role of AVAX in governance within the Avalanche network?

Blog Article

AVAX plays a central role in the governance of the Avalanche network. Token holders can vote on key protocol upgrades, fee structures, and other decisions that influence the direction of the network. This decentralized governance structure ensures that AVAX holders have a say in the network's future, which can drive increased engagement and long-term loyalty from its community. As more people participate in the governance process, the AVAX price can be affected by decisions that improve or expand the network’s capabilities.