Are governance tokens worth it?

Reasons why governance tokens may be valuable In short, governance tokens convey certain privileges, including: Rights to cash flow: Protocols may charge a fee to their users. These fees are collected, and a governance vote can decide to distribute a portion of fees to token holders, akin to dividends with equities.

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Are governance tokens valuable?

As has been regularly stated by issuers, though, governance tokens have no intrinsic value : they are not utility tokens. Nonetheless, they are highly attractive to many DeFi users, which has supported a steep rise in the price of many of these tokens. This is not least the case for YFI, the governance token of yearn.

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