Quote from: springshower on December 30, 2020, 08:57:01 PM

I'm pretty new to crypto, but one thing I often hear about is the utility of "governance" tokens. Does anyone have any examples of the governance system being clearly successful/negative for a project?

Any more personal stories of votes going against you, and it mattering?

A token having a governance mechanism, means it offers voting power to community members, that is to say, the community members can vote on certain things in the platform, also, it means the team can't take some actions without the community voting on it. Also, to be able to vote, you will need to hold a certain amount of tokens, therefore this can indirectly make the token valuable since people will buy to vote hence increasing the volume. Although mare looking at it, it have other advantages such that if the team are genuine, they won't mess around with the project but however, it also have its own disadvantages such that, holding a very large amount will afford the holder some sort of centralized powers to vote, and that leads to manipulation towards the holder's favour. Also, these governance tokens increases in their numbers during this DeFi era where most team used it as a means to attract more users without having any good use case.