Explain the Concept of ‘Vote-Escrow’ (Vetoken) and Its Mechanism for Boosting Governance Power

Vote-escrow, or veToken, requires users to lock their governance tokens for a set period, in return for a non-transferable veToken. The longer the lock-up duration, the greater the amount of veTokens received, and thus the greater the voting power and share of protocol fees.

This mechanism incentivizes long-term holding and participation, making governance power a function of time commitment, not just token quantity.