web3/concepts/governance-token.md

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# Governance Token
A [bearer instrument](bearer-instrument.md) token which grants holders of the token the capacity to "vote" in a [smart-contracts](smart-contracts.md) implementation of a [DAO](dao.md) or other [DeFi](defi.md) protocol.
Governance tokens are imitations of voting shares [stock](stock.md) as seen in regulated [security](security.md).
## References
* Chen, Liang, Tony W. Tong, Shaoqin Tang, and Nianchen Han. 2022. Governance and Design of Digital Platforms: A Review and Future Research Directions on a Meta-Organization. Journal of Management 48 (1): 14784. https://doi.org/10.1177/01492063211045023.
* Crepaldi, M. 2020. The Authority of Distributed Consensus Systems Trust, Governance, and Normative Perspectives on Blockchains and Distributed Ledgers. PhD Thesis. http://amsdottorato.unibo.it/9432/.
* El Faqir, Youssef, Javier Arroyo, and Samer Hassan. 2020. An Overview of Decentralized Autonomous Organizations on the Blockchain. PervasiveHealth: Pervasive Computing Technologies for Healthcare, August. https://doi.org/10.1145/3412569.3412579.
* Rikken, Olivier, Marijn Janssen, and Zenlin Kwee. n.d. The Ins and Outs of Decentralized Autonomous Organizations (Daos). Available at SSRN 3989559. https://papers.ssrn.com/sol3/papers.cfm?abstract_id=3989559.