The ELX Token

ELX is the future native utility and governance token of the Elixir ecosystem, powering consensus and allowing for holders to direct the future of the network.

With the eventual launch of mainnet, Elixir will fully decentralize. While this includes a fully decentralized network, it also includes community-led governance run by the ELX holders.

The overarching goal will be to 1. create effective governance mechanisms, 2. utilize ELX as a cryptoeconomic security incentive, and 3. make the platform as decentralized and permissionless as possible.

Node / Validator ELX Staking Requirements

The node and validator infrastructure that rests at the core of the network will be driven largely by ELX tokens. All validators and nodes will be required to stake a certain amount of ELX tokens in order to keep their infrastructure active and in good standing. Beyond simply creating demand for the ELX token, this also serves a larger role for the platform's overall security: it aligns incentives.

As broken down within the Network Architecture section, validators ensure the security and proper function of the network. By requiring that these parties stake a non-zero amount of ELX, the network imposes a cryptoeconomic incentive for validators to act honestly.

The Elixir ecosystem relies on ELX for security, making it a crucial component of the platform's architecture.

Governance

The ELX token is also the sole governance token within the ecosystem, granting holders and network participants the ability to propose and vote on proposals shaping future growth of the network.

Potential Fees

Post-mainnet, ELX holders will have full governance rights, as well as control on the direction of any fees the network generates. Governance participants will have the autonomy to choose what these fees are, and where any value captured gets directed.