# PWR Coin Utility

* **Network Security (Validator Nodes & Delegators)**
  * Validators and delegators stake PWR Coin to secure the network.
  * Staking contributes to network integrity and earns rewards.
  * Encourages long-term commitment and aligns incentives with the chain’s health.
* **Decentralized On-chain Governance**
  * Token holders use PWR Coin to vote on proposals affecting the network.
  * Ensures a transparent and democratic process for protocol upgrades, fee adjustments, and other governance matters.
* **Transaction Fees**
  * PWR Coin is used to pay transaction fees for network operations.
  * Covers fees for deploying decentralized applications, managing wallet security features, storing data, and enabling cross-chain interoperability.
  * Ensures costs are distributed fairly among users and resources are allocated efficiently.
* **Additional Fees & Network Services**
  * **Proposal Creation & Governance Actions**
    * Incur fees when creating or modifying proposals within the governance framework.
    * Ensures that only well-considered changes are introduced to the network.
  * **Early Withdrawal**
    * Delegator withdrawals undergo a 7-day lock period. Acknowledging that exceptional circumstances may arise, the network allows participants to withdraw staked assets early (4, 5, or 6 days) by accepting a penalty on staked funds, balancing individual liquidity needs with the network’s sustainability.
  * **VIDA Claiming & ID Management**
    * VIDAs on the PWR Chain require an ID that must be purchased to secure ownership and prevent spam claims.
* **Staking by Conduit Nodes**
  * Conduit nodes, essential for relaying transactions between VIDAs and the PWR Chain, must also stake PWR Coin.
  * Reinforces network reliability by ensuring nodes are invested in the chain’s security and performance.
* **Conduit Fee Payments**
  * PWR Coin is used to pay transaction fees when conduits send votes and VIDA requests to PWR Chain.
  * VIDA's reward their conduit nodes with PWR Coin.
  * VIDA's can chose additional forms of assets to reward their conduits (Coins and NFTs), but PWR Coin is the base for rewards.


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