What is the Media Token (MEDIA)?
MEDIA is the governance and utility token of the Media Protocol & Media Network. In its utility role, MEDIA serves as a medium of exchange between clients and providers. For governance, the decentralized nature of the protocol, which prevents control by a single entity, places oversight in the collective hands of individuals and entities. This democratic structure allows MEDIA token holders to cast votes on decisions important to the protocol.
Exploring the Functions of MEDIA Token
The MEDIA token plays four key roles: as a commitment from registered providers, as a payment method for transactions, as a means for MEDIA holders to participate in the protocol's governance, and for treasury management.
Commitment
Providers who wish to register in a specific marketplace initiated on the Media Protocol must stake a Uniswap V3 Position NFT representing a minimum liquidity value as set by the owner of that marketplace. To mint these NFTs, users must contribute liquidity to the MEDIA/ETH pair on Uniswap V3.
By staking a UNI-V3-POS NFT with the required liquidity and ensuring it is in range, providers become registered for that particular marketplace and are then able to offer services and interact with clients. This staking mechanism is essential for providers to demonstrate their commitment to a specific marketplace and contribute to the trust and stability of the protocol.
Transactions
Providers price their offerings in MEDIA tokens. Clients use MEDIA tokens to secure these offerings, leading to formalized deals. Billing is based on the duration and rate agreed upon in these deals. At the conclusion or cancellation of a deal, tokens are distributed to the provider for services rendered, with any unused tokens returned to the client. This ensures fairness and efficiency in transactions.
Governance
MEDIA token holders guide the Media Protocol's direction. Through a DAO, they can vote on key decisions, influencing the protocol's evolution and policies. For more information, please refer to the governance docs.
Treasury Management
Transaction fees generated within the protocol contribute to a treasury. MEDIA token holders have a say in how these funds are allocated, used, or distributed. Essentially, the MEDIA token allows holders to manage and direct the protocol's financial resources.