Utility Token
Interaction with DApps and services
Type: Utility Token
Function: An asset used for interaction with applications and services on a network. It is used for all transaction (gas) fees on the network.
Use Cases: On the POA Network, POA tokens are used for all network related functionality. This includes on-chain governance related transactions (proposing votes, voting, and finalizing votes), bridge transactions, and interactions with other applications deployed to the network. For example, DopeRaider players pay for in-game items with POA, and Snailfarm players spend and earn POA through gameplay.
Applications can also deploy to the POA network and issue their own tokens but use POA as the underlying platform. Geon uses this strategy with their augmented reality application. Transactions are paid for behind the scenes using POA, but players only interact with the deployed coin. Kauri.io is also using POA to pay for meta-transaction fees.
What is Possible? Applications deployed to POA have only scratched the surface for potential POA token uses. Marketplace functionality, property registration, on-chain legal agreements, and many more potential use cases are attainable. Because POA Network is an EVM chain, smart contracts deployed to the Ethereum mainnet can also be deployed to POA with minimal changes. The functionality is the same, but instead of using ETH the contracts can use POA to power their DApps.
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