What is GateToken (GT)?

Deep Dive

1. Purpose & Value Proposition

GT serves as the backbone of GateChain, a blockchain prioritizing asset security and scalability. It enables users to pay transaction fees, participate in staking for network security, and vote on governance proposals. The token’s utility expanded with the launch of Gate Layer, a Layer 2 network that leverages GT as its exclusive gas token. This positions GT at the center of a growing ecosystem supporting DeFi, trading, and cross-chain interoperability.

2. Tokenomics & Governance

GT employs a dual deflationary mechanism:
- Scheduled burns: Quarterly burns based on platform revenue, with over 60% of the original 300 million GT supply already destroyed (GateToken Burn Report).
- On-chain burns: Transaction fees on Gate Layer are burned via EIP-1559, mirroring Ethereum’s fee model.
Governance is decentralized, allowing GT holders to propose and vote on upgrades, fee structures, and ecosystem initiatives.

3. Technology & Ecosystem

GateChain’s architecture combines a secure Layer 1 (for settlement) with Gate Layer, a high-speed Layer 2 built on OP Stack. Key features:
- EVM compatibility: Developers can deploy Ethereum-based dApps with minimal changes.
- Performance: Processes 5,700+ TPS with 1-second block times and fees 20–60x lower than competitors like BSC or Solana (Gate Layer Launch).
- Flagship products: Includes Perp (derivatives trading), Gate Fun (no-code token launches), and Meme Go (meme token platform), all fueled by GT.

Conclusion

GateToken is the linchpin of a vertically integrated blockchain ecosystem bridging secure settlement (Layer 1) and scalable applications (Layer 2). Its deflationary mechanics and expanding utility reflect a deliberate strategy to align GT’s value with ecosystem growth. With Gate Layer now live, can GT’s role as a gas token drive sustained adoption across its Web3 product suite?