Tensor

Tensor (TNSR) serves several functions within the Tensor ecosystem:

Governance:

TNSR is the primary governance token, enabling holders to propose and vote on Tensor Improvement Proposals (TIPs). These proposals fall under three categories:

• Protocol: Changes to trading fee structures or fee splits between protocols and front-end platforms.
• Process: Adjustments to governance rules or decision-making procedures within Tensor DAO.
• Operations: Initiatives for branding, marketing, and community growth.

Governance proposals are discussed on a dedicated forum before voting on Realms (a Solana-based DAO platform), followed by review by a security council for final execution. Proposals need 10 million TNSR votes to pass and are subject to a cool-off period to allow changes to votes before finalisation.

Trading Discounts:

TNSR provides users with a 25% reduction in protocol fees when listings are created with TNSR, incentivising its use for trading.

Ecosystem Development:

TNSR holders control the token supply and can vote on inflation rates if necessary to replenish the community treasury.