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  1. Home
  2. /Glossary
  3. /Gauge System
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defi

Gauge System

A mechanism where token holders vote on how protocol incentives (emissions) are distributed across different pools.

Definition

A mechanism where token holders vote on how protocol incentives (emissions) are distributed across different pools. Curve pioneered the gauge system with its weekly votes. Protocols compete for gauge votes because directing emissions to their pool attracts more liquidity. This sparked the Curve Wars.

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Related Terms

Curve Wars

The competition between DeFi protocols to accumulate voting power on Curve Finance to direct token emissions to their pools.

Ve-Tokenomics

A token model where you lock tokens for a period to receive vote-escrowed (ve) tokens that grant governance power and boosted rewards.

Governance Token

A token that gives holders voting rights in a protocol's decision-making.

1inch

A DEX aggregator that splits trades across multiple decentralized exchanges to find the best overall price.

Aave

One of the biggest lending and borrowing protocols in DeFi.

Across Protocol

A cross-chain bridge that uses an optimistic verification system and a network of relayers to move tokens between chains quickly.

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