# DAO Governance

In decentralized crypto projects, governance tokens allow users to vote on key protocol decisions, such as changes to fees, supported assets, or system upgrades. The more tokens you hold, the more voting power you have, meaning your vote carries more weight.

To ensure fair and balanced governance, proposals typically require a minimum number of participants (quorum) to be considered valid. This prevents a small group of users from making changes without community involvement.

To further encourage participation and reward long-term supporters, Paydax uses a tiered voting system. Users who hold more PDP tokens gain multiplied voting power based on their tier.

<table><thead><tr><th width="109.66668701171875">Tier</th><th width="215.1666259765625">PDP Holding  Range </th><th width="174.7222900390625">Voting Power  Multiplier </th><th width="224.27777099609375">Perks </th></tr></thead><tbody><tr><td>Bronze
<br>
</td><td>5K–5K – 5K–10K</td><td>1x (Basic Power)</td><td>Early RWA Access</td></tr><tr><td>Silver</td><td>10K–10K – 10K–30K</td><td>1.5x</td><td>Early LP Access</td></tr><tr><td>Gold</td><td>30K–30K – 30K–60K</td><td>2x</td><td>Cross-Chain Beta Access</td></tr><tr><td>Platinu
m</td><td>60K–60K – 60K–150K</td><td>3x</td><td>VIP Support</td></tr><tr><td>Diamon
d</td><td>$150K+</td><td>5x</td><td>Private Events &#x26; Exclusive
<br>Perks</td></tr></tbody></table>