> ## Documentation Index
> Fetch the complete documentation index at: https://gencyai.mintlify.site/llms.txt
> Use this file to discover all available pages before exploring further.

# Token Utility

### 1. Network Security & Access

**Staking** Nodes participating in computation, verification, and auditing must stake \$GAI. Staking determines task eligibility, capacity allocation, and reputation weight within the network.

**Slashing & Penalties** Malicious or non-compliant behavior—such as invalid execution, falsified proofs, or service refusal—results in slashing. Penalties may include token burn and exclusion from future tasks.

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### **2. Resource Coordination**

**Compute Allocation** \$GAI is used to coordinate access to network resources, including computation capacity and query execution priority under constrained conditions.

**Priority Mechanism** Under high demand, staking and reputation influence scheduling priority and access to execution resources.

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### **3. Protocol Governance**

**Parameter Governance** – Privacy constraints (e.g., k-anonymity thresholds, ε limits) – Network fees and economic parameters

**Protocol Evolution** – Upgrades and version control – Integration standards and compliance templates – Migration and deprecation policies

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### **4. Incentives and Value Distribution**

**Verifiable Contribution Rewards** Participants contributing computation, verification, or ecosystem integration receive \$GAI rewards based on verifiable receipts (VUR).

**Penalty and Incentive Balance** The system aligns incentives and penalties through staking, slashing, and reward distribution, ensuring that only valid and verifiable work is compensated.