> For the complete documentation index, see [llms.txt](https://ottochains-organization.gitbook.io/ottochain-documentation/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://ottochains-organization.gitbook.io/ottochain-documentation/how-ottochain-works/tokenomics-and-economic-incentives.md).

# Tokenomics and Economic Incentives

Ottochain implements a carefully designed tokenomics model to incentivize various stakeholders within the ecosystem. The native token, OTTO, serves as a utility token for transaction fees, staking, governance participation, and ecosystem incentives. Through mechanisms such as staking rewards, token burning, and treasury management, Ottochain promotes a sustainable and balanced economic system. Token holders are rewarded for active participation and contribution to the network, creating a vibrant and self-sustaining ecosystem.

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