Governance tokens in the crypto market often turn into speculative games, with token prices fluctuating based on market sentiment. However, Walrus Protocol's WAL seems to be taking a different approach.

This project divides the token into two sets of functional logic. First is governance rights—holders can participate in key protocol decisions, such as adjusting storage fee rates and setting node rules, which directly impact ecosystem operation; second is functional rights—meaning WAL is not just used for voting but can also be used to perform actual tasks.

How exactly does it work? Staking WAL to become a storage node allows earning data storage rewards and participating in node competitions for incentives; for more private on-chain operations, use WAL to unlock confidential transaction features, protecting your asset information. In this way, the token's value is truly tied to the activity level of the ecosystem, rather than being maintained solely through market speculation.

Even more impressive is the lock-up mechanism. Long-term holders receive higher governance weight and profit sharing, effectively exchanging time for greater influence and earnings. This design helps retain users who genuinely care about the ecosystem, rather than short-term traders. Walrus uses this combination to redefine the value logic of governance tokens—serving as a power proxy, a functional carrier, and a yield certificate. Such a model indeed offers valuable insights for the entire industry.