# Using $DEEEP

The $DEEEP token is designed to be a utility token that will progressively provide value to users of the DeEEP marketplace as the network evolves and expands. It is designed around a flywheel action where alternating cycles of supply and demand drive more adoption in the system.

<figure><img src="https://1998362903-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FEuDZ2zxXJpyX1YOwexzL%2Fuploads%2FbmSW1DIWTndAq8Y6vInb%2Fimage.png?alt=media&#x26;token=67bc8c3e-1171-4182-bd2f-891483dc42ed" alt=""><figcaption><p>DeEEP Network Flywheel Action</p></figcaption></figure>

Our vision is to integrate the $DEEEP token into various aspects of the ecosystem, with a focus on unlocking benefits and driving user engagement. As we grow, we plan to implement the following features and use cases for the $DEEEP token:

1. **Transaction Fees:**
   * [**Hosting Services**](https://docs.deeep.network/earning-usddeeep#hosting-fees)**:** $DEEEP tokens are used to pay for hosting services on the DeEEP marketplace. Service Owners pay for running their nodes and validators, with fees pegged to USD for consistency.
2. **Incentives and Rewards:**
   * **Plug-in Rewards:** Incentivizing early adopters by rewarding the first 50,000 devices onboarded with $DEEEP tokens. The reward structure is tiered, decreasing as more devices are added to the network.
   * **Utilization Rewards:** Allocating tokens to Device Operators based on the effective utilization of their devices. This encourages active participation and efficient use of network resources.
3. [**Governance**](https://docs.deeep.network/introduction/using-usddeeep/governance)**:**
   * [**Voting Power**](https://docs.deeep.network/introduction/governance#voters)**:** $DEEEP tokens are used to participate in the governance process. Token holders can vote on proposals, delegate their voting power to Data Committee members, and influence network decisions.
   * [**Proposal Submission**](https://docs.deeep.network/introduction/using-usddeeep/governance/deeep-resolution)**:** To submit a DeEEP Resolution (DR), a certain amount of $DEEEP tokens must be locked as an initialization fee. This ensures that only serious and well-considered proposals are submitted.
4. **Staking:**
   * **Security and Trust:** Compute Owners may stake $DEEEP tokens as a form of collateral to enhance the security and trustworthiness of their services to meet SLA requirements. Staking can also be an SLA requirement for accessing certain high-value or high-stakes services on the network.
5. [**Community Fund**](https://docs.deeep.network/introduction/using-usddeeep/community-fund)**:**
   * **Development and Growth:** A portion of $DEEEP tokens are allocated to the Community Fund, which supports network growth and community initiatives. This fund can be used for hackathons, community contributions, bug bounties, and partnerships.
   * **Incentivizing Contributions:** The Community Fund can reward developers and contributors who create new service runners, improve network functionality, or enhance security.
6. **Service Discounts and Promotions:**
   * **Device Identity NFT (DIN) Traits:** Traits linked to DINs can provide discounts on services, faster release of rewards, or other benefits. These traits are unlocked based on milestones achieved during the BOX NFT sale.
7. **Monetization of Services:**
   * **Management Fees:** Fees for managing devices and keeping them up to date  and running in line with the SLA. These fees are paid in $DEEEP tokens and can vary based on the service level agreements (SLAs) and performance metrics.
8. **Ecosystem Development:**
   * **Partnerships and Integrations:** $DEEEP tokens can be used to incentivize partnerships with other projects and platforms, integrating new technologies and expanding the ecosystem.
   * **Marketing and Outreach:** Allocating $DEEEP tokens for marketing efforts, user acquisition, and outreach to grow the network and attract new participants.
9. **User Engagement:**
   * **Participation Rewards:** Rewarding community members for their active participation in governance, discussions, and contributions to the network's development and improvement.
10. **Development Bounties:**
    * **Bug Bounties:** Allocating $DEEEP tokens from the [Community Fund](https://docs.deeep.network/introduction/using-usddeeep/community-fund) to bug bounty programs, encouraging developers to identify and report vulnerabilities in the network.
    * **Feature Development:** Offering bounties for the development of new features, integrations, or improvements to the DeEEP Network ecosystem.
11. **Referral and Affiliate Programs:**
    * **Referral Bonuses:** Implementing a referral program where users earn $DEEEP tokens for bringing new participants to the network.
    * **Affiliate Rewards:** Partnering with affiliates to promote NerdNode services and rewarding them with $DEEEP tokens for successful referrals.
12. **Liquidity Provision:**
    * **Liquidity Pools:** Encouraging users to provide liquidity for $DEEEP trading pairs on decentralized exchanges (DEXs) and rewarding them with a share of transaction fees.
    * **Automated Market Making:** Using $DEEEP tokens in automated market maker (AMM) protocols to facilitate trading and improve liquidity.