# DYDX Token DYDX is the dYdX Chain's Layer 1 token, as adopted by the dYdX community, through dYdX governance ([Snapshot](https://snapshot.org/#/dydxgov.eth/proposal/0x17026e18317dc29fe745d3130246a83b1485612da9c97e7261e8f659cf33663c) and [on-chain](https://dydx.community/dashboard/proposal/15)). DYDX, the dYdX Chain's L1 token, serves three key purposes: Staking, Security, and Governance. 1. Staking: DYDX holders have the option to serve as validators (and self-delegate) or to delegate their stake to existing validators. Such delegation increases the likelihood of the chosen validators entering or staying in the active validator set, thereby becoming a participant in the network’s consensus process. 2. Security: Staking DYDX directly contributes to dYdX Chain security. As more DYDX holders choose to stake their tokens across a diverse range of validators in the network and the total amount of stake on the network increases, it becomes increasingly difficult for a coordinated attack to influence a consensus decision. 3. Governance: DYDX empowers DYDX holders to propose and vote on proposals, directly influencing the evolution of the dYdX Chain through a democratic process. The subject matter of proposals can vary from changing a governable parameter on the dYdX Chain, spending dYdX community funds, and updating the software that dYdX Chain nodes are running, among other things. --- # Agent Instructions: Querying This Documentation If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question. Perform an HTTP GET request on the current page URL with the `ask` query parameter: ``` GET https://docs.dydx.community/dydx/start-here/dydx-token.md?ask= ``` The question should be specific, self-contained, and written in natural language. The response will contain a direct answer to the question and relevant excerpts and sources from the documentation. Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.