$OP OP Coin, the native governance token of Optimism (OP), is a Layer 2 scaling solution on the Ethereum network. Optimism aims to reduce the load on the Ethereum network, lower transaction costs, and increase throughput through Optimistic Rollup technology. OP Coin is primarily used for governance purposes, allowing token holders to participate in voting on proposals and changes to the Optimism network, thus having a say in the platform's development and governance.
The main features of OP Coin include:
• Governance Functionality: OP Coin holders can vote on proposals and changes to the Optimism network, influencing its development direction.
• Technical Features: Optimism employs Optimistic Rollup technology, a Layer 2 scaling technique that ensures security through fraud proofs. This technology allows for fast and inexpensive transactions while maintaining compatibility with Ethereum.
• Token Distribution: The initial total supply of OP Coin is 4,294,967,296, with an annual inflation rate of 2%. Token distribution includes ecosystem funds (25%) and retroactive public goods funding (20%) among others.
• Airdrop Activity: Optimism conducted an airdrop when OP Coin was launched, sending free tokens to eligible addresses to reward early users and other participants within the Ethereum ecosystem.