In the world of blockchain and cryptocurrencies, Gas (GAS) plays a critical role as the utility token powering the NEO ecosystem. This guide provides a detailed overview of GAS, including its purpose, tokenomics, and key features.
What Is Gas (GAS)?
Gas, abbreviated as GAS, is one of the two native tokens built into the NEO blockchain—the other being NEO, the management token. The NEO network aims to build a "smart economy" by digitizing assets using blockchain technology and digital identity, while automating the management of these assets through smart contracts.
GAS represents the right to use the NEO blockchain. It is used to pay for operations such as asset issuance and the execution and storage of smart contracts. Unlike NEO, which is used for governance, GAS serves as the fuel that powers transactions and computational processes within the ecosystem.
GAS is generated automatically through a decay algorithm over approximately 22 years, distributed to addresses holding NEO tokens. It exists in two states: claimable and unclaimable. When NEO is transferred, the accumulated GAS becomes claimable and can be transferred to the holder’s address through a claim transaction.
Key Features of Gas (GAS)
GAS is essential for maintaining the functionality and security of the NEO network. Below are some of its defining characteristics:
- Resource Control: GAS is used to manage network resources, preventing abuse and ensuring efficient operation.
- Economic Incentives: Fees paid in GAS reward network validators and maintainers.
- Decay-Based Generation: GAS is issued gradually over time, aligning with the long-term vision of the NEO ecosystem.
Tokenomics and Distribution
GAS has a maximum supply of 100 million tokens. At the genesis block of the NEO network, all 100 million NEO tokens were created, but GAS had not yet been generated. The total supply of GAS is being distributed over 22 years to NEO holders.
- Circulating Supply: Approximately 67.83 million GAS
- Max Supply: 100 million GAS
- Current Price: $2.81
- 24-Hour Trading Volume: $6,435,967
- Market Cap: $190,925,047
GAS is divisible, with the smallest unit being 0.00000001, whereas NEO is indivisible.
How Is GAS Used?
GAS has several core utilities within the NEO ecosystem:
- Paying fees for asset creation and transfers
- Compensating for smart contract deployment and execution
- Serving as a deposit for consensus node candidates
- Prioritizing transactions: Users without digital identity can pay GAS for faster processing
The network allows certain small transactions and smart contracts to be exempt from fees, improving user experience. However, during periods of high demand, GAS ensures fair and prioritized access to resources.
Market Performance and Data
As of the latest data, GAS has a market capitalization of over $190 million. Its price fluctuates based on market demand, network usage, and broader cryptocurrency trends. Over a 24-hour period, the token experienced a decline of 3.16%, reflecting the volatile nature of digital assets.
For those interested in tracking real-time metrics and historical trends, 👉 explore live market data tools designed for cryptocurrency analysis.
Frequently Asked Questions
What is the difference between NEO and GAS?
NEO is the governance token of the NEO blockchain, used for voting and decision-making. GAS, on the other hand, is the utility token required for conducting transactions, running smart contracts, and accessing network resources.
How can I claim my GAS tokens?
GAS is automatically accumulated by NEO holders. When you transfer NEO, the generated GAS becomes claimable. You can then initiate a claim transaction to receive GAS into your address.
What determines the value of GAS?
The value of GAS is influenced by network demand, the number of transactions and smart contracts deployed, market sentiment, and the overall adoption of the NEO platform.
Can GAS be mined?
No, GAS cannot be mined. It is generated through a fixed decay algorithm and distributed to NEO holders over time.
Is GAS used only for transaction fees?
While transaction and smart contract fees are primary uses, GAS also serves as a staking asset for node operators and helps prioritize network operations.
Where can I securely store GAS tokens?
GAS can be stored in any wallet that supports NEP-5 tokens or is compatible with the NEO blockchain. Always choose reputable wallets with strong security features.