Definition ∞ Voting power represents the weight or influence an individual or entity holds in a decision-making process within a decentralized system. This influence is often proportional to the amount of tokens or staked assets they possess in token-weighted governance models. It determines the extent to which a participant’s choice contributes to the final outcome of a proposal. This metric is central to understanding control distribution in decentralized autonomous organizations.
Context ∞ In crypto governance, the distribution of voting power is a constant subject of debate and analysis, frequently appearing in news related to decentralized autonomous organizations. Concerns about the concentration of voting power among a few large holders often lead to discussions about governance reforms. The effectiveness and fairness of a protocol’s decision-making heavily depend on how voting power is allocated and utilized.