> For the complete documentation index, see [llms.txt](https://matterverse.gitbook.io/matterverse-whitepaper/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://matterverse.gitbook.io/matterverse-whitepaper/community-tokenomics/the-dual-token-model.md).

# The Dual Token Model

### Overview

Matterverse uses a "Dual Token Model" in order to help creators, players, brands, and token holders get the best from our metaverse.&#x20;

\#MATT is the staking token that holders wish to hold and stake, because it represents the value of our platform and is expected to grow. #VRSE is the spending token that players can easily earn and spend in the game, being used as the native currency in MatterCity.

<table><thead><tr><th width="168.33333333333331"></th><th>MATT</th><th>VRSE</th></tr></thead><tbody><tr><td>Description</td><td>Governance Token to purchase land &#x26; pioneer passports and participate in the MatterCity governance</td><td>Utility Token used to perform in-game tasks, purchase sing-use items, and earn from our reward issuance</td></tr><tr><td>Total Supply</td><td>2 billion</td><td>Unlimited</td></tr><tr><td>Token Model</td><td>Deflationary</td><td>Variable</td></tr><tr><td>Use Case</td><td>Invest &#x26; Stake</td><td>Earn &#x26; Spend</td></tr></tbody></table>

### How the Dual Token Model Improves our Ecosystem

Separating the governance token and utility token allows us to avoid compliance issues and improve the overall game experience.&#x20;

In many countries/regions, a token will be under strict securities regulations especially if it is a governance token and also used in fundraising. This will make the platform's operation too inflexible to adjust mechanisms in the game.

Also, as holding and staking the #MATT token will bring more returns to its token holders, we might see a "hoarding effect" where fewer players are willing to spend the token and causing the delays in our in-game circular economy.

Overall, this dual token model protects the interests of all stakeholders and participants of Matterverse.&#x20;
