The SDL token serves three primary purposes within the stake.link ecosystem:

• Fee sharing: Staking SDL entitles holders to a share of the platform’s total fees. This portion scales in direct proportion to the volume of LINK and rewards present in the protocol.
• Governance: Holders influence the platform’s direction by voting on future fee structures and participation rules. They actively shape development by proposing, debating, and refining SLURPs, electing Governing Council Members, and weighing in on critical decisions. The token also streamlines reward distribution, ensuring stakers are compensated for providing collateral to Providers, while Providers receive incentives for offering their staking capacity.
• Priority access: Staking SDL grants users first-in-line status for depositing LINK. This allows them to secure guaranteed staking allocations from the queue whenever new space becomes available.