# ADI Token Utility

The $ADI token is the core utility token of the ADI Chain ecosystem, designed to support both Web3-native and enterprise-grade use cases. Its functions are explicitly tied to network operations and ecosystem incentives:

#### 1. Native Gas & Operational Utility

$ADI is the primary gas token for all transactions on ADI Chain (L2) and its associated L3 domains. All smart contract executions, dApp interactions, and transfers require $ADI for gas fees. This is enabled by zkStack’s Custom Gas Token capability, eliminating the need for ETH management.

#### 2. Medium of Exchange

$ADI acts as the settlement currency within the ecosystem, facilitating payments between enterprises, developers, validators, and users.

#### 3. Staking & Yield

Token holders can stake $ADI into a treasury-backed pool to earn rewards. This model avoids minting and supports long-term token value preservation.

{% hint style="info" %}
Discover projects, partners, institutional L3s, dApps, and tools built on or connected to ADI Chain in the [ADI Ecosystem Map](https://ecosystem.adi.foundation/).
{% endhint %}


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