A governance token swap is a process where holders of one governance token exchange their tokens for another. Governance tokens are used in decentralized projects to allow holders to vote on decisions regarding the project’s development, funding, and other key aspects. Swaps typically occur for various reasons, such as project migration, token upgrades, or the introduction of a new governance structure. For example, a project may launch a new version of its token to improve functionality or to better align with community goals.Participating in a token swap often involves specific steps, such as depositing the old tokens into a designated platform and receiving the new tokens in return. This process may also come with certain timelines or conditions to ensure participants can successfully transition to the new token.Ultimately, governance token swaps facilitate community involvement in evolving projects and help maintain a decentralized decision-making process. Such exchanges can impact the token’s market dynamics and the overall health of the project.