> For the complete documentation index, see [llms.txt](https://gatekey.gitbook.io/whitepaper/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://gatekey.gitbook.io/whitepaper/2.2-locking-rules.md).

# 2.2 Locking Rules

Commitment Through Structured Token Locking

The GateKey protocol uses a locking-based mechanism to establish and maintain membership tiers. Locking ensures that participation reflects measurable commitment rather than temporary token holding. By locking GKT tokens, users activate their membership status and gain eligibility for rewards and participation privileges.

Locking serves as the foundational mechanism that supports tier assignment, reward distribution, and governance participation. All locking operations are executed through smart contract logic, ensuring predictable behavior and eliminating manual intervention.

***

#### **Token Locking Process** <a href="#token-locking-process" id="token-locking-process"></a>

To activate membership, users must lock GKT tokens into the protocol using a supported wallet interface. Once tokens are locked, they remain within the protocol under predefined rules until they are unlocked by the user.

The locking process generally follows these steps:

1. The user connects a supported wallet to the protocol interface.
2. The user selects the number of GKT tokens to lock.
3. The locking transaction is confirmed on-chain.
4. The protocol records the locked balance.
5. Membership tier eligibility is determined during the next snapshot cycle.

Once the transaction is confirmed, the user's participation status becomes active and measurable by the protocol.

***

#### **Minimum Locking Thresholds** <a href="#minimum-locking-thresholds" id="minimum-locking-thresholds"></a>

Membership tiers require specific minimum staking balances. Users must maintain these thresholds in order to remain eligible for their selected membership tier.

Typical threshold ranges include:

* Starter Tier — Minimum 10,000 GKT
* Pro Tier — Minimum 50,000 GKT
* Elite Tier — Minimum 200,000 GKT

These thresholds allow the protocol to differentiate levels of participation while maintaining fairness across users.

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#### **Epoch-Based Validation** <a href="#epoch-based-validation" id="epoch-based-validation"></a>

GateKey uses periodic epochs to evaluate staking balances and assign membership tiers. During each epoch cycle, the protocol records user balances and determines eligibility based on locked token amounts.

At the beginning of each epoch:

* The protocol records a balance snapshot
* Membership tiers are validated
* Reward eligibility is calculated
* Participation rights are confirmed

This periodic validation model ensures that all users are evaluated consistently across defined time intervals.

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#### **Unlocking and Withdrawal** <a href="#unlocking-and-withdrawal" id="unlocking-and-withdrawal"></a>

Users retain control over their locked tokens and may withdraw their tokens at any time according to protocol rules. When tokens are unlocked, the user's membership status may change depending on the remaining balance.

If the remaining balance falls below a tier requirement:

* Membership tier may downgrade
* Reward eligibility may adjust
* Governance participation rights may change

These adjustments occur during the next epoch cycle to maintain system consistency.

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#### **Early Unlock Conditions** <a href="#early-unlock-conditions" id="early-unlock-conditions"></a>

In order to support protocol stability and discourage short-term participation behavior, early unlocking events may include defined protocol fees.

When tokens are withdrawn before completing a full participation cycle:

* A protocol-level fee may be applied
* The fee is transferred to the protocol treasury
* Remaining tokens are returned to the user wallet

This mechanism helps maintain fairness across participants and supports long-term sustainability of the reward system.

***

#### **Snapshot Integrity** <a href="#snapshot-integrity" id="snapshot-integrity"></a>

Snapshots are critical to maintaining transparency within the locking system. Each snapshot records token balances at a specific point in time and is used to determine membership eligibility and reward calculations.

Snapshots provide several important benefits:

* Prevent reward manipulation
* Ensure fair tier assignment
* Maintain historical participation records
* Support transparent governance processes

This approach allows the protocol to operate with predictable outcomes across all users.