Covalent X Token ($CXT) is the beating heart of the Covalent Network—a decentralized data infrastructure that provides unified, granular access to blockchain data across 100+ networks. Unlike typical blockchain APIs that focus on raw node access, Covalent indexes entire chains and structures data in a developer-friendly format. The CXT token fuels this ecosystem by incentivizing node operators (called "indexers" and "responders") to stake and serve high-quality, verifiable data. Covalent’s approach bridges the data fragmentation gap, making it easier for builders and analysts to retrieve meaningful blockchain insights.
Covalent’s infrastructure is engineered for speed—indexing entire chains in near real time and serving data faster than most block explorers. With components like the Ethereum Wayback Machine and optimized responder nodes, Covalent has branded itself as the “data layer that speedruns the chain.” This isn't just marketing—developers building in fast-paced environments like DeFi, gaming, and AI rely on Covalent for sub-second data delivery without managing infrastructure.
At its core, $CXT is more than just utility—it’s a governance tool that puts power in the hands of its community. Token holders participate in on-chain decision-making, steering everything from network parameters to economic incentives. This includes determining which blockchains to index and what data modeling standards to adopt. By embedding governance rights into the token, Covalent ensures that infrastructure development remains agile and community-driven, aligning with the evolving needs of the web3 ecosystem.
