NFT holders often lean toward participating in on-chain governance rather than solely treating their assets as collectible investments. Governance offers a say in project direction, fostering community engagement and influence over protocol decisions. Data from platforms like Snapshot and Tally shows active voting by NFT holders in DAOs like Bored Ape Yacht Club or Decentraland, with participation rates sometimes exceeding 30% in key proposals. This contrasts with passive holding for price appreciation, as governance aligns with long-term project success and utility. Holders engaged in governance often seek to shape ecosystems, enhance NFT utility, or unlock exclusive benefits, rather than just speculating on market value. However, participation varies by project, with some holders prioritizing short-term gains over governance roles.