Governance

The decentralization of the project will be structured in 3 stages as follows:

1. Early days - during this period, the team is in full control of the project, and no voting is done. This is because there will be bugs and events which require immediate hotfixes, and this cannot be done really democratically.

2. Semi-decentralization - during this period, the team is still in complete control of the project and can deploy hotfixes as above, but the community is responsible for decisions related to charitable funds. It can give input via a forum and via off-chain voting like a snapshot - https://snapshot.org/#/

During phases 2, voting will be done via vote escrowed (ve) tokens. VE tokens were first pioneered by Curve and later adopted by multiple large protocols such as yEarn and Balancer to great success.

In a nutshell, ve tokens are locked for a very long duration, granting a huge increase in voting power to the person locking the tokens. The interesting thing about the system is that the locked tokens do not necessarily need to be the project tokens themselves. Instead, they can be a derivative of the project token. For example, when Balancer does ve, the tokens used are the LP tokens from the 80/20 BAL/ETH pool.