System will only go live with the launch of the ACM governance token

Governance of the Acumen Protocol is managed through a tiered DAO system comprised of the Senior and Junior DAO. Membership in the Junior DAO is possible through staking the Acumen governance token ACM in the DAO Membership Vault as outlined in the DAO Membership section of the docs. The Acumen Senior DAO is comprised of the founding team and general partners.

The Junior DAO has the authority to create proposals spanning various aspects of the Acumen Protocols functionality. The designated threshold for Junior DAO members to be able to cast proposals is at total of 1,000 staked ACM tokens. The categories for proposals are outlined below:

  • Smart contract changes: The Junior DAO can propose changes to the code of all Acumen Protocol smart contracts

  • Protocol parameter changes: The Junior DAO can propose changes to the workflow and functionality of the Acumen Protocol

  • Excess revenue reward ratio: The Junior DAO can propose adjustments to the excess revenue reward ratio paid out to DAO Members

  • Token buy back rate: The Junior DAO is able to propose adjustments to the rate at which the Acumen governance token ACM is bought back by the DAO

Once a proposal is made it is discussed over a one-week period in the Junior DAO community forum where all users of the Acumen Protocol are able to review and comment on the proposal. Then the proposal is put up to a snapshot vote where Junior DAO Members can give their position on the proposal. A proposal must garner 60% of the vote to be accepted with at least a 10% turnout from Junior DAO Members.

Once a proposal is accepted by the Junior DAO it is put before the Senior DAO who democratically vote on the proposal. Upon acceptance or denial, the majority of the vote issues a statement with the reasoning for the decision to create transparency within the governance process.

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