Ways in which Polysynth empowers the community to participate in its governance
We want the Polysynth protocol to be owned and governed by its community. The strongest projects distribute their supply to their community members and empower them with the necessary tools and methods to drive the protocol’s long-term growth.
To distribute supply, we have designed trading rewards, arbitrage rewards and staking mechanisms through which all contributors to the protocol can get part of the supply in a fair and evenly manner. The community can then use these governance tokens to make new proposals, vote on existing proposals and have control over:
Allocating liquidity staking funds to arbitrageurs
Due diligence on existing borrowers
Adding new borrowers / removing existing borrowers
Change epoch length or blackout window
Risk parameters on the protocol
Fees & rebate parameters on the protocol
Changing any of the rewards, staking and bonding parameters
Proposing new growth mechanisms
Governance contracts themselves
All POLies are responsible for ensuring that governance decisions are made to grow the protocol in compliance with applicable laws and regulations.
We will be revealing more details on the governance mechanism in months to come.