Governance Framework

SOFA.org recognizes the value of decentralized governance within the DeFi ecosystem, and our governance framework empowers our Governance Token holders ($SOFA) with certain decision-making power to steer the protocol's direction.

Furthermore, through the prudent use of multisig wallets, timelock contracts, and reputable voting platforms (Snapshot.org), we strive to ensure that our governance process is transparent, secure, and inclusive.

Core Mechanisms

• Multisig Wallets: Multiple approvals are required from designated community members or stakeholders before transaction executions can occur. This ensures that decisions are made collectively rather than by a single entity, thereby bolstering governance robustness.
• Timelock Contracts: Timelock contracts add a delay between the initiation of a proposal and its execution. This delay provides a window during which the community can review and react to proposed changes, adding another layer of security and governance transparency.
• Snapshot.org: Snapshot is a decentralized voting platform that allows governance token holders to vote on proposals without incurring gas fees. It facilitates community engagement and decision-making by providing a user-friendly interface to carry out governance proposals.
• $SOFA Token: The $SOFA token is at the core of the SOFA governance system. This governance token serves as a right for community members to participate in the voting and decision-making processes of proposed initiatives.

The combination of these tools serves to ensure that SOFA's governance model is operated under a democratic and community consensus. The overriding governance guidelines will be to promote the long-term success and interest alignment of protocol users and stakeholders through token ownership.