Governance (Coming soon)

governance philosophy governance in tokenflow is designed to be local, not global each index (vault) governs itself through its fundshare token holders there is no overarching tokenflow dao that dictates global parameters transparent and on chain all proposals, votes, and executions occur through verifiable smart contracts secure yet adaptable governance is protected by time locks and role separation but can evolve through community consensus this modular approach means tokenflow isn’t a single monolith — it’s a network of autonomous funds , each run by its investors and supported by shared infrastructure governance structure overview layer scope controlled by description vault governance (per fund) vault parameters fundshare token holders controls weights, fees, assets, treasury usage protocol guardian (multi sig) emergency & deployment core team & partners can pause faulty vaults or update base templates fundmanager registry factory + discovery core team adds/removes vaults; ensures parameter compliance only vault level governance impacts fund behavior the protocol level controls exist purely for security, compliance, and template management , not to override community decisions governance token the fundshare the fundshare token doubles as a governance asset holding it gives you voting power proportional to your share of the fund’s total supply function role proposal creation submit changes to vault configuration voting approve or reject proposed actions execution automatically trigger accepted changes on chain delegation assign voting power to another address quorum enforcement ensure minimum participation for proposal validity unlike governance tokens in other protocols, fundshares are directly backed by fund assets — making governance power economically aligned with actual stake in the fund’s success governance parameters (default values) governance parameters (default values) parameter parameter default default description description proposal threshold proposal threshold 0 5% of total supply 0 5% of total supply minimum tokens required to submit a proposal minimum tokens required to submit a proposal quorum requirement quorum requirement 5% of total supply 5% of total supply minimum votes needed for approval minimum votes needed for approval voting period voting period 7 days 7 days duration of open voting duration of open voting timelock delay timelock delay 48 hours 48 hours waiting period before execution after approval waiting period before execution after approval execution role execution role timelock contract timelock contract executes approved proposals automatically executes approved proposals automatically emergency pause emergency pause guardian multi sig guardian multi sig can pause mint/redeem if critical risk detected can pause mint/redeem if critical risk detected all parameters can be adjusted via governance, within protocol enforced limits all parameters can be adjusted via governance, within protocol enforced limits proposal lifecycle the governance process is intentionally simple and transparent 1\ proposal creation a user holding at least 0 5% of the vault’s fundshares can submit a proposal each proposal includes action type (e g , updateweights, setfees, treasuryspend) detailed rationale list of affected smart contract functions proposed execution data the proposal is recorded on chain and announced via the vault’s governance feed 2\ voting period voting opens immediately and remains active for 7 days by default holders can vote for , against , or abstain voting power = fundshare balance at proposal start block votes can be delegated to other wallets or daos voting ui can be integrated into tokenflow’s web app or any defi dashboard using the getproposals() api 3\ proposal outcome after the voting period ends if quorum not met → proposal expires if quorum met and majority in favor → proposal moves to timelock if majority against → proposal fails and cannot be re submitted for 14 days 4\ timelock period a mandatory 48 hour delay exists between approval and execution this buffer gives time for public review and verification allows the guardian to pause execution if a malicious action is detected 5\ execution after the timelock, the proposal executes automatically through the vault’s executor contract execution emits a proposalexecuted event with the resulting state changes (fees updated, weights changed, treasury spent, etc ) this ensures complete auditability and transparency governance roles and responsibilities role description privileges safeguards fundshare holders primary governors create/vote on proposals token weighted, on chain delegates trusted voters with delegated power vote on behalf of others revocable delegation guardian (multi sig) security oversight pause vault, update templates no control over funds vault executor contract that executes proposals executes approved actions only controlled by timelock oracle updaters keep price feeds fresh update oracle data whitelisted & monitored this role based separation ensures decentralization without sacrificing operational safety governance actions (per vault) each vault’s governance can control and update the following parameters category action description composition addtoken(), removetoken() include or exclude assets from the fund weights updateweights() adjust target allocation per asset rebalance rebalancetotarget() force manual reweighting fees setfees(deposit, redeem) adjust mint/redemption fees within caps dex tax settradingtax(rate) change trading fee rate (within 0 1–3%) treasury management spendtreasury(amount, recipient) fund liquidity, marketing, or audits pause / unpause setpause(state) temporarily disable mint/redeem oracle sources updateoracle(address) change price feed configuration each action emits an event, enabling complete traceability governance security mechanisms 1\ timelock execution all proposals pass through a time locked executor , preventing instant or surprise changes the delay ensures the community can review and, if needed, challenge decisions 2\ guardian pause function a guardian multi sig (e g , 3/5) can pause a vault in extreme situations such as oracle manipulation exploit detection smart contract malfunction guardians cannot withdraw funds or modify ownership — their role is strictly to freeze and alert 3\ parameter caps vault templates enforce hard coded boundaries fees ≤ 5% trading tax ≤ 3% oracle freshness ≤ 2h price impact ≤ 5% even governance cannot override these limits — ensuring protocol level safety 4\ transparency and open source verification every proposal, vote, and execution is stored on chain and accessible via subgraphs anyone can audit fund decisions or historical governance outcomes treasury governance each vault accumulates eth in its treasury through deposit fees, redemption fees, and trading tax allocations governance can decide how to use these funds add liquidity on uniswap for the fundshare token fund marketing collaborations with constituent communities pay for security audits or bug bounties execute manual buybacks or burns fund ecosystem grants for integrations and analytics all treasury movements require on chain approval via governance proposals, ensuring accountability delegated governance tokenflow supports delegated voting , allowing passive holders to delegate voting power to trusted representatives — e g , dao councils, influencers, or partner projects delegation is done via delegate(address) in the fundshare contract delegates can be changed or revoked anytime this structure encourages participation without friction , ensuring decisions reflect community sentiment, not just whales governance evolution path tokenflow’s governance model is intentionally minimal at launch but will evolve in phases phase 1 — guided decentralization guardian holds safety oversight governance enabled for fee adjustments and rebalances manual proposal execution by core team phase 2 — autonomous governance fully decentralized voting and time lock execution public proposal creation open to all holders oracle and parameter updates decentralized phase 3 — meta governance network inter vault coordination indexes can propose cross collaboration (e g , shared liquidity pools) governance power of one vault can vote to include another fund as an underlying asset (meta indexes) optional global dao (tokenflow council) for shared infrastructure upgrades governance incentives to encourage participation proposal rewards treasury can allocate small eth rewards for submitting or executing approved proposals voter rewards a portion of treasury yield can be distributed to active voters as recognition reputation points (off chain) track governance contribution metrics for future perks or airdrops these soft incentives create engagement loops without inflating token supply governance in the deflationary context unlike inflationary dao systems that reward governance with new tokens, tokenflow governance is deflationary positive active vaults generate trading volume → buybacks → burns governance manages these mechanics efficiently → fund value rises therefore, effective governance is directly rewarded via price appreciation , not token issuance this ensures long term sustainability — incentives arise from performance, not inflation governance transparency dashboard tokenflow’s public governance dashboard (in development) will show all active proposals per vault voting power distribution treasury balance and historical spending burn statistics and nav growth guardian actions and time lock queue this ensures full on chain accountability and gives every user insight into how their fund is being managed summary tokenflow governance redefines how defi funds are run local autonomy each index fund is self governing security layers time locks, caps, and guardians prevent abuse transparency every decision is on chain and auditable economic alignment voting power equals ownership stake in tokenflow, governance isn’t a side feature — it’s the foundation of community owned, on chain index funds that evolve with their holders every fundshare holder is both an investor and a policymaker