At ADD.xyz, our goal is to create a fully decentralised ecosystem from the grassroots, not top down. We understand that in our industry, projects and companies need to be aligned to their users more than ever. That is why we believe that we need to fully decentralise over the course of our development.
A draft architecture and proposal of our future governance system will replace some aspects of centralised executive decision making by the project, enabling users to argue, discuss and vote on priority changes that you’d like to see within ADD.xyz.
Participation starts with the ADD.xyz governance system, $PLT. It’s a singular token across the entire platform that also works within our governance process.
In addition to being a standard ERC-20 asset, $PLT allows the owner to delegate voting rights to the address of their choice; the owner’s wallet, another user, an application, or a DeFi expert. Anybody can participate in ADD.xyz governance by receiving delegation, without needing to own $PLT.
Therefore with the risks of governance reduced through a delegation system, participants can weigh in on discussions by proposals without the risk of losing their token assets. We believe that a ERC-20 delegation system is a way forward, not just for ADD.xyz, but the entire DeFi space.
PLT revolutionises community governance — it is not a fundraising device or purely a speculative opportunity, it’s a system representing capital value and democratic participation.
A simple governance framework has been proposed so that PLT token holders can easily participate in shaping the direction of ADD.xyz. This is how it works;
Each $PLT token is counted as 1 vote.
Anybody with 1% of the Total Supply (Approximately 1,200,000 PLT) of PLT delegated to their address can propose a governance plan; these are simple or complex sets of plan, such as adding support for a new currency/protocol, changing priorities on integrations, deciding pool splits from fees, or other functions that only executives can change.
All proposals are subject to a 14 day voting period, and any address with voting power can vote for or against the proposal. If a majority, and at least 5,000,000 (4% of total supply) votes are cast for the proposal, it is queued in the Timelock, and can be pushed for implementation to the team.
We need to do more to bring other DeFi projects to implement an open, transparent governance system like ours, we need an interconnected way of doing governance together.
This is why ADD.xyz will also use any stake-holder allocated assets provided to ADD.xyz by protocols like Compound, Dydx, Aave and others, and allow ADD.xyz users to influence in other projects’ proposals using the PLT stake. Users can also delegate their voting rights to the PLT address in order to combine voting power and weighting.
We’ll be rewarding users who participate in the testing of the ADD.xyz governance system; Governance Plans, Voting, Defeating Plans, Time Lock Contracts & Our unique ‘Solidarity voting actions’ over the next few months - Stay tuned for more!