On-Chain Governance
Token holders can participate in a democratic voting process to influence key strategic decisions that enhance the performance and competitiveness of the Zetrix blockchain within a rapidly evolving ecosystem. These decisions may include, but are not limited to, the development and maintenance of the Zetrix network and initiatives aimed at increasing its overall value, such as:
a) Alteration of the consensus mechanism b) Disbursement of incentives via airdrops c) Definition of base parameters for staking and mining d) Selection of interchain atomic swap protocols e) Approval for support or integration with external blockchains f) Recommendation and listing of new dApp assets g) Admission of strategic alliance partners h) Underwriting or mitigation of major network risks i) Adjustment of token burning cycles
Governance within the Zetrix network can be implemented through a one-token-one-vote model, where each ZETRIX Token held equates to one voting right. Alternatively, governance tokens may be created and distributed separately to ZETRIX holders, aligning with practices commonly seen in Decentralised Finance (DeFi) protocols. ZETRIX Token holders including permissioned participants and validators possess the authority to propose and vote on significant protocol changes or upgrades to the Zetrix network. In recognition of the challenges posed by contentious hard forks in networks like Bitcoin and Ethereum, Zetrix is committed to maintaining a forkless model to preserve consensus and network continuity.
The proposed process is as follows:
Any participant or proposer holding sufficient ZETRIX tokens may initiate a new proposal for a key strategic decision, but must first secure community support and have ZETRIX tokens delegated to the proposal before it can proceed to the voting stage.
Support for a proposal should be broadly representative of the Zetrix community not concentrated among a few holders including node operators who validate transactions, developers who maintain the blockchain, and end users who interact with its applications.
All proposals must be implemented as smart contract code and shared with the community prior to voting. This ensures full transparency and eliminates ambiguity regarding the outcomes of any proposed network changes.
All discussions take place through the official Zetrix governance forum, providing the community with transparency and an opportunity to evaluate diverse inputs, assess the feasibility, and review the potential impact of proposed code changes.
Governance under this process is iterative proposers continuously revise the code based on community feedback and discussion. This cycle repeats until the proposed code is either fully accepted or rejected.
Once a proposal enters the voting phase, participants may cast their votes directly based on their token holdings or delegate their voting rights to other trusted members of the community.
The limitations of fully autonomous governance such as slow decision-making and delayed risk response must be carefully balanced. Additionally, low levels of participation or contribution remain a concern, which is being addressed through a more equitable Distribution of Interests, as outlined below.
To mitigate the limitations of fully decentralized governance, most projects incorporate an administrative key as part of their core security and recovery mechanisms. This fail-safe allows administrators to swiftly shut down the network in the event of critical issues such as bugs, exploits, or attacks thereby preventing further damage to the protocol. In emergency scenarios, a multi-signature backdoor wallet may also be employed to bypass the formal proposal process when immediate action is required. Such safeguards are essential during the early stages of ecosystem development, where real value is at stake and rapid response to threats is critical.
Although current governance models are imperfect and not fully autonomous, they remain valuable tools for coordinating token holders and aligning community interests. These frameworks support continuous improvement and iterative upgrades, fostering long-term ecosystem development.
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