Governance

The DIKO token is first and foremost, a governance token that enables users to weigh in on active proposals in the ArkadikoDAO.

Through this method, users actually own the protocol and contributors act in the interest of the DAO, with proper checks and balances in place. Using this approach, Arkadiko can scale and adapt in a decentralized, community-driven way.

All smart contract upgrades to the protocol need to pass a mandatory on-chain governance vote. Nobody has ultimate control over the protocol and can change important pieces without explicit approval from the majority of DIKO holders. In order to create a proposal, an address needs to own 0.25% of the circulating DIKO suppy. Every proposal needs at least 5% of circulating DIKO supply to vote to reach its quorum. A proposal passes if more than 50% of votes are FOR.

Arkadiko is proud of the way it has been operating for the past few years, actively involving the community in every important decision. A typical protocol upgrade goes through the following phases:

  1. Core contributors identify an issue or improvement internally and discuss a solution or implementation.

  2. The analysed subject matter is presented in the Arkadiko discord using a dedicated channel. There is discussion and feedback about the issue at hand. This is concluded with an AIP (Arkadiko Improvement Proposal).

  3. The AIP is created on-chain by a DAO member. This includes the relevant smart contract changes that need to happen.

  4. Voting is started on the AIP.

  5. Voting concludes.

  6. The AIP becomes part of the protocol and the smart contract change is locked in.

Find historic and active proposal under the Governance tab of the Arkadiko app.

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