Page 16 - HopeCoin - Wealth is Mental Health

www.Hopecoin.io

GOVERNANCE PROTOCOL

The HOPE Foundation’s planned obsolescence will be carefully rolled out. d. Any single centralized
organization will inevitably have blindspots, which is why the protocol governance will have three distinct
stages to reach full decentralization as fast as possible.

1. Early days - during this period, the team is in complete control of the project, and no voting is done.
This is because there will be bugs and events requiring immediate hotfixes, which cannot be done
democratically

2. Semi-decentralisation - during this period, the team is still in complete control of the project and
can deploy hotfixes same as above, but for the non-urgent decision, it can take community input via a
forum or even via off-chain voting like a snapshot - https://snapshot.page/#/

3. Complete decentralization - during this stage, the project is fully decentralized, and all decisions are
made via a strict procedure, and all voting is done on-chain. The process is detailed below:

Participation in governance is done by locking $HOPE tokens in the governance contract, which tokens
which are locked for a longer duration get more voting power.

During Stage 3, HOPE will follow a governance structure similar to this of Compound As follows:

Anybody with 1% of HOPE delegated to their address can propose a governance action; these are simple
sets of activities, such as changing parameters of the platform that no one else can modify. Proposals are
executable code, not suggestions for a team or foundation to implement.

All proposals are subject to a three-day voting period, and any address with voting power can vote for
or against the proposal. If a majority and the minimum votes (i.e., quorum) are cast for the proposal, it
is queued in the Timelock and implemented after two days. The quorum is currently set to 50% of all
governance votes.

Anyone can also cancel a proposal if the original proposer loses the required vote power to create
proposals (1% of total governance votes) after it was added. This helps prevent someone from making a
malicious proposal and immediately withdrawing the governance contract’s votes.

During an initial seed launch period, a portion of the tokens will be distributed among the core contributors,
who can delegate voting weight to themselves or the public as they see fit.

The stage 3 decentralized system will fully tap into the energy source that is our communal Hope Force!

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