# Voting on Proposals

Voting on the Proposals includes voting on the following DAO activities:

&#x20;·       assignment/change of Experts, Protector, and Manager;

&#x20;·       the approval of investment projects initiated by DAO participants (not by Experts), as well as large transactions outside the limits of the powers of Experts and Protectors;

&#x20;·       approval of budgets, incentive schemes, bonuses;

&#x20;·       additional issue of GT, purchase of GT from the market, parameters of staking and burning of tokens, accrual of income on GT;

&#x20;·       change of customizable DAO parameters, authority of Experts, Protectors, duration of different voting periods, minimum thresholds for approval of Proposals and disapproval of Investment projects, Ragequit parameters;

·       using DeFi protocols to place temporarily available DAO Treasury funds;

·       other issues related to the management and activities of the DAO, with the exception of those related to Investment Projects.

The **MVP** demonstrates how Expert, Protector and Manager are elected.

It is assumed that any initiatives regarding the activities of the DAO are initially discussed in Telegram, Twitter, Discord by the participants of the DAO. It is supposed to be integrated with SnapShot for conducting polls — gasless off-chain voting.

Any DAO participant has the right to submit a Proposal for on-chain voting. For some Standard Proposals, there is a requirement for a minimum number of GT that a participant must have on their wallet. At the same time, they must:

·       Specify a link in the Proposal to a chat where it is discussed.

·       Specify whether the Proposal provides for any expenses from the Treasury that must be additionally approved, and if there are such expenses, specify the amounts, types of cryptocurrencies, recipient wallets, and the schedule of transfers.

·       Make a "Sponsorship Fee". Depending on Proposal type and settings, the Fee is either zero ("no fee", only includes the gas fee), or is a non-refundable fee received by the DAO Treasury, or is a token staking in support of the Proposal until the end of voting.

GT staking in support of the Proposal may be rewarded. The availability of staking rewards and their size depends on settings. If tokens are unstaked before the voting begins, the Proposal is removed from voting. If the Proposal is approved by the DAO, staked GTs are returned (in whole or in part, minus a fixed non-refundable fee) to the initiator of the Proposal. If the proposal is not approved, staked GTs are either returned (minus fee) or transferred to the DAO Treasury to compensate other stakers.

The settings determine whether Experts, Protectors, and the Manager can submit a Proposal for voting without a Sponsorship Fee, or should they follow the same rules as all other DAO participants.

The requirements for Proposal initiators and the Sponsorship Fee may be different depending on the type of Standard Proposal. Examples:

·       Voting to select an Expert or Protector can only be initiated by owners of a sufficiently large number of GT tokens, because such Proposals require a solid Sponsorship Fee in order to protect against possible hostile DAO attacks.

·       Voting to change the Expert can be initiated by the Protector or the Manager. Voting to change a Protector or Manager may be initiated by an Expert. Such Proposals are a logical continuation of the "job duties" of the executors of the respective roles in the DAO, and therefore should not imply the payment of any Sponsorship fee.

·       Proposals to change DAO parameters and other initiatives, which in one way or another affect the interests of many DAO participants, should imply their support from a significant number of GT holders, the willingness of initiators to make certain expenses and, possibly, the risks of non-acceptance of these Proposals.

A set of related Standard Proposals could be combined and voted on as a single Proposal. Examples:

·       Proposal to simultaneously change the number of Experts in the Panel of Expertsl, replace two Experts, hire new three Experts, replace one Protector, change the pay for each Expert and Protector, change the number of votes for new Experts, a new Manager budget;

·       Approval of new DeFi protocols for treasury operations, changes in internal parameters of income distribution and the number of redeemable tokens from the market, determination of new staking reward rates, the size of the token reserve for staking and the number of one-time burned tokens after their buyout from the market minus the reserve for staking.

Voting on the Proposals takes place on the blockchain and includes the following steps (all numerical parameters, including **T0-T1-T2-T3** terms and parameters marked **V** and **N**, are customizable):

<table data-header-hidden><thead><tr><th width="207"></th><th></th></tr></thead><tbody><tr><td><strong>STAGES</strong></td><td><strong>DURATION AND RULES</strong></td></tr><tr><td><strong>1.List of Proposals</strong></td><td><p>- Any DAO token holder can make a Proposal and stake GT (“Sponsorship Fee”) in its support.</p><p>- Other GT holders may stake their GTs in support of the Proposal.</p><p>- If the Proposal receives support that exceeds the minimum support threshold of (for example) 2% of all GTs (<strong>V</strong>), it goes to the "Voting Queue" stage.</p><p>- Proposals from Experts, Protectors and the Manager go directly to the "Voting Queue".</p><p> </p></td></tr><tr><td><strong>2. Voting Queue</strong></td><td><p>Duration = <strong>T1</strong> (minimum 48 hours).</p><p>- Common with the Voting on Investment Projects stage. </p><p>- Proposals from Experts, Protectors and the Manager, as well as other Proposals that have received maximum support at the "List of Proposals" stage have the highest priority.</p><p> </p></td></tr><tr><td><strong>3. DAO Voting type I</strong></td><td><p>Duration = <strong>T2</strong> (minimum 72 hours).</p><p>- GT holders stake their tokens to “vote FOR” the Proposal or to “vote AGAINST” it.</p><p>- GTs staked in support of the Proposal at the “List of Proposals” stage are counted as "FOR" votes.</p><p>- The Proposal is approved by the DAO if the number of “FOR” votes is not less than the minimum threshold of, for example, 5% of all GTs (<strong>V</strong>), <strong>AND</strong> the number of vote “FOR”  the Proposal is greater than the number of votes “AGAINST” it.</p><p>At the same time, DAO treasury assets should be greater than the amount required by the Proposal.</p></td></tr><tr><td><strong>4. Ragequit Timeout</strong></td><td><p>Duration = <strong>T3</strong> (minimum 24 hours).</p><p>Is not activated if there are no "AGAINST" votes at the "DAO Voting Type I" stage.</p><p>- GT holders who voted against the adopted Proposal have the right to withdraw from the DAO via exchange of their GTs for a proportional part of the DAO Treasury assets as of the moment of the DAO Voting.</p><p>- If at least 25% (V) of the total number of GTs is submitted for withdrawal, or if the Proposal cannot be executed due to a lack of funds in the DAO, then "Ragequit" is not carried out.</p><p> </p></td></tr><tr><td><strong>5. Execution</strong></td><td><p>Funds are immediately transferred from the DAO Treasury to the wallets specified in the Proposal.</p><p> </p></td></tr></tbody></table>

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