✊Governance Voting and Escrow

Decentralized governance is a cornerstone of the Moniswap ecosystem, empowering $MONI holders to actively participate in shaping the future of the platform. The governance voting and escrow system adds depth to community involvement, allowing users to have a direct say in key decisions. Let's explore how this mechanism operates:

1. Locking $MONI for Governance Voting

• Locking Periods: Users can lock their $MONI tokens for varying periods, ranging from short to long durations. The lock duration determines the voting power a user holds in the governance system.

• Increasing Voting Weight: The longer $MONI tokens are locked, the higher the voting weight assigned to the participant. This incentivizes long-term commitment and active engagement in the governance process.

2. $veMONI - The Voting NFT (Non-Fungible Token)

• Acquiring $veMONI: When users lock their $MONI tokens, they receive $veMONI, an ERC-721 governance token in the form of an NFT. $veMONI represents the voting power of the participant and is essential for participating in governance decisions.

• Dynamic Locking: Users have the flexibility to choose the lock period based on their preferences. The dynamic locking mechanism ensures that participants can balance their commitment with the potential decay in voting weight.

3. Decay Mechanism

• Encouraging Continuous Participation: To maintain voting weight over time, participants must actively engage in governance. The decay mechanism ensures that longer lock durations experience less decay, encouraging ongoing involvement.

• Balancing Influence: The balance between lock duration and decay ensures that users with extended commitments retain significant voting influence, fostering a fair and inclusive governance system.

4. Voting in Decentralized Governance

• Proposal Participation: With $veMONI in hand, users can participate in voting on proposals related to protocol upgrades, fee structures, and other key decisions. The community-driven governance process ensures that all stakeholders have a voice.

• Transparent Decision-Making: Decisions made through decentralized governance are transparent and collectively determined by the community. The open and inclusive nature of the process aligns with the decentralized ethos of Moniswap.