The MCDEX community has issued its governance token MCB and has done a series of governance work. While launching the Mai3 protocol, we will establish MCDEX DAO based on MCB. MCDEX DAO will be the core of the MCDEX community. The mission of MCDAO is to continuously develop the MCDEX ecosystem.
MCDEX DAO has vault. The asset in this vault comes from:
Share from the fee captured by MCDEX ecosystem
Newly issued MCB in the MCB tokenomics
Other payments made to MCDEX DAO
The asset in the vault is used to assist the MCDEX DAO mission. Its specific usage includes but not limited to:
Liquidity incentive: Incentives for LP of AMM
Governance incentive: Incentives for MCB holders who participate in community governance
Development incentive: Incentives for community starters and community managers
Audit fee and other required fee
Add liquidity to products in the MCDEX ecosystem
Buyback MCB from the secondary market. The MCB will be part of the vault asset
Provide liquidity for MCB (in the MCB liquidity pool on Uniswap)
MCB holders have the governance right of MCDEX DAO. MCDEX DAO applies the “Off-chain discussion, On-chain governance” method. Since the governance is on the chain, every proposal is essentially an executable smart contract. MCDEX DAO should provide a smart contract factory for the ease of initiating proposals.
The MCDEX DAO governance includes:
Managing the specific usage of the vault asset;
Running numerous perpetual swaps as operator;
Electing a multi-signature address when necessary. This multi-signature address will complete the routine work representing MCDEX DAO as an operator;
Upgrading MCDEX DAO smart contract
The MCDEX governance proposal needs to be initiated by MCB holders, and the initiator’s MCB voting power has to be no less than 1% of the issued total. The voting quorum has to be no less than 10% of the issued total. The proposal initiator is set to vote yes.
A MCB holder can delegate the voting power to another holder.
The voting period lasts 72 hours, and there is a time lock of 48 hours.
Stake MCB to get vMCB to participate in governance. As vMCB is a staking certificate, it is not transferable. If the holder would like to unstake, there will be a 5% penalty of vMCB, which is distributed to other stakers.
vMCB holders get rewards from the Vault and newly issued MCB. The specific amount will be determined by MCDEX DAO.