Essence DAO

The Decentralized Autonomous Organization driving Essence's upgrades

A core principle of Essence is its fully decentralized design and minimal dependence on any centralized assets or protocols. The Essence DAO is responsible for utilizing all of the flexible and power features of Essence to continually enhance the protocol in an ever-changing DeFi space.

EssenceDAO is controlled by xZEN holders. (Subject to the Governance Phases)

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Responsibilities

Essence's design and implementation minimizes the governance for activities related to peg maintenance. Beyond the inherent need for initial protocol tuning, the Essence DAO is primarily responsible for two things: upgrades and integrations.

Parameter tuning and changes that Essence DAO can make:

• Grant/Revoke roles

• Change PCV allocations

• Adjust rewards from the staking pool

• Upgrade oracles and other contracts throughout the system

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Design

The Essence DAO is built on the OpenZepplin Governor and TimelockController.

Parameters:

• 3% Quorum

• .25% proposal threshold

• 12 hour voting delay

• 36 hour voting period

• 24 hour timelock delay

• Essence DAO is controlled by xZEN

Essence implements a flexible access control system. The Timelock is appointed as a Governor, but it does not have to be the only one, or remain Governor forever. Essence can appoint autonomous Governors to adjust parameters and PCV based on market conditions. Additionally, a tiered governance structure can be implemented where certain changes require higher quorum thresholds and longer times.

Ultimately, the Essence DAO (i.e xZEN holders) makes all of these decisions as the protocol evolves.