Governance

Pearl Governance

Pearl is a decentralized protocol which is generally governed and controlled by the PearlDAO.

The PearlDAO consists of persons, companies, firms or decentralized autonomous organizations (“DAO”) who each individually hold vePearl (hereinafter referred to as “PearlDAO members”.) Input, voting and governance by the PearlDAO is serviced and executed by the Pearl team.

From time to time, the Pearl team will present a formal proposal “PIPs” to the PearlDAO members. Each PearlDAO Member will have the opportunity to determine if the proposed action should be enacted through a protocol update or to other action facilitated by the team. This includes but is not limited to:

• Any changes to the protocol economics of rewards, which must be approved by vePEARL holders

• Community-led initiatives that pass community threshold support for a vote

Note: The protocol, vis-a-vis protocol-held vePEARL, will abstain from all governance votes.

Community members can petition the team to create a PIP on their behalf. Community proposals and Initiatives with sufficient support in Discord will be responsibly moved forward by the team to a PIP governance vote

Once a proposal is ratified, various core contributor team members will support its implementation process because the result of the governance vote does not automatically trigger code updates to products.

The Pearl team has special emergency powers in relation to any security-related matters. Security incidents are not uncommon in DeFi and the Pearl team’s main purpose is the security of the protocol, and ongoing operations and growth of the protocol. As such the Pearl team is empowered to deploy smart-contract upgrades to the protocol with the purpose of improving functionality and creating a best-in-class experience for the users.

The weekly distribution of emissions to pools are also determined by governance vote, however this specific governance action is handled entirely on-chain.