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Skyren has made the strategic decision to build its Decentralized Autonomous Organization (DAO) on the Ethereum blockchain, despite its native token SKYRN residing on the Polygon network. This choice may seem counter intuitive at first glance, but it's rooted in several key factors that prioritize long-term sustainability, interoperability, and industry alignment.
Building the DAO on Ethereum provides Skyren with unparalleled cross-chain flexibility:
Asset Mobility: Ethereum's extensive network of bridges and cross-chain protocols allows for seamless movement of DAO assets across various blockchains.
Airdrop Participation: This flexibility is crucial for Skyren's core function of participating in airdrops across different blockchain ecosystems.
Future-Proofing: As the blockchain landscape evolves, Ethereum's position as a central hub ensures Skyren can adapt to new chains and opportunities without major restructuring.
Ethereum's status as the de facto standard in the blockchain industry offers several advantages:
Default Choice: Many industry leaders and projects default to Ethereum for critical infrastructure, enhancing Skyren's credibility and interoperability.
Tool Compatibility: A vast array of development tools, wallets, and services are built primarily for Ethereum, ensuring smooth integration and user experience.
Talent Pool: Access to a larger pool of experienced developers and auditors familiar with Ethereum's ecosystem.
Ethereum's mature ecosystem provides robust security and transparency features:
Battle-Tested Security: Ethereum's long-standing presence in the market has exposed it to numerous security challenges, resulting in a more resilient network.
Transparent Governance: Ethereum's well-established governance processes align with Skyren's commitment to transparency in DAO operations.
Auditing Standards: The Ethereum ecosystem has developed comprehensive auditing standards, crucial for maintaining the integrity of the DAO's smart contracts.
While Polygon offers advantages for the SKYRN token, Ethereum remains the optimal choice for the DAO:
Gas Fees and Speed: Polygon's lower gas fees and faster transaction speeds benefit SKYRN token holders for frequent transactions.
DAO Operations: The DAO's operations typically involve less frequent, more significant transactions, making Ethereum's higher fees less impactful.
Ecosystem Depth: Ethereum's deeper liquidity pools and more extensive DeFi ecosystem provide better opportunities for DAO treasury management.
Skyren's decision to build its DAO on Ethereum while maintaining its native token on Polygon represents a strategic balance:
Best of Both Worlds: Leveraging Ethereum's robust ecosystem for DAO governance and Polygon's efficiency for token transactions.
Future-Ready Architecture: Positioning the DAO to take advantage of Ethereum's ongoing scalability improvements (e.g., Layer 2 solutions, Ethereum 2.0).
User-Centric Approach: Providing users with the security and familiarity of Ethereum for critical DAO functions while offering the speed and cost-effectiveness of Polygon for token utility.
By choosing Ethereum for its DAO, Skyren ensures a solid foundation for governance, interoperability, and long-term growth, while still capitalizing on the strengths of the Polygon network for its token ecosystem. This dual-chain approach exemplifies Skyren's commitment to leveraging the best aspects of different blockchain technologies to create a robust and user-friendly platform.
The Skyren DAO is designed to be a robust, community-governed fund that facilitates the efficient and safe participation in cryptocurrency airdrops. To ensure its growth and sustainability, the Skyren DAO leverages multiple funding mechanisms. Here is a detailed explanation of each funding source and how it contributes to the DAO's objectives.
Initial Seeding and Capitalization: A portion of the funds raised during the Skyren presale is allocated to seed and capitalize the Skyren DAO. This initial funding provides the necessary liquidity to start participating in airdrops and ensures that the DAO has a solid financial foundation to support its early operations. This seeding is crucial for building trust and demonstrating the DAO's potential to generate returns for its community members.
Sustainable Funding through Token Transactions: The Skyren DAO implements a buy and sell tax on the SKYRN token. This tax is directly channeled into the DAO's treasury. The rationale behind this approach is to create a continuous and sustainable funding stream. As community members trade the SKYRN token, each transaction contributes a small percentage to the DAO, ensuring that it remains well-funded over time without relying solely on external funding sources or periodic fundraising efforts.
Monetizing Traffic for DAO Growth: The Skyren website and user interface will sell advertising space to blockchain and crypto-related projects. All proceeds from these advertisements will go directly to the Skyren DAO. This strategy leverages the platform's traffic and user engagement to generate additional revenue, which is then used to fund the DAO's activities. By monetizing its digital real estate, Skyren can diversify its income sources and reduce its dependence on token-related revenues alone.
Reinvesting Profits for Future Gains: The Skyren DAO will collect a portion of the airdrop and liquid token rewards from projects it has "farmed". These rewards will be sold for profit, and the proceeds will be reinvested back into the DAO. This reinvestment strategy ensures that the DAO's capital base grows over time, enabling it to participate in larger and potentially more lucrative airdrop events in the future. This cyclical reinvestment of funds helps in compounding the DAO's growth and maximizing returns for its members.
Strategic Collaborations for Mutual Benefit: Skyren aims to negotiate partnerships where the full deployment of the Skyren DAO may not be required, but the project can still benefit from mutual promotion of the underlying airdrop offering. These partnerships can lead to exclusive airdrop opportunities, co-marketing efforts, and other collaborative benefits. By leveraging strategic alliances, Skyren can enhance its value proposition and access a broader range of airdrop campaigns, thereby increasing potential rewards for its community.
The Skyren DAO's multifaceted funding approach ensures its long-term sustainability and growth. By combining presale funding, transaction taxes, advertising revenue, reward reinvestment, and strategic partnerships, the DAO is well-positioned to capitalize on a wide array of opportunities in the cryptocurrency airdrop space. This comprehensive funding strategy not only secures the DAO's financial health but also maximizes the potential rewards for its community members
The Skyren DAO plays a crucial role in the Skyren project, serving as a community-governed fund designed to deploy capital into liquidity-based cryptocurrency airdrops. This innovative approach offers several key safeguards and advantages to users, contributing to the overall success and attractiveness of the project.
Protection from Cyber Threats: The Skyren DAO allows users to participate in airdrops without needing to use their own personal wallets or funds. This significantly reduces the risk of cyber attacks, hacking, user errors, or other malicious activities. By pooling resources and managing them through the DAO, individual users' capital remains safe, as they do not have to expose their personal financial assets to the inherent risks associated with direct participation in airdrops.
Leveraging Sizable Capital for Higher Rewards: The Skyren DAO utilizes a substantial amount of capital, which is likely to result in users receiving overall higher airdrop rewards than they could have obtained on their own. By aggregating funds, the DAO can participate in a greater number of airdrops and potentially secure larger allocations from projects, thereby enhancing the rewards distributed to its members.
Simplified Participation Process: The Skyren DAO simplifies the process of earning airdrop rewards for users. The only requirement to qualify for these rewards is to hold the SKYRN token. This approach saves users time and money, as they no longer need to navigate the often complex and time-consuming procedures associated with participating in individual airdrops. Additionally, it protects users from potential errors that could arise from managing multiple airdrop participations on their own.
Farming Airdrop Rewards: Users can further benefit from the Skyren platform by "farming" airdrop rewards. The platform aims to establish significant partnerships with projects offering airdrops, potentially resulting in additional rewards for Skyren users. These partnerships can create opportunities for individuals to receive bonus rewards based on the agreements made between Skyren and the participating projects, thereby enhancing the overall value proposition for users involved in the DAO.
The Skyren DAO stands as a powerful component within the Skyren project, providing a secure, efficient, and rewarding way for users to engage in cryptocurrency airdrops. By pooling resources, protecting user capital, simplifying the participation process, and leveraging partnerships for additional rewards, the Skyren DAO offers significant advantages that enhance user experience and maximize the benefits of participating in the evolving landscape of digital currencies.
Skyren's Decentralized Autonomous Organization (DAO) uniquely combines the strengths of both Ethereum and Polygon blockchains. While the DAO's core operations are based on Ethereum, voting takes place on the Polygon network using the SKYRN token. This setup might seem complex at first, but it's designed to offer the best of both worlds. Let's break down how this works.
Despite the DAO being based on Ethereum, voting is not hindered for SKYRN token holders on Polygon. Here's why:
Separate but Connected: The voting process is separate from the DAO's operational smart contracts on Ethereum.
Polygon-Based Voting: All voting occurs on the Polygon network, where SKYRN tokens reside.
Smart Contract Integration: Special smart contracts on both networks ensure that votes on Polygon are recognized and implemented by the DAO on Ethereum.
The concept of cross-chain voting weight is key to understanding how your SKYRN tokens on Polygon translate into voting power for the Ethereum-based DAO:
Token-Based Voting: Your voting power is directly proportional to the number of SKYRN tokens you hold on Polygon.
Snapshot Mechanism: At the start of each vote, a snapshot of token holdings is taken on the Polygon network.
Weight Calculation: This snapshot determines each user's voting weight for that particular proposal.
No Token Movement Needed: You don't need to move your tokens to Ethereum or any other network to participate in voting.
After voting concludes on Polygon, the results need to be applied to the Ethereum-based DAO. Here's how this process works:
Result Compilation: Once a vote ends, the results are compiled on the Polygon network.
Cross-Chain Oracle: A trusted cross-chain oracle service securely transmits the voting results from Polygon to Ethereum.
Smart Contract Execution: The DAO's smart contracts on Ethereum receive these results and automatically execute the approved actions.
Transparency: This entire process is transparent and can be verified on both blockchains.
While the underlying mechanism is complex, Skyren aims to make the voting experience as user-friendly as possible:
Single Interface: Users will interact with a single, intuitive interface for all voting activities.
Wallet Connection: Simply connect your Polygon wallet containing SKYRN tokens to participate.
Automatic Processing: The cross-chain interactions happen behind the scenes, requiring no additional action from users.
To summarize the voting process:
Where You Vote: All voting takes place on the Polygon network.
What You Use: You vote with your SKYRN tokens on Polygon.
Your Voting Power: Your voting weight is based on your SKYRN token holdings.
Behind the Scenes: Complex cross-chain mechanisms ensure your vote on Polygon impacts the Ethereum-based DAO.
User Simplicity: Despite the technical complexity, the voting process is designed to be straightforward for users.
Skyren's innovative approach combines the security and established ecosystem of Ethereum for DAO operations with the efficiency and user-friendliness of Polygon for voting. This hybrid model ensures that SKYRN token holders can easily participate in governance while the DAO benefits from Ethereum's robust infrastructure. As always, the Skyren team is committed to transparency and will provide detailed guides and support for users participating in DAO governance.
The initial funding of the Skyren DAO follows a carefully structured three-step process, designed to ensure transparency, fairness, and long-term sustainability. Let's break down each step of this process:
The first stage of funding occurs during the SKYRN token presale:
Contributor Allocation: Skyren contributors receive a proportional share of the rights to the 5% contributors reward.
Alignment with Whitepaper: This allocation is in line with the DAO reward distribution outlined earlier in the whitepaper.
Incentive Structure: This step ensures that early contributors are rewarded for their support and have a stake in the project's success.
Key Points:
Contributors get a share of the 5% reward pool.
Allocation is proportional to contribution.
Follows the predetermined tokenomics structure.
After the presale, a portion of the funds raised will be allocated to the Skyren DAO:
Proportional Allocation: The amount allocated to the DAO will be proportional to the total funds raised.
Post-Operational Costs: This allocation occurs after satisfying necessary operational costs.
Examples of operational costs include but are not limited to:
Marketing expenses
Development costs
Third-party service provider fees
Legal and compliance fees
Team salaries and administrative expenses
Infrastructure and technology costs
Key Points:
DAO receives a share of presale funds.
Allocation happens after covering operational expenses.
Ensures balance between DAO funding and project needs.
The final step clarifies the ownership and rights associated with the contributions:
Initial Contributions: Funds contributed during the first stage (Step One) remain under the ownership and rights of the Skyren contributors.
These funds can be returned to contributors at any time and for any reason.
Provides flexibility and security for early supporters.
Subsequent DAO Funding: All funds added to the Skyren DAO after the first stage (Step Two and beyond) fall under the sole ownership of Skyren token holders.
These funds are governed by DAO rules and voting mechanisms.
Represents the transition to full community ownership and control.
Key Points:
Initial contributor funds remain returnable.
Subsequent DAO funds are community-owned.
Clear distinction between early contributions and ongoing DAO assets.
This three-step funding process for the Skyren DAO is designed to:
Reward and incentivize early contributors.
Ensure adequate funding for both the DAO and operational needs.
Provide a clear transition from initial contributor control to community governance.
By following this structured approach, Skyren aims to create a strong foundation for its DAO, balancing the interests of early supporters with the long-term goals of the project and its community. This process not only funds the DAO but also sets the stage for sustainable, community-driven growth and governance.
Skyren DAO Contributors hold a vital position in ensuring the effective operation and profitability of the Skyren DAO. Their work is essential, and they collaborate closely with Skyren Project Contributors. However, it is important to note that they have distinct responsibilities and a unique selection process that sets them apart.
Community Proposals: One of the primary tasks of DAO Contributors is to create and submit proposals aimed at enhancing the functionality and efficiency of the DAO. These proposals can cover a wide range of topics, from new initiatives to improvements in existing processes, ensuring that the community's voice is heard and considered.
Asset Management: DAO Contributors are responsible for adjusting the weighting of assets owned by the DAO. This involves analyzing market trends and making informed decisions to optimize the DAO's asset portfolio, which is crucial for maintaining financial health and stability.
Reporting: Accurate and transparent reporting of DAO activities is another key responsibility. DAO Contributors must ensure that all actions and decisions are documented clearly, allowing for accountability and trust within the community. This transparency helps build confidence among stakeholders and encourages active participation.
Self-Governance: DAO Contributors govern themselves, which means they have the autonomy to make decisions without interference from Project Contributors. This self-governance fosters a sense of ownership and responsibility, as they are accountable for their actions and must maintain high standards of performance.
Arbitration Requests: In the event of disputes, DAO Contributors have the right to request arbitration from Project Contributors. This process ensures that any conflicts are resolved fairly and justly, maintaining harmony within the ecosystem.
DAO Contributors are chosen based on their active participation in the Skyren DAO Boost Incentive program. To qualify for this role, users must meet specific criteria, including:
Providing liquidity to the DAO.
Staking Skyren tokens to demonstrate commitment.
Holding a valid Contributor NFT Key, which serves as proof of their eligibility.
This financial structure resembles a proof-of-stake blockchain model, ensuring that only dedicated and incentivized individuals can become DAO Contributors.
Self-Governance: DAO Contributors exercise self-governance, allowing them to make decisions independently. Project Contributors set up guardrails to ensure fairness and prevent any malicious actions, but they do not interfere in the day-to-day governance.
Arbitration: In cases of disputes or misconduct, Project Contributors step in as arbitrators. They gather evidence, interview DAO Contributors, and assess the situation to determine the facts, ultimately deciding on any necessary actions, including potential termination.
If a DAO Contributor is found to be acting in bad faith or causing harm to the ecosystem, their membership can be revoked. This revocation leads to:
The blacklisting of their Contributor NFT Key, preventing future participation.
The forfeiture of all rewards earned as a DAO Contributor, reinforcing the importance of ethical behavior.
DAO Contributors are expected to work collaboratively and strive for beneficial consensus for the Skyren Ecosystem, drawing on their diverse backgrounds and perspectives to enhance the community as a whole.
Project Contributors have the authority to individually validate DAO Contributors to prevent the misuse or "hoarding" of NFT Contributor Keys. No single entity is permitted to possess or benefit from more than one Contributor Key. To prevent malicious actors from circumventing these measures, the specific methods used for validation will not be disclosed. These methods may include, but are not limited to, KYC validation, blockchain analysis, or third-party investigations. Any misuse of Contributor Keys will result in termination.
The Skyren DAO Boost is a carefully crafted reward mechanism that aims to encourage and incentivize users for their active support of the Skyren ecosystem. This system is designed to ensure that all participants are valued and rewarded for their contributions. Here’s a detailed look at how it functions:
Overview
Before any DAO rewards are distributed, the Skyren DAO retains a portion of the total rewards. Specifically, it holds back 10% of all liquid reward tokens and any project airdropped rewards. This reserved amount is specifically set aside for participants in the DAO Boost program. The rewards from the DAO Boost are then allocated among three primary groups of participants: Liquidity Providers, Token Stakers, and DAO Contributors. This structured approach ensures that each group is recognized for their unique contributions to the ecosystem.
Skyren DAO Boost rewards are distributed in addition to regular DAO rewards, enabling users to compound their earnings.
Eligibility: Users who actively provide liquidity to the SKYRN trading pool are eligible for rewards.
Rewards:
These users earn trading fee rewards, which are a direct benefit of their liquidity provision.
Additionally, they become eligible for a Skyren DAO Boost, which enhances their overall earnings.
Distribution:
A total of 25% of all rewards generated by the Skyren DAO Boost is specifically allocated to liquidity providers.
The distribution of these rewards is proportional to the amount of liquidity each provider contributes.
Example: If Jane provides 50% of the total liquidity in the pool, she will receive 50% of the DAO Boost rewards that are designated for liquidity providers. This means that her contribution directly impacts her reward, encouraging more users to provide liquidity.
Eligibility: Users who stake their SKYRN tokens in approved staking pools qualify for rewards.
Rewards:
Token Stakers receive traditional staking rewards, which are a common incentive in many blockchain ecosystems.
They are also eligible for a Skyren DAO Boost, which adds an extra layer of reward to their staking efforts.
Distribution:
Similar to liquidity providers, 25% of all rewards generated by the Skyren DAO Boost are allocated to Token Stakers.
The rewards are distributed based on the amount of SKYRN tokens that each user has staked.
Example: If Jane stakes 50% of the total staked tokens in the pool, she will receive 50% of the DAO Boost rewards allocated to Token Stakers. This proportional distribution encourages users to stake more tokens, thereby enhancing the overall health of the ecosystem.
Eligibility: Trusted members of the Skyren community who have a proven track record, hold a Contributor Key NFT, and fulfill the other two DAO Boost tasks are eligible.
Rewards:
DAO contributors receive a significant portion, specifically 50% of all rewards retained by the Skyren DAO Boost.
Distribution:
The rewards for DAO contributors are shared equally among all contributors, ensuring fairness in the distribution process.
Example: If Jane is one of ten DAO contributors, she will receive 10% of the total rewards allocated to DAO Contributors. This equal sharing fosters a sense of community and collaboration among contributors.
Liquidity Providers: They share 25% of Skyren DAO Boost rewards based on the liquidity they provide to the trading pool.
Stakers: They share 25% of the Skyren DAO Boost rewards based on the amount of tokens they have staked in approved pools.
DAO Contributors: They share 50% of the Skyren DAO Boost rewards equally among all contributors, promoting teamwork and community spirit.
This reward structure is designed to ensure that all participants who actively support the Skyren ecosystem—whether through providing liquidity, staking tokens, or contributing to the community—are lucratively incentivized. By recognizing and rewarding these efforts, the Skyren DAO Boost fosters a thriving and engaged community, ultimately benefiting the entire ecosystem.
Initial Distribution of Signing Keys
The Skyren DAO employs a multi-signature safe to manage its funds, which provides a layer of security through shared control.
Initially, 4 signing keys are distributed among the project contributors of the DAO.
To perform any actions related to the movement of funds, a minimum of 3 out of the 4 keys is required. This ensures that no single individual can unilaterally execute transactions, fostering collaborative decision-making and reducing the risk of malicious activities.
All on-chain assets of the Skyren DAO are publicly viewable through blockchain explorers. This transparency allows any community member or external observer to track and verify the DAO’s transactions and holdings in real-time.
Blockchain explorers provide a comprehensive view of the transaction history, enabling the community to monitor the DAO’s financial activities and ensuring accountability.
Selection of Community Members
The Skyren DAO has a plan to gradually transition the signing authority from the initial core contributors to key community members.
This process involves public voting where community members can nominate and vote for new signatories. This democratic approach ensures that the selection process is transparent and representative of the community’s needs.
Core contributors have the option to remain as signatories if the community votes in favor of their continued involvement. This flexibility allows for continuity while also giving the community the power to bring in new members.
The Skyren Foundation aims to appoint community-nominated key holders within three to six months following the SKYRN token launch. This time frame is designed to allow for the organic emergence of trusted community members and the development of leadership within the Skyren ecosystem. The process ensures a gradual and secure transition towards community-driven governance
The governance and management of the Skyren DAO are guided by industry standards and best practices. These include principles of decentralization, transparency, and accountability.
Adhering to these standards ensures responsible and ethical management, protecting the interests of all stakeholders and maintaining the integrity of the DAO’s operations.
The Skyren DAO grants the community the ability to liquidate the DAO at any time, for any reason (post grace period). This level of control underscores the community-centric approach of the DAO.
This mechanism empowers the community to make significant decisions regarding the DAO’s existence and operations, ensuring that the DAO remains aligned with the community’s interests and values.
Skyren contributors serve as arbitrators within the DAO’s governance framework. Their role is to facilitate fair and unbiased arbitration, ensuring that all governance votes are conducted transparently and without manipulation.
Contributors provide necessary statistics and facts to inform the community, but they refrain from influencing the outcomes of governance votes. This impartiality helps maintain the integrity of the decision-making process.
The Skyren DAO’s governance model is designed to ensure:
Transparency: Through public access to on-chain assets and transparent voting processes.
Decentralization: By gradually transitioning authority to community-elected members.
Community Control: Empowering the community to make critical decisions, including the liquidation of the DAO.
Ethical Management: Adherence to industry standards and best practices to safeguard the DAO’s operations and maintain stakeholder trust.
These mechanisms collectively ensure that the Skyren DAO operates in a manner that is transparent, decentralized, and aligned with the community’s interests
DAO Contributor NFT Keys are the essential final step in the Skyren DAO Boost program that users must complete to officially become a DAO Contributor. These unique NFTs will be stored on the Polygon blockchain, a platform known for its speed and efficiency. Users can obtain these Contributor Keys directly from Skyren or choose to purchase them independently on the open market, providing flexibility in how they acquire these valuable assets.
Skyren has set a strict limit on the issuance of Contributor NFT Keys, with only 100 available in total. Once this limited supply has been fully distributed, any remaining keys will only be accessible through the open market. This scarcity adds to their value and appeal. Users have the freedom to buy or sell Contributor Keys as they see fit, but it is important to remember that only validated individuals and/or wallets will qualify to receive DAO Boost Rewards. This system allows individuals to relinquish their role as a DAO Contributor if they choose to do so, while simultaneously creating opportunities for new contributors to step in and take their place.
Skyren DAO NFT Contributor Keys are validated and disavowed through our official Discord server. To validate your Contributor Key, join our Discord server and navigate to the "Validate Keys" channel within the Skycation Center. Follow the provided instructions to complete the validation process.
If it's your first time or you need assistance, our support staff is available to help. Always ensure you're using the official Skyren DAO Discord server for security purposes.
In the unfortunate event that a Contributor Key is blacklisted, Skyren will take action by minting a replacement key. This new key will then be reserved for auction at the current floor price of open market Contributor Keys, ensuring fairness in the process. All proceeds from the initial sale of Contributor Keys will be directed to the Skyren Foundation, supporting its mission and initiatives. However, it is worth noting that no royalties will be imposed on the buying and selling of Contributor Keys in the open market, allowing for a more straightforward trading experience.
Holding a Contributor Key offers several benefits:
Eligibility for Rewards: Only holders of validated Contributor Keys can receive further DAO Boost Rewards, providing a financial incentive.
Governance Participation: Keyholders can participate in elevated governance decisions, influencing the direction and policies of the DAO.
Market Value: With a limited supply, Contributor Keys may appreciate in value, offering potential investment returns.
Flexibility: Holders can sell their keys if they choose to step down, allowing for liquidity and flexibility in their role.
Community Standing: Being a keyholder signifies a trusted and validated member of the Skyren community, enhancing reputation and standing.
Replacement Assurance: In case of blacklisting, a replacement key will be minted and auctioned, ensuring continued participation opportunities.
Support for Skyren Foundation: Initial sales proceeds support the Skyren Foundation, contributing to its mission and initiatives
The ownership structure of the Skyren DAO is designed to ensure full community control:
100% Community Ownership: All DAO assets are collectively owned by SKYRN token holders.
Foundation's Role: The Skyren Foundation acts solely as an executor of community decisions, with no direct ownership of DAO assets.
Foundation's Rights: The Foundation is entitled only to funds generated by DAO activities as specified in the Skyren tokenomics.
DAO assets belong entirely to the SKYRN token holders.
The Foundation has no ownership stake in the DAO passed stage one of initial funding
Foundation's financial rights are limited to activity-generated funds and initial funding as per tokenomics.
The DAO has established specific rules governing the liquidation process to ensure stability and thoughtful decision-making:
No liquidation events can occur within the first six months after the DAO goes live.
After six months, the community can initiate a liquidation process.
Full (100%) liquidation is possible but restricted to once every three months.
Community members propose a liquidation vote.
A voting period is initiated (duration to be specified in DAO guidelines).
If passed, the liquidation process begins, following predefined smart contract protocols.
These rules are carefully designed to protect the DAO and its members:
Preventing Impulsive Decisions: The six-month grace period and three-month intervals between potential liquidations discourage hasty reactions to short-term market volatility.
Navigating Market Conditions: These timeframes allow the DAO to potentially recover from temporary downturns or adverse market conditions.
Encouraging Thoughtful Governance: By limiting liquidation opportunities, the rules promote more strategic and long-term thinking among DAO members.
Protects against panic-driven decisions.
Gives the DAO time to adapt to changing market conditions.
Encourages members to engage in thorough discussions before considering liquidation.
Understanding the broader impact of liquidation is crucial for all community members:
DAO's Central Role:
The DAO is the backbone of the Skyren project, managing key assets and decision-making.
Project Sustainability: A full liquidation could significantly impact the project's ability to continue operations.
Ecosystem Impact: It may affect partnerships, ongoing developments, and the overall Skyren ecosystem.
Token Value: The SKYRN token value could be severely impacted by a DAO liquidation.
Members are encouraged to consider long-term project viability when voting on liquidation proposals.
Thorough discussion and analysis should precede any liquidation vote.
It is crucial for SKYRN token holders to understand and acknowledge the following:
A community-led liquidation of the Skyren DAO would likely result in:
The failure of the Skyren project to achieve its goals
Potential cessation of all project operations
Token holders must carefully consider these significant consequences before initiating or participating in any DAO liquidation event.
This understanding is fundamental to maintaining the project's integrity and long-term viability. We strongly encourage all SKYRN holders to thoroughly evaluate the implications of their actions within the DAO governance structure.
The Skyren DAO's liquidation process is designed to balance community control with project stability:
Community Empowerment: SKYRN holders have ultimate control over DAO assets.
Protective Measures: The timeline and voting rules protect against impulsive decisions.
Long-Term Thinking: Members are encouraged to consider the broader implications of liquidation.
By understanding these procedures and their rationale, community members can make informed decisions that align with both their individual interests and the long-term success of the Skyren project. Remember, while the option for liquidation exists, it should be approached with careful consideration and used as a last resort after exploring all other alternatives for addressing challenges or concerns within the DAO.
