> For the complete documentation index, see [llms.txt](https://docs.eitherway.ai/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.eitherway.ai/token/mechanics/governance-framework.md).

# Governance Framework

Governance rights are restricted to staked $EITHER. Decisions are made by committed participants with skin in the game.

#### Voting Rights

* Governance rights are exclusively granted to staked $EITHER. Unstaked tokens carry no voting power
* Voting weight is proportional to Staking Power: Tokens Staked x Days Locked

#### Proposal & Voting Mechanics

* A minimum quorum threshold must be met for any vote to be valid
* Standard proposals pass with a simple majority of participating staked supply
* Protocol upgrades, fee parameter changes, and vesting schedule modifications require a 60% supermajority
* All passed decisions are subject to a 48-72 hour timelock before execution, providing the community a reaction window

#### Emergency Guardian Council

* An Emergency Guardian Council is elected by community governance on a 12-month rotation
* The Council holds veto authority over any governance action that poses an immediate security, financial, or legal risk to the protocol
* Council veto decisions are subject to a retrospective community ratification vote within 7 days
* Council members may not hold more than 2% of staked supply individually, preventing concentration of emergency power

#### Treasury Spending Controls

* Treasury spending proposals are capped at 2% of total treasury value per governance vote
* Cumulative treasury spending exceeding 10% of total treasury within any 90-day period requires a supermajority vote to authorise
* All treasury transactions are executed transparently on-chain with publicly disclosed wallet addresses