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How Hord’s Governance Ecosystem Works

Jon Ganor
Jon Ganor
News
How Hord’s Governance Ecosystem Works
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Hord stands out as a liquid staking derivatives platform that offers exceptional APRs for stakers and additional rewards with HORD tokens. This unique approach incentivizes early adopters and plays a crucial role in Hord's governance ecosystem. 

Hord’s Governance Voting Specifications

Hord is implementing a time-weighted voting model as its governance model. This model rewards long-time holders of Hord and early adopters of the liquid ETH staking platform without alienating newcomers. 

This model assigns voting power based on how long a token holder has held their tokens. The longer a holder has held their tokens, the more voting power they possess. Timed Weighted Voting can be implemented in different ways. 

Voting power can be delegated for users who do not have the time to actively participate in governance. Delegates act as representatives, championing the community's interests and ensuring that diverse perspectives are considered in the decision-making process.

Here’s a sneak peek of how Hord’s governance system will work:

Voting Power = (Tokens Held * Time held multiplier) / Total Token Supply

In this formula, the voting power is calculated by multiplying the number of tokens held by the duration they have been held. The idea is to reward token holders who have demonstrated a long-term commitment to Hord with a stronger voting influence.

Specifications: 

- Minimum duration for proposals: 10 days

- Maximum duration 30 days

- Proposals cannot end on a weekend (Saturday/Sunday)

- Minimum quorum: More than 2.5% of the total token supply must vote

Linear increase: 

  • 3 months: 1.2x
  • 6 months: 1.4x
  • 12 months: 1.8x
  • 24 months: 2x 

The voting power increase is capped at 24 months.

At Hord, time-weighted voting is implemented in a series of steps listed above and capped after 24 months. HORD token holders that keep HORD in their wallet unmoved for a period of three months for example, will receive increased voting power of 20% relative to the number of tokens they hold.

By implementing steps and introducing a cap, Hord hopes to both reward long-time holders and remain accessible to new token holders.

The Bottom Line

Hord's governance ecosystem goes beyond providing exceptional APRs to early stakers. By rewarding them with additional HORD tokens, Hord empowers its community to actively participate in governance activities and shape the platform's future. 

The time-weighted voting model will assist in democratizing the platform and furthering decentralization. 

Through decentralization and inclusive decision-making, Hord aims to build a resilient and innovative protocol that reflects the collective vision of its token holders. Together, they are laying the foundation for a more democratized and sustainable LSD landscape.

Website: Hord.fi/

Twitter: twitter.com/HordApp

Telegram: t.me/hord_app

Announcements: t.me/hordnews

GitHub: github.com/hord