VI. Governance & DAO Framework — Decentralization in Practice

VI. Governance & DAO Framework — Decentralization in Practice

6.1 Governance Overview

The Aurion DAO governs the long-term evolution of the ecosystem, ensuring transparency, decentralization, and aligned decision-making among stakeholders.

Governance is on-chain, multi-tiered, and modular — allowing participants to propose, vote, and execute ecosystem decisions using the AUR token as a governance instrument.

The DAO operates on three foundational principles:

  1. Transparency — All proposals, votes, and transactions are executed publicly on-chain.

  2. Accountability — Treasury access and budget execution are permissioned via multi-signature controls.

  3. Decentralization — Decision-making power is distributed proportionally among contributors, token holders, and sub-DAOs.


6.2 Governance Structure

Aurion’s governance model is structured into three operational layers:

Layer

Entity

Primary Role

Tier 1 – Core Council

5 elected signers (multi-sig)

Policy approval, security oversight, treasury execution.

Tier 2 – Sub-DAOs

Independent domain DAOs (Compute, Pay, DePIN, RWA, Grants)

Operational execution within their verticals.

Tier 3 – Community DAO

General token holders

Proposal voting, governance participation, and grant funding votes.

This tiered approach ensures scalability and specialization — allowing each sub-ecosystem to evolve independently while maintaining alignment with the global Aurion vision.


6.3 DAO Tokenomics

The AUR token powers all governance operations:

  • 🗳️ Voting Power: 1 AUR = 1 vote (delegable)

  • 📜 Proposal Submission: Requires minimum token threshold or verified reputation.

  • ⚖️ Proposal Weighting: Quadratic or linear, depending on proposal type.

  • 🧩 Governance Contracts: OpenZeppelin Governor, TimelockController, and ERC20Votes.

Delegation Logic

Holders may delegate voting power to trusted representatives or DAOs while retaining full token ownership. This allows passive holders to contribute indirectly, strengthening overall governance participation.


6.4 Proposal Lifecycle

Governance proposals follow a transparent, on-chain workflow ensuring fairness and efficiency.

Stage

Description

Duration

1. Drafting

Proposal created on DAO portal or GitHub.

Variable

2. Discussion

Community feedback and refinement via forum or Snapshot.

3–5 days

3. On-chain Submission

Finalized proposal published to Governor contract.

Instant

4. Voting Period

Token holders vote For/Against/Abstain.

5–7 days

5. Timelock Queue

Approved proposals queued for execution.

48–72 hours

6. Execution

Multi-sig Council executes via DAO Treasury.

Upon unlock

Voting Mechanisms

  • Standard Proposals: Simple majority (>50%) approval.

  • Critical Changes: Supermajority (⅔) required for treasury or contract-level actions.

  • Emergency Proposals: Fast-tracked with Core Council quorum.


6.5 Sub-DAO Framework

Each operational division — Compute, Pay, DePIN, RWA, and Grants — functions as a sub-DAO, with partial autonomy and its own dedicated treasury vault.

Sub-DAO

Managed Vault

Decision Scope

Compute DAO

8% of AUR supply

Hardware incentives, node rewards, compute emissions.

Pay DAO

8% of AUR supply

Payment gateway development, merchant partnerships.

DePIN DAO

7% of AUR supply

Infrastructure nodes, IoT hardware expansion.

RWA DAO

4% of AUR supply

Tokenization frameworks, legal integrations.

Grants DAO

5% of AUR supply

Funding builders, researchers, and community projects.

Sub-DAOs submit quarterly reports to the Aurion Core DAO, ensuring accountability while retaining local decision-making flexibility.


6.6 Treasury Governance

The Aurion Treasury manages ecosystem funds under multi-signature (3-of-5) security, with signer rotation each governance cycle.

Vault Breakdown

  • Operations Vault: Day-to-day expenses, audits, and liquidity provisioning.

  • Innovation Vault: Developer grants and ecosystem partnerships.

  • Reserve Vault: Emergency liquidity and market stabilization.

  • Community Vault: Ambassadors, events, and educational programs.

Key Treasury Rules

  • 🚫 No direct withdrawals — all transactions require proposal approval.

  • 🔍 Treasury activity is publicly viewable on-chain.

  • ⚠️ Emergency access requires Core Council + DAO dual approval.


6.7 Security & Transparency Mechanisms

Aurion’s governance system prioritizes security, auditability, and resilience:

  • Smart Contracts: Built on OpenZeppelin Governor, audited and proxy-upgrade protected.

  • Multi-Sig Controls: All treasury transactions require 3-of-5 signer confirmation.

  • On-Chain Verification: Governance votes are cryptographically verifiable.

  • Transparency Dashboard: Displays proposals, fund flows, and vesting streams in real-time.

  • Emergency Protocol: If a vulnerability or malicious proposal is detected, the DAO can initiate a TimeLock Freeze by community consensus.


6.8 Governance Participation Incentives

To ensure consistent and healthy voter participation, Aurion employs active governance incentives:

Action

Reward

Submitting a valid proposal

Governance badge + AUR reward

Voting on proposals

Tiered AUR participation rewards

Forum contribution & discussion

DAO Reputation Points (non-transferable)

Holding governance NFTs

Voting multiplier (limited supply)

This framework aligns governance activity with tangible value — reinforcing an engaged, responsible community.


6.9 Governance Evolution

Aurion’s DAO is designed for progressive decentralization and self-amending governance.

Future Enhancements

  • 🌐 Transition toward autonomous treasury execution via AI-assisted multisig agents.

  • 🤖 AI-driven proposal scoring to help assess impact, cost, and risk.

  • 🔗 Cross-chain governance, allowing mirrored voting on BSC, Ethereum, and future networks.

Aurion’s governance will evolve alongside its community, balancing innovation with security and autonomy with accountability.


6.10 Summary

The Aurion DAO ensures that power, transparency, and accountability are distributed among all participants. Through sub-DAOs, smart contract-based governance, and multi-signature oversight, Aurion achieves a balance between:

Autonomy and coordination. Innovation and control. Decentralization and resilience.

Each division — Compute, Pay, DePIN, RWA, and Grants — operates under a shared vision: a self-sustaining, community-governed economy anchored by the AUR token.

Last updated