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Tranche DAO
Autonomous Tranche Organization
The Tranche protocol is managed and governed by the Tranche DAO. The DAO has two main components - the Treasury and Governance Modules.
Protocol’s fee collector and distributor. The Treasury allows $SLICE to act as a decentralized crypto-capital asset. Platform-generated fees are directed to the Treasury. Platform fees in ETH, Dai, USDT or other integrated digital assets could be converted into $SLICE using Uniswap pools. See Tranche Treasury for more information.
The voting mechanism on the tranche Protocol. This allows $SLICE holders to propose and vote on Tranche Improvement Proposals (TRIPs). See Governance & Voting for more information on using the Governance Module.
In the event of extreme protocol insolvency, staked SLICE is used to cover protocol deficits. For this to materialize, Tranche B returns would be negative for an extended period of time and the community does not agree on a reduction in Tranche A fixed rates. In addition, a "bank-run" would need to occur in which all Tranche A and B holders withdraw their deposits, and the Treasury is completed depleted of all funds to cover these losses.
Last modified 1yr ago