Opium Governance
Introducing the Opium governance token
The goal of Opium is to create a synthetic derivatives protocol that can be used by anyone. Our number one priority has always been to decentralize the ownership of and control over Opium Protocol itself. Today, we have reached an important milestone towards achieving that goal.
We proudly introduce the Opium governance system, which controls the protocol’s parameters and code. Governance participants will have the right and responsibility to suggest, debate, and implement changes to the decentralised protocol.
$Opium — a governance token
$OPIUM token is created for governance purposes to transfer the ownership over Opium protocol to the community. Since the token is live, the governance process will be controlled by OPIUM DAO, which will be managed by $OPIUM holders — active participants of Opium Protocol.
The Opium Protocol requires active and decentralized governance of specific parameters to evolve the protocol for the community’s benefit. This, in turn, will result in the creation of relevant decentralized financial instruments with sufficient liquidity — which will ultimately attract more users to the Opium ecosystem.
$OPIUM is specifically designed for community governance — It is not be considered an investment opportunity or a tool for fundraising. By owning the token, you also will have voting responsibilities to support the goal of reaching a decentralized community
Decentralised governance
The governance model is based on the AragonDAO reference implementation of a decentralised autonomous organisation. $OPIUM token holders will interact with the DAO by proposing and casting votes on governance proposals, which will change the codebase and parameters of Opium Protocol and its stakeholders’ behaviour.
One of the critical parameters that $OPIUM token holders will control is allocating $OPIUM governance tokens from the Active-User Ecosystem Fund. An amount of $OPIUM tokens will be unlocked every month to be distributed among active protocol users and benefit the Opium ecosystem over a maximum of 5 years.
Any holder of $OPIUM tokens can create a new governance proposal. Proposals can be executable transactions, acts or even changes to the codebase of Opium Protocol. All proposals will be subject to a two-day voting window during which any $OPIUM token holder can vote for or against the proposal. The action will be implemented if more than 50% voted in favour and at least 8 million tokens voted.
wOPIUM is wrapped for voting
This governance model itself also can be changed to a new one or even upgraded to more sophisticated DAO implementations in the future, when scalability and other challenges are solved. From a technical perspective, $OPIUM token is designed as a light and straightforward ERC20 token. The token represents the right to vote and is wrapped/staked into $wOPIUM when used in a DAO. The system is designed to be ready for possible DAO upgrades: if DAO is upgraded, users will wrap/stake $OPIUM into the new DAO.
$wOPIUM can always be unwrapped back to $OPIUM. Keep in mind that voters have the rights and responsibilities to vote and participate in the community.
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