Emergency Governance

Decentralized Decisions during Crises: Emergency Governance

Break Glass in Case of Emergency: Maven Finance's Contingency Plan

Maven Finance features an emergency governance system and a "break glass" protocol to address potential critical flaws within its contracts.

Any user can trigger this system by initiating an emergency governance action, detailing the cause for the emergency vote in a form for the ecosystem to understand the urgency.

Emergency Governance example

Trigger an Emergency Vote

This emergency governance action requires approval through a voting process, where the votes are based on users' total staked MVN.

Upon obtaining sufficient votes for the emergency governance action, a break glass event is triggered.

Emergency Governance Voting

When the break glass event is successfully triggered, the break glass contract is activated, which has the ability to manage contracts within the Maven Finance system.

Simultaneously, it transfers the governance contract's administrative access and authority to the break glass contract.

The status of all smart contracts remains publicly visible to the entire community throughout this process.

Overview of Smart Contracts and their statuses

Following this, the break glass council can propagate the break glass event across all contracts within the Maven Finance ecosystem. This action effectively pauses the contracts and assigns their administrator to the break glass contract.

The break glass council can then transfer the administrative control and authority to a pre-approved, whitelisted developer address. This developer is tasked with addressing the underlying issue or critical flaw.

Important Note: The emergency governance mechanism necessitates that all sMVN stakeholders vote independently on their own behalf, not through Satellite delegation.

This aspect ensures the community's direct involvement in decision-making during critical situations, underlining Maven Finance's commitment to decentralization and security.