# DAO

Definder DAO's structure provides an innovative approach to governance in real estate investment. It incentivizes active participation through a tiered voting system, enhancing the influence of dedicated community members. The integration of a gamified voting mechanism with a robust project vetting process by DFIND ensures that investments are not only democratically decided but also align with compliance and due diligence standards. This approach fosters a balanced combination of community engagement and expert oversight in the decision-making process.

### &#x20;Governance Structure

**- Hybrid Model:** Definder DAO combines hierarchical elements with participatory incentives. The more active a user is in the system, especially in voting, the more influential their vote becomes.

**- Initial Voting Power:** Upon registration, each user is allocated a default voting power worth $1000.

**- Additional Funds Contribution:** Users can increase their voting power by adding funds to their wallet within the system. For instance, adding $100 to the wallet increases the vote value to $1100.

### Voting process

{% embed url="<https://youtu.be/mWHrznCrXUY>" %}

The voting mechanism is designed to balance fairness and influence. All users have a base vote value, but active participants gain higher voting power.

**Voting Power Calculation**

Your Voting Power is defined by this formula:

```
Voting Power = (Base Vote + Wallet Amount) x Tier Multiplier
```

Where:

***Base Vote:*** Fixed at $1000 for all users

***Wallet Amount:*** The dollar amount of DFIND tokens held in your platform wallet

***Tier Multiplier:*** Starts at 1x and increases for higher tiers

For example:

* User A has $2,000 DFIND in their wallet
* They are at Tier 1 level
* So their Voting Power is:

  ```
  ($1000 base vote + $2000 wallet) * 1 (Tier 1 multiplier)  
  = $3000
  ```

**Tier Multipliers**

Higher tiers amplified voting power and benefits via the multiplier:

* Tier 1 - Base : 1x
* Tier 2 - Engaged : 1.5x
* Tier 3 - Active: 2.5x
* Tier 4 - Leader: 5x

**Definder's hybrid governance couples community participation with expert guidance for informed decisions. Projects are vetted before moving for communal vote, balancing engagement with oversight.**

### &#x20;Voting System

**- Active Voting Periods:** The DAO has designated periods during which users can vote on specific projects or decisions.

**- Project Voting:** Users primarily vote on real estate projects that the DAO might invest in.

**- DFIND Network:** The DFIND network presents the terms and the projects for the DAO to review and to vote.&#x20;

### &#x20;Investment Mechanism

\- Combination of Lending Pools and Direct Investments: Investments from the DAO are channeled either through lending pools or directly from users, focusing on selected real estate projects.


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