Governance
esLBR and the Lybra DAO
Governance with esLBR
Holding esLBR offers users the voting power to govern the protocol's direction. By holding esLBR, users can steer the Lybra community, treasury, and protocol's course while modifying its parameters.
Broad Scope of esLBR Voting
Users can utilize esLBR to vote on matters related to any LST vault, encompassing topics such as the acceptance of a specific LST asset, the mint limit of the chosen LST vault, and the emissions allocated to each LST.
esLBR Voting Power Dynamics
The voting power of a user is directly proportional to the quantity of esLBR they hold and the duration for which it is locked. Even those who do not possess esLBR can participate in the voting process using their LBR holdings.
Bribing esLBR Holders
LST vaults can incentivize esLBR holders to cast their votes in the vaults' favor by providing token rewards. The incentives that holders receive align with the amount of voting power they pledged in support.
The Impact of esLBR Votes on Vaults
An increase in esLBR votes for a vault enhances its weight within the system. As a result, the esLBR emission to this vault escalates, attracting more deposits. This dynamic interplay of votes and incentives paves the way for the fascinating evolution of the Lybra Protocol, known forthwith as the Lybra Wars.
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