Emergency Proposals

In the event of an emergency that poses a significant risk to the operations, assets, or community of AegisDAO, an emergency procedure will be activated. This procedure ensures that quick and effective decisions are made to mitigate threats and protect the interests of the Aegis DAO ecosystem, including the YUSD Protocol and treasury.

Activation of the Emergency Procedure

An emergency procedure is triggered when any $AEG tokenholder identifies a critical concern. This concern could include issues such as a smart contract vulnerability, significant market risks to YUSD, or an external threat to the DAO’s assets. To initiate the process, the individual must submit an emergency proposal outlining the nature of the emergency, the specific risks it presents, and the immediate actions required to address the situation.

• Expedited Review:

  1. The Supervisor Council will review the emergency proposal within 24 hours of submission.

  2. During the review, the Council will assess the urgency and validity of the proposal, deciding if immediate action is required.

Emergency Voting

If the Supervisor Council deems the emergency to be valid, an emergency voting process is initiated. This process includes an expedited voting procedure, where a reduced quorum requirement is applied to ensure that quick decisions can be made.

• Expedited Voting Process:

  1. If the proposal is deemed valid, a fast-tracked voting process is initiated with reduced quorum requirements to facilitate quick action.

  2. Tokenholders are immediately notified through multiple communication channels (e.g., DAO forums, Telegram, Discord, X) to ensure prompt participation.

• Voting Window:

  1. A shortened voting period is applied to ensure timely decisions.

  2. The expedited process allows the DAO to address the emergency without delay, while still preserving community governance.

• Temporary Powers:

  1. Temporary Authority:

     • If the emergency proposal is approved, the Foundation Directors, under Supervisor Council oversight, will be granted temporary powers to execute the required actions.

     • These powers are limited to actions necessary to resolve the emergency, such as:

       • Securing treasury reserves.

       • Making temporary changes to the Aegis Protocol.

       • Deploying urgent security measures.

  2. Scope of Actions:

     • The temporary powers are strictly limited to mitigating the immediate risk, ensuring that actions remain within the framework of protecting the DAO, its assets, and community.

Reporting and Accountability

1. Post-Emergency Report:

   • After the emergency is resolved, a comprehensive report is created detailing:

     • Actions taken during the emergency.

     • Resources and funds used.

     • Outcome of the situation and measures taken to restore normal operations.

   • The report will be published and made accessible to all tokenholders.

2. Community Feedback:

   • Tokenholders are encouraged to review the post-emergency report and provide feedback.

   • If needed, proposals for improving emergency procedures can be submitted via Aegis Proposals, ensuring that the DAO continuously refines its emergency response based on community input.

Preventative Measures and Ongoing Security

In addition to having emergency procedures in place, Aegis DAO is committed to proactive risk management and ongoing security to prevent emergencies before they occur.

1. Regular Audits:

   • The Aegis Protocol and other components of AegisDAO undergo regular third-party audits to identify and resolve potential vulnerabilities.

2. Risk Monitoring:

   • The DAO continuously monitors risks, including market volatility and security threats, to prevent emergencies from escalating.

3. Insurance Fund:

   • An established fund that covers unexpected costs arising from emergencies, such as security breaches or operational disruptions. This fund is managed by the DAO and used with community approval.