> ## Documentation Index
> Fetch the complete documentation index at: https://docs.monochrome.exchange/llms.txt
> Use this file to discover all available pages before exploring further.

# Governance

> A staged model: Foundation-led at launch, progressively community-led through the Monochrome DAO.

Monochrome adopts a staged governance model, following the pattern that has worked for other exchange-native tokens. Governance moves from an early Foundation-led phase to a progressively community-led phase as the DAO infrastructure is proven.

## Early phase: Monochrome Foundation

From token launch through the establishment of the DAO framework, the Monochrome Foundation oversees:

* Ecosystem grants and deployment of the Ecosystem Incentives allocation
* Coordination with Monochrome Exchange on listing and Launchpad policy
* Development of the governance framework and DAO smart-contract suite
* Publication of custody and treasury policy
* Publication of the burn ledger and attestation reports

## Autonomous phase: Monochrome DAO

Once the DAO smart-contract suite is deployed and audited, MCR holders acquire on-chain governance rights:

| Right               | Detail                                                                                                                |
| ------------------- | --------------------------------------------------------------------------------------------------------------------- |
| **Proposal rights** | Any holder above a threshold balance can submit proposals                                                             |
| **Voting rights**   | Voting weight determined by MCR held or staked at the snapshot block                                                  |
| **Treasury**        | The DAO Treasury is deployed only via approved proposals                                                              |
| **Scope**           | Listings, Launchpad parameters, Ecosystem Incentives programme design, DAO Treasury deployment, node-programme policy |

## Reserved matters

The following remain with Monochrome Exchange management and are not subject to DAO governance:

* Regulatory compliance decisions
* Licensed-entity operational decisions
* Custody arrangements and security-critical operations
* Matters affecting the licensed status of Monochrome Exchange
* Anti-money-laundering, sanctions, and law-enforcement matters

This ensures community governance never conflicts with the regulatory obligations of the exchange.

<Card title="DAO deployment: Q4 2026" icon="calendar" href="/token/roadmap">
  Smart-contract suite deployment and audit, with progressive handoff through 2027.
</Card>