To ensure a shared succes!
BabelFish's bitcoin-native protocol advances financial sovereignty in a way that aligns with Satoshi Nakamoto’s vision of a trustless, censorship-resistant, and peer-to-peer system of money. The founding team created the protocol by expanding on proven technological advancements from Ethereum-based DeFi applications while improving on the known risk elements. As said in The Team & The Dao, BabelFish is a protocol designed to grow, expand and adapt. This evolution will be directed by the process of Futarchy, the on chain governance by token holders. Futarchy provides incentives to coordinate and encourage a diverse set of stakeholders. It is designed to foster collaboration with a long-term focus on the future and mission of the protocol. These stakeholders include early users, new users, funders, builders, content creators, and many others who have made contributions to the BabelFish protocol.
A Bitocracy is an evolved form of a Vetocracy, which is a governance system where no single entity can make decisions or changes to the system. A modern example of a Vetocracy would be the United Nations, which gives each member nation the right to veto. But this type of governance has its limitations, since any one nation can override a majority. Vetocracies are often the result of an inherent lack of trust among the participants and an unwillingness for any of the members to forego sovereignty.
BabelFish's bitcoin-native second and upcoming stage of governance, the Seawater Epoch, is more of a Bitocracy, which gives weighted voting rights to participants based on how much skin in the game they have, while aligning the incentives of all participants. A Bitocracy encompasses a self-governing, decentralized platform where users interact with the blockchain with complete financial sovereignty, enjoying bitcoin-class security and long-term incentives to act in beneficial ways towards the protocol.
Our first ceremonial use of Bitocracy
The BabelFish protocol is led by qualified holders. The difference from other DeFi protocols is that instead of focusing on a highly decentralized governance model where the more the merrier, Bitocracy values qualified governance involving participants with skin in the game. At any time, Bitocracy participants may choose to take action to improve or expand the protocol, such as modifying a smart contract, issuing a grant, initiating a bounty, etc. All of these changes would be voted on by the community in a series of steps:
- Participant(s) make a proposal (in code).
- Stakeholders vote on the proposal
- If the proposal is approved, then an execution delay begins. If anyone disagrees strongly with the proposal, then they have this time to walk away before the proposal is executed.
The proposals are referred to as Babelfish Improvement Proposals (BIPs). They can be created in code, but could also follow after a forum discussion where everyone can weigh in their opinion. To increase the succes rate of passing quorum, it is strongly recommended to prepare your proposal well. History has proven that a well structured proposal where you break down the background, research, argumentation and implementation, have stronger chance to be accepted.
In this system, all $FISH represents a voice in Bitocracy, but users also have a way to unilaterally exit if they’re unhappy with the direction the protocol is taking.
By creating the right set of incentives to promote good governance and minimize threats, BabelFish sets its sights on the long term viability of the protocol. The governance model ensures that Babelfish can remain a self-sustaining DeFi platform, while granting each user full financial sovereignty.
The Community Forum is the place where we discuss in depth where the protocol should go in the future. This is the core of the BabelFish governance and you can actively see the DAO at work. Here you will find our most loyal and dedicated people exchanging new ideas and work together to the succes of BabelFish. Do you have ideas for improvements or simply want to be close to the fire? Join us at https://forum.babelfish.money