What is Governance on Minswap?

What is Governance on Minswap?

Minswap is governed by its community through a Decentralised Autonomous Organisation (DAO) model, allowing token holders to propose, vote, and decide on key protocol changes and developments.

• The native token $MIN is used for voting.

• Anyone holding $MIN can participate.

• Voting is done on-chain for transparency and immutability.

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How Minswap Governance Works

Proposal Submission

Community members can create and submit proposals (e.g., fee structure changes, new farming pools, treasury usage). Proposals are first discussed off-chain (e.g., Governance Forum) before going on-chain.

Snapshot Voting

Voting typically takes place via a snapshot mechanism based on wallet balances at a specific block. You vote using your $MIN tokens – the more you hold, the more weight your vote has.

Execution

If a proposal passes the required quorum and majority, it is implemented by the core team or via smart contract automation.

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Pros of Minswap Governance

Benefit	Description
Decentralisation	Decisions are made by the community, not a centralised team
Transparency	Voting records and proposals are public and on-chain
Incentivised Participation	$MIN holders have a direct say in protocol direction
Community Empowerment	Enables funding of community ideas via treasury proposals

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Cons and Challenges

Challenge	Description
Low Voter Turnout	Many holders don’t participate, leading to low engagement
Whale Dominance	Large holders can sway votes, reducing fair representation
Voter Apathy	Users may not fully understand complex proposals
Coordination Costs	Requires strong community communication and infrastructure

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Real Governance Examples

• Fee Distribution Changes: Proposals to adjust how trading fees are shared between LPs, stakers, and the DAO.

• New Farm Listings: Adding new yield farms and determining MIN reward allocation.

• Treasury Grants: Funding community tools, dashboards, or audits.