Governance
Governance within the UMBI Protocol is designed to align incentives between farmers, token holders, and the protocol. Only staked UMBI tokens can participate in governance, ensuring that voting power is tied to long-term commitment rather than speculation.
Onboarding Farms
Farm onboarding is one of the most important governance decisions in UMBI. The community will have a say in determining which farms are approved to launch offerings on the protocol. In the early stages, this process will take place through open discussions in community channels such as Telegram and Discord.
Later, starting from V2, these decisions will move fully on-chain, where UMBI token holders can vote to approve or reject farm proposals. This ensures that farm onboarding is transparent, decentralized, and guided by the community, rather than singlehandedly approved by the Foundation.
Gauges (Available in V2)
Gauges are a governance feature that allow token holders to vote on key economic parameters of the protocol.
This system gives the community direct control over how profits and allocations are distributed, enabling a flexible and adaptive model as the ecosystem scales.
| Variable | Explanation |
|---|---|
| Protocol Reward | Determines the form of distributed rewards — e.g., 100% in UMBI tokens, boosted yields, or a mix with ETH. |
| Protocol Allocation | Percentage of farm profit allocated to the protocol treasury. |
| Escrow | Percentage of farm revenue held as NFT escrow, providing farmer compensation if operations end. |
| Dividend Rate | Portion of profit distributed directly to token stakers instead of the treasury. |
Foundation Organization (Available in V3)
At maturity, UMBI Governance extends beyond on-chain parameters to real-world organizational actions.
The DAO will be able to issue binding decisions for the UMBI Foundation, ensuring community-driven accountability.
Examples of governance actions include:
- Selecting a Foundation Head who oversees regional or global operations.
- Approving regional office expansion (e.g., from Indonesia to Southeast Asia, then globally).
- Onboarding or removing strategic partners such as farming cooperatives or distributors.
- Adjusting compliance standards for farmer KYC, reporting, and auditing.
- Directing treasury funds toward grants, sustainability initiatives, or new partnerships.
This dual-layer governance — on-chain gauges for protocol economics and DAO decisions for real-world foundation actions — ensures UMBI remains adaptable while staying accountable to its community.