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The future of the Xai ecosystem is looking very exciting as it is about to embark on a groundbreaking collaboration with Gauntlet, a leader in quantitative analytics and risk management for decentralized finance (DeFi) protocols. This collaboration marks a critical step in Xai’s redefinition of decentralized governance and treasury management, laying a solid foundation for it to thrive in an increasingly competitive market.
By leveraging Gauntlet's expertise, Xai will introduce a cutting-edge, stake-based DAO governance framework that emphasizes transparency, accountability, and efficiency. This is more than just an improvement in governance, it's about creating a community where every stakeholder's voice matters, fostering a culture of trust and active participation. In particular, Sentinel Node holders will play a central role in this governance model, ensuring that those who care most about Xai's success are also able to lead its future development.
On the financial side, through the implementation of Aera's advanced treasury management strategies, Xai will revolutionize the way it responds to market risks and opportunities. By adopting risk-aware strategies such as the Stablecoin Time Weighted Average Price (TWAP) Strategy and the Leveraged Ethereum Staking Strategy, Xai is not only one step ahead in safeguarding its financial health, but also laying the foundation for capturing market growth opportunities. These strategies will help Xai maintain liquidity, extend its operating cycle, and ensure the stability of its financial future.
This partnership is more than just an upgrade, it’s a big step towards a more resilient, innovative, and sustainable ecosystem. With Gauntlet’s support, Xai is not only adapting to the future of DeFi, but actively shaping it. Both parties will work together to set new standards in decentralized governance and financial management, ensuring that Xai continues to remain a strong competitor in blockchain gaming and the wider field. The journey ahead will be filled with continued growth, innovation, and success, driven by a shared commitment to excellence and a bold vision for the future.
The following is a summary of this collaboration:
Original English link: https://www.gauntlet.xyz/resources/gauntlet-xai-foundation-to-collaborate-governance-redesign-implement-treasury-management-refresh-through-aera
Gauntlet is a company focused on providing quantitative analysis and risk management solutions for decentralized finance (DeFi) protocols. By using advanced data modeling and simulation techniques, Gauntlet helps DeFi platforms optimize incentives, manage economic risks, and make more effective decisions on the chain. Their technology and analytical methods are based on traditional finance and have gained the trust of multiple leading DeFi platforms and financial institutions.
For more information about Gauntlet, please visit https://www.gauntlet.xyz/about
Blockchain gaming protocol Xai has tapped Gauntlet to redesign its DAO governance framework and implement a comprehensive treasury management strategy through Aera. Gauntlet will apply its experience in governance design and community engagement to drive continued growth and innovation in the Xai ecosystem.
Highlights of the collaboration reportedly include:
Stake-based DAO governance
Treasury Management with Aera
The experience mentioned here in governance design and community participation specifically refers to the "NEAR House of Stake", a governance structure. The governance proposal proposes a new governance framework for the NEAR ecosystem, which aims to enhance transparency, accountability, and efficiency. The main contents include the introduction of voting lock tokens (veNEAR) for stake-weighted voting, the establishment of a screening committee to pre-screen proposals, and the definition of the role of recognized representatives. The proposal also suggests using 0.5% annual inflation funds to support governance and incentivize community participation, aiming to solve problems in the previous NEAR digital collective model.
For more information, please refer to: https://www.gauntlet.xyz/resources/near-house-of-stake-governance-proposal
Stake-based DAO governance
Xai is reportedly designing a stake-based governance framework that will emphasize transparency, accountability, and efficiency, with a particular focus on the interests of Xai Sentinel Node holders. The design reportedly includes co-writing key governance documents, coordinating a decentralized roadmap, and providing feedback for service providers, representatives, and stakeholder participation.
In addition, the governance framework will include clear guidelines for managing funding flows, allocating ecosystem budgets, and overseeing strategic upgrades. By prioritizing transparency and accountability, the framework aims to create a governance model that encourages active stakeholder participation and builds trust within the community.
Treasury Management with Aera
Gauntlet, as the guardian of Aera, is implementing a comprehensive set of strategies for Xai using this powerful, customizable and non-custodial treasury management protocol. These strategies are designed to hedge risk, manage liquidity and capture market upside opportunities, thereby extending Xai's financial operating cycle and improving the health of its treasury. Key elements include:
Risk-Aware Strategies: Implement risk-aware treasury strategies, including a time-weighted average price (TWAP) strategy for stablecoins and a leveraged Ethereum staking strategy.
Liquidity Management Strategy: Adopting strategies such as liquidity mining to promote Xai’s liquidity in the decentralized finance (DeFi) field.
Gauntlet’s collaboration with Xai reportedly demonstrates its commitment to promoting decentralized governance and ensuring the long-term sustainability of DeFi. Both parties will work together to ensure that the Xai ecosystem continues to thrive in a highly competitive market.
Auxiliary knowledge points for the above content:
1. About Aera Finance
Aera Finance's mission is to democratize financial management for decentralized organizations (such as DAOs) by providing data-driven treasury management solutions. Their goal is to use protocols that balance risk and growth to help these organizations provide strong financial protection during market downturns, optimize the management of treasuries and insurance funds to improve risk management and decision-making efficiency.
For more information, please visit: https://www.aera.finance/
2. About the Time-Weighted Average Price (TWAP) Strategy of Stablecoins
Aera's low-liquidity asset diversification strategy helps DeFi treasuries steadily transfer assets from native tokens to stablecoins or high-liquidity tokens while minimizing market shocks and slippage. The strategy maintains token value and improves price discovery transparency by breaking large orders into small orders and dispersing trade execution over time. Flexible execution and adjustment capabilities ensure that the treasury can continue to protect its long-term value amid market fluctuations while providing funds for other investment strategies.
For more information, please visit: https://aera.mirror.xyz/QHr8vBPmGUh9dXEDT9qMWDPjVEqxdNh6VVcEXm9buOo
3. About the leveraged Ethereum staking strategy
The Aera platform’s leveraged ETH staking strategy significantly increases returns by using flash loans and top lending protocols (such as Compound, Aave) to increase the amount of staked ETH. Users can use a small principal to borrow more ETH for pledge and obtain a higher annualized rate of return (APY). While this strategy can increase returns, it also comes with risks, especially the potential deviation of stETH from ETH prices. Aera provides dashboards to help users monitor daily APY and administrative costs.
For more information, please visit: https://aera.mirror.xyz/3eimMROvYTiuJ6Y7Aj0kV_8RZjf_6aggj1PZkNFBKwE
