Decentralized Autonomous Organization (DAO)

The LBL token is the primary utility and governance unit that is integrated in the core of the LABEL Platform. LABEL plans to introduce a governance voting system to the LABEL platform so that users who stake their LBL tokens can vote for or against various proposed changes to the LABEL ecosystem. Each staked LBL token is worth one vote, so the more LBL tokens staked by a staker, the more likely they will affect the voting result.

VP (Voting Power)

VP stands for “Voting Power,” which means the right to vote in the DAO. The more VP participants have, the more voting rights they can exercise in proposals submitted to the DAO. The participant's VP is determined by the amount of LABEL tokens and NFTs owned at the time the block which contains the vote was submitted. DAO users can obtain VP in the two following ways.

  • LBL Token Staking: Token stakers acquire 1 VP per LBL

  • Ownership of NFT Shares: By owning NFTs issued by LABEL, the owner acquires VP. Before the introduction of the DAO, VP is determined by the LABEL team. After the introduction of the DAO, the amount of VP that can be obtained per NFT will be determined by the DAO.

Voting Topics

A user who has obtained a certain number of VPs may submit a proposal to the DAO. The categories of proposals are as follows:

  • Proposal to block certain users

  • Proposal to support project (content) production

  • Proposals related to the token economy

  • Proposals related to other projects

Users with VP can vote for proposals submitted to the DAO using their VP. If the majority of voters agree with the submitted proposal, the proposed changes will be applied to the LABEL platform. All dealings related to the submission of governance proposals and voting are posted on the blockchain. A user-friendly interface for creating and voting on governance proposals will be added to the website.

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