BOUND Governance Power

Holding BOUND grants users the right to participate directly in the protocol’s decision-making, including treasury management, collateral strategy selection, system parameters, and long-term protocol evolution. Governance is conducted fully on-chain, and all votes are binding, ensuring the system remains community-owned, transparent, and decentralized.

A core responsibility of governance is the oversight of the protocol’s asset-management process. The protocol operates under a two-layer management structure:

1

Professional Asset-Management Partner

The asset-management partner (e.g., Avantgarde or equivalent institutional manager) performs due diligence, constructs yield strategies, evaluates risk, and proposes portfolio allocations to the community.

2

Governance Authority

The community reviews and votes on each proposed strategy or allocation change. Only after governance approval does the asset-management partner execute the strategy. Once approved, the manager is required to follow the agreed-upon allocation rules and rebalancing guidelines established through governance.

This structure ensures that the protocol benefits from institutional-grade expertise without compromising decentralization. Professional managers provide research, operational execution, and risk controls, while the community maintains full authority over what strategies may or may not be included in the portfolio.

A defining feature of BOUND governance is complete community control over token emissions and supply management. If the community determines that circulating supply is sufficient, governance can vote to redirect 100% of protocol-generated revenue toward token burns, effectively halting new emissions regardless of remaining allocation. This ensures that the governance token serves the long-term interests of its holders, not a rigid schedule.

Users acquire BOUND not for speculation, but for real economic value, including:

• reduced protocol fees

• participation in revenue-backed burn mechanisms

• influence over collateral strategy selection

• full voting rights in protocol evolution

As the protocol grows, BOUND becomes an essential asset for any participant seeking to optimize returns, shape treasury strategy, and contribute to the continued decentralization and security of the BOUND ecosystem.