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DeFi Governance

Definition

‘DeFi Governance’ refers to the framework and processes by which decisions are made regarding the development and operation of decentralized finance (DeFi) protocols. Typically, this involves token holders or other stakeholders voting on proposals that can alter protocol parameters, introduce new features, or manage treasury funds. This decentralized approach aims to distribute control and decision-making power among the protocol’s users and contributors, fostering a more community-driven evolution of financial applications. It is a key component of decentralization in the DeFi space.