Documentation
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  • Welcome to Mars Protocol
  • Getting Started
    • How to set up a Wallet
    • Connect your wallet
    • Using a Credit Account
  • Credit Accounts
  • Perpetual Futures (Perps)
    • Perps Vault (Counterparty Vault)
    • Funding Rate Mechanism
    • Price Impact
    • Open Interest Caps
    • Vault Solvency Protection
    • Health Factor
    • Liquidations
  • Spot & Margin Trading
  • Lending & Borrowing
  • Leveraged Yield Farming
  • High Leverage Strategies
  • Managed Vaults
    • Creating a Vault
      • How to Resume Vault Creation After Failed Transaction
    • Managing a Vault
    • Depositing into Vault
  • Risk Methodology
    • Asset Listing
    • Protocol Risk Framework
    • Perps Risk Framework
      • Maximum Leverage & LTVs
      • SkewScale
      • Open Interest Caps
      • Maximum Funding Velocity
      • Mitigating Risks of Static Parameters
    • Deposit Caps Risk Framework
  • Governance
    • MARS Token
  • Smart Contracts
    • Address Provider
    • Account NFT
    • Credit Manager
    • Health
    • Incentives
    • Oracle
    • Params
    • Red Bank
    • Rewards Collector
    • Swapper
    • Zapper
    • Perps
  • Brand kit
    • The Mars Brand
  • Legal
    • Mars FUD Bible
    • Terms of Service
    • Privacy Policy
    • Cookie Policy
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  • Step 1: Proposal Draft on Forum
  • Step 2: On-Chain Voting via DAO DAO
  • Step 3 (Optional): Builders Multisig Execution
  • Risk Management DAO
  • Summary
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Governance

The Mars Protocol follows a strict Governance process.

Last updated 24 days ago

The Mars Protocol governance process enables the community to propose, discuss, and implement changes in a structured and transparent manner. It consists of two to three stages, depending on the type of proposal

Step 1: Proposal Draft on Forum

Anyone—including Mars Protocol contributors - must start by posting a proposal draft on the

  • Purpose: Open community discussion and feedback.

  • Duration: Must remain open for at least 3 days.

  • Requirement: A proposal (Mars Request for Comment [MRC]) can only move forward if there is clear consensus on its feasibility and rationale.

Step 2: On-Chain Voting via DAO DAO

Once a forum draft achieves consensus, it can be submitted on-chain through the .

  • Voting Period: 3 days.

  • Eligibility: Only users who staked prior to proposal creation are eligible to vote.

  • Voting Options:

    • Yes

    • No

    • Abstain

On Neutron, the majority of proposals include executable messages, meaning actions are carried out automatically once the proposal passes. The rest are signaling proposals that require manual follow-up.

On Osmosis, by contrast, all proposals are signaling-only, so every action must be manually executed after the vote passes.

Step 3 (Optional): Builders Multisig Execution

Some proposals, especially those involving smart contract changes, require manual execution by the Mars Protocol Builders Multisig.

  • Structure: 5 Mars contributors with a 3-of-5 multisig.

  • Responsibility: Executing post-vote actions, such as:

    • Adjusting smart contract parameters

    • Broadcasting specific transactions

The Builders Multisig can only initiate the necessary on-chain actions, when a proposal has passed governance via DAO DAO.

Risk Management DAO

Mars Protocol also includes a Risk Management DAO, which has special authority to update asset and perpetual market configurations without going through the full governance process.

Exceptions apply:

  • Liquidation thresholds

  • New asset or perps listings

Summary

Stage
Platform
Duration
Who Participates

Step 1

≥ 3 days

Community & Contributors

Step 2

3 days

Step 3*

Builders Multisig

N/A

3 of 5 Mars Contributors

*Optional step, only for proposals requiring manual execution.

Staked Holders

Mars Protocol Forum
Mars Protocol DAO DAO Governance Interface
MARS tokens
Forum
DAO DAO Governance
MARS Token