> For the complete documentation index, see [llms.txt](https://docs.liquidroyalty.com/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.liquidroyalty.com/dao/governance.md).

# Governance

Participants in the DAO contribute differently based on their roles, creating a balanced ecosystem of aligned interests:

**Merchants**

Store owners pledge both online and offline assets as collateral for raising immediate capital through Royalty Token. Must hit growth targets to unlock more tokens, ensuring long-term commitment to success.

**Token Holders**

Provide capital through token purchases and receive dividends generated from stores. Hold voting rights on critical operations including store delisting, M\&A, and emergency measures.

**Brokerages**

Drive market activity and promote Royalty Token.

**Admin Trustee**\
Monitoring of financials and verifying of growth targets. Conduct due diligence to maintain high-quality Royalty Token-backed assets. Admin trustee proposes votes based on requests from Merchants and Token Holders and manages offline collateral for the DAO. Receives vested tokens tied to growth targets. Maintain protection treasury to absorb LP losses and align with ecosystem growth.

**Collateral**

Both online (cryptocurrencies, Web2 credentials) collateral pledged by merchants is governed by the DAO, with the **Admin Trustee** as executor.