On-Chain Governance refers to the process of making decisions within a blockchain network through voting mechanisms that are recorded directly on the blockchain. This means that participants can propose and vote on changes to the protocol, such as software upgrades, parameter adjustments, or other modifications, all without the need for external governance bodies.
Through On-Chain Governance, stakeholders in the network have a direct say in the decision-making process, which helps to create a more transparent and decentralized system. This system allows for more efficient decision-making, as proposals can be submitted, debated, and voted on in real-time, without the need for lengthy debate or deliberation.
By allowing participants to have a direct voice in the governance of the network, On-Chain Governance helps to ensure that changes are implemented in a way that reflects the desires of the community as a whole. This can help to promote consensus and prevent contentious issues from arising within the network.
