DocumentationCore Concepts

Core Concepts

Learn the key concepts that make CredDAO’s governance system unique.

FairScore

FairScore is the heart of CredDAO’s reputation system. It’s a composite score (0-100) that represents a member’s on-chain reputation and governance capability.

Score Components

ComponentWeightDescription
Active Days20%Measures account age and consistent activity
Social Score30%On-chain social interactions and community reputation
Transaction History20%Trading patterns and protocol usage
Governance Participation30%Historical voting records and proposals

Score Calculation

compositeScore = (activeDays × 0.20) + 
                 (social × 0.30) + 
                 (transactionHistory × 0.20) + 
                 (governanceParticipation × 0.30)

Explore your score breakdown in the Score Explorer.

Scoring Factors

The FairScore is calculated from 7 on-chain factors:

FactorWeightDescription
Active Days25%Days with on-chain activity
Transaction Count20%Total transactions made
LST Holdings15%Liquid Staking Token percentile
Native SOL15%SOL holdings percentile
Stablecoin Holdings10%Stablecoin holdings percentile
Wallet Age10%How long wallet existed
Activity Consistency5%Regular transaction pattern

Reputation Tiers

Members are categorized into tiers based on their FairScore:

Platinum

Score: 85-100

  • Submit all proposal types
  • 24-hour time-locks
  • Emergency proposals (with badges)
  • Maximum voting multiplier

Gold

Score: 70-84

  • Standard proposals
  • Expedited proposals
  • 48-hour time-locks
  • Elevated voting power

Silver

Score: 50-69

  • Voting rights
  • 72-hour time-locks
  • Standard voting power

Bronze

Score: 30-49

  • Limited participation
  • 168-hour time-locks
  • Reduced voting power

Unscored

Score: 0-29

  • Minimal rights
  • 336-hour time-locks
  • Must build reputation

Voting Power

CredDAO uses a quadratic voting formula enhanced with reputation multipliers:

votingPower = √(tokenBalance) × (1 + fairscore/50)

Example Calculation

A member with 10,000 tokens and a FairScore of 78:

quadraticBase = √10000 = 100
reputationMultiplier = 1 + (78/50) = 2.56
votingPower = 100 × 2.56 = 256

Compared to traditional 1-token-1-vote (10,000 votes), this member gets 256 votes — a 97.4% reduction in whale influence.

Time-Locks

Time-locks prevent immediate execution of proposals, giving the community time to respond:

TierTime-LockUse Case
Platinum24 hoursFast execution for trusted members
Gold48 hoursStandard delay
Silver72 hoursExtended review period
Bronze168 hours (7 days)Maximum scrutiny
Unscored336 hours (14 days)Highest protection

Proposal Types

Standard Proposals

Note:

Available to: Gold and Platinum members

Regular governance decisions like:

  • Treasury allocations
  • Parameter changes
  • Community initiatives

Expedited Proposals

Note:

Available to: Platinum members only

Urgent matters requiring faster resolution:

  • Security patches
  • Time-sensitive partnerships
  • Critical bug fixes

Emergency Proposals

Warning:

Available to: Platinum members with required badges

Critical situations requiring immediate action:

  • Protocol pauses
  • Emergency fund transfers
  • Critical vulnerabilities

Delegation

Members can delegate their voting power to trusted community members. The delegation efficiency is calculated based on:

  • Delegate’s FairScore - Higher scores = better delegation
  • Participation Rate - How often the delegate votes
  • Tier Multiplier - Platinum delegates are most effective

Efficiency Formula

efficiency = delegateScore × participationRate × tierMultiplier / 10000

Flash Loan Protection

CredDAO protects against flash loan attacks through:

  1. Minimum Active Days: Members must be active for 30+ days before participating
  2. Score Snapshots: FairScore is recorded at vote time, preventing manipulation
  3. Score Decay Detection: Sudden score drops trigger security reviews
Warning:

Flash loan attacks are a serious threat to DAO governance. CredDAO’s multi-layered protection ensures that temporary token acquisition cannot influence votes.

Proposal Lifecycle

  1. Draft - Proposal created, pending activation
  2. Voting - Active voting period
  3. Finalized - Voting ends, outcome determined
  4. Time-Lock - Waiting period before execution
  5. Executed - On-chain action completed