# LEAP-31: Guardian Specification

Author Proposed 2022-09-05

## Simple Summary

This LEAP will detail the exact nature and responsibilities of the Guardians introduced in LEAP 16.

## Abstract

This LEAP will formalize the role of Guardians, previously introduced in LEAP 16 as members of the core team/council responsible for speeding up deposits and withdrawals into the LP when the liquidity or volatility circuit breakers are triggered.

## Motivation

• The role of the Guardians was introduced in LEAP 16 as members of the CCs/Council with the power to fast track deposits/withdrawals into the LP.
• The specifics and powers the Guardians possess was left unclear.
• This LEAP will formalize the specifics of this role.

## Specification

### Overview

Guardians

$$\textbf{Who is it:}$$ The Guardians is a smart contract with a multi-sig consisting of all 5 members of the Council and 2 members of the core team (who are not on the Council).

$$\textbf{Length of Service:}$$ All Guardians serve for the duration of the Council.

$$\textbf{Selection:}$$ Two CCs (not on the Council) are put forward by the core team. There is no election process to select these Guardian members.

$$\textbf{Responsibilities/Powers:}$$ Fast Track Deposits and Withdrawals: Guardians will have the ability to fast track deposits and/or withdrawals when a circuit breaker or cooldown prevents processing. Guardians can fast track a transaction when: a) a deposit (withdrawal) has been stalled (by circuit breakers, cooldowns) for longer than max_dep = 3 days (max_withdraw = 3 days) b) the LP has less than min_free_liq = 5% of its NAV as free liquidity, Guardians can instantly process deposits to boost free liquidity.

### Rationale

As explained earlier, it is important to specify roles for crucial components of the protocol like entry/exit. The above specification achieves this.

### Technical Specification

Initially this will be handled by the signees themselves. They will observe the markets and determine if there is a need to fast track based on the parameters specified in this leap. There will be a multisig which will require 4/7 signatures to pass.

Over time this can be replaced with a smart contract which encodes even more specific cases on-chain, to increase automation of this/reduce the number of signers needed to execute these transactions.

### Configurable Values

max_dep = 3 days
max_withdraw = 3 days
min_free_liq = 5% of NAV
sig_to_pass = 4


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