Azoth Protocol
Azoth Quick Start Guide: Essential Details for Getting Started
How we achieve absolute decentralization?
1. Technical layer: building a verifiable foundation of trust
All Investors can on boarding by connecting your wallet. If it's a new address, the wallet will be linked to that Azoth account and can be used by the user to sign in to the platform in the future. For investments, only wallets that meet the compliance requirements of that deal will be allowed to transact in deals.
As an issuer registered through the Azoth platform, admin users can also link a bank account to themselves or one of their fund entities. Investors can use these bank accounts to send/receive funds for a transaction when committing to that transaction.
2. Governance layer: distributed decision-making engine
Regarding which real-world assets will be issued, Azoth DAO leads decision-making, and the quadratic voting system balances power.
We use a three-level DAO governance model: Proposal level: adopt a liquid representative system, any user holding ≥12 months can run for field representative of the Asset Issuance Investment Committee. Decision level: Combine quadratic voting with time decay factor, the voting weight of large households decays exponentially with the time of proposal Execution level: Smart contracts are automatically deployed through proposals, and key parameter changes require a 2-month buffer period + multi-signature wallet verification
3. Compliance layer: regulatory-friendly architecture
The first batch of asset tokens on the Azoth platform will be issued on Ethereum smart contracts. By combining Real World Assets (RWAs) with EVM-compatible smart contracts, developers can leverage the latest crypto primitives to advance financial inclusion and create life-changing impacts.
Transaction monitoring on the Azoth Platform involves scrutinizing all transactions to detect unusual or suspicious activities that might indicate money laundering, fraud, or violations of sanctions. Effective monitoring can identify anomalies, unusual patterns, and red flags that warrant further investigation. Once illegal and non-compliant transactions are found on the chain, Azoth will take immediate action.
Regulatory sandbox mode: automatically switch KYC verification strength when access from a specific jurisdiction is detected.
4. Economic Layer: Self-Balancing Ecosystem
Each real-world asset package corresponds to an independent legal entity, and these assets are isolated from each other. Meanwhile, Azoth has developed risk stress testing tools to simulate the impact of black swan events on system solvency on a daily basis and dynamically adjust the reserve ratio.
Azoth will regularly set aside a portion of the platform's revenue as a risk compliance reserve.
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