# Umbrella Governance Model

* Supernodes act as a form of government on the network with their internal checks and balances. These Supernodes are all businesses operating within the Umbrella ecosystem and are decentralized in both geography and their sector of focus. There is an infinite capacity for potential supernodes, but they must fit requirements.&#x20;
* Users entrust or delegate their power to Supernodes who can in turn be demoted or promoted by the community. The voting power delegated to supernodes is done in the form of staking.&#x20;
* Supernodes collect a % cut of the PoS inflation garnered by users staked with them.&#x20;
* Each token staked with a supernode by users grants them voting power and the responsibility to serve their interests at the risk of losing those users.

## **DAO and token-based voting system**

### Voting models&#x20;

Individual PoS, 1 token = 1 vote delegated to a Supernode of your choice.&#x20;

Delegated PoS, 1 token = 1 vote garnered by Supernodes to vote on proposals.&#x20;

### Network Level Votes&#x20;

Individuals can vote manually by committing their voting power (equal to tokens staked) in major issues that affect the entire network.&#x20;

Can vote on inflation rate, number of max validators, altering network components/architecture, upgrading consensus, and other proposals that affect the network as a whol&#x65;**.**&#x20;

### Delegate Level Votes&#x20;

1. Can vote on adding, removing, or altering existing SubDAOs&#x20;
2. Approve/Reject Supernode applications&#x20;
3. Change the legalization process/requirements for DAOs&#x20;
4. Approve/Deny DAO funding requests&#x20;
5. And other organizational proposals presented to the network


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