# Governance Charter

# Overview

The Fight Foundation oversees the governance framework of the Fight ecosystem — including the $FIGHT token, its on-chain treasury, and associated community programs.
Its purpose is to steward decentralization, uphold transparency, and ensure compliance as control progressively transitions to the Fight DAO.

Fight operates as a community-governed protocol, supported initially by the Foundation and core contributors such as Concept Labs and FightFi Labs, with oversight and input from the Athlete Council.

# Mandate of the Fight Foundation

The Foundation’s role is to act as an independent, non-profit steward of the Fight ecosystem during its formative stages.
Its core responsibilities include:

Safeguarding the protocol’s intellectual property, trademarks, and brand partnerships.
Executing on DAO-approved proposals and maintaining transparent accounting of all treasury operations.
Ensuring compliance with applicable laws and regulations across jurisdictions.
Facilitating the transition to on-chain community governance and DAO autonomy.

The Foundation does not exist to manage the market value of the $FIGHT token or to guarantee returns of any kind.
All token operations and treasury programs are governed by published policies and may be amended through DAO processes.

# Principles of Governance

The Fight ecosystem is built on four foundational principles that guide both decision-making and behavior:

Fight Fair – Design for integrity. Operate transparently. Resolve disputes openly.
Fight Together – Fans × Fighters × Builders share aligned upside through participation.
Fight Through – Ship fast, fix fast. Maintain accountability and adapt during fight week cycles.
Fight Forever – Build for longevity with compliance, security, and durable economics.

These principles serve as the moral and operational compass for all Foundation and DAO actions.

# Governance Phases

# Phase 1: Foundation Stewardship (Launch – Year 1)

During this phase, the Foundation maintains operational control to ensure security and legal compliance.
Key decisions — emissions, grants, liquidity operations, and strategic partnerships — are approved by the Foundation under public reporting standards.

Transparency Measures:

Quarterly treasury reports published on-chain.
Public disclosure of all multisig signers and rotation policies.
Mandatory audits of key smart contracts and emission schedules.

# Phase 2: Delegate Program (Year 2)

As the ecosystem matures, governance expands to include community delegates and working groups representing the following areas:

Product & UX – roadmap prioritization and protocol parameters
Treasury & Grants – fund allocation and performance tracking
Risk & Integrity – oracle operations, dispute resolution, and compliance review
Athlete Council – fighter alignment, fairness, and fan experience

Delegates are elected or self-nominated by $FIGHT holders and evaluated based on participation, transparency, and measurable contributions.

# Phase 3: Full DAO Execution (Year 3+)

Ultimate authority transitions to on-chain governance, with proposals and votes executed directly via smart contracts.
All key actions — emissions updates, treasury disbursements, parameter changes — are subject to token-holder voting, quorum thresholds, and timelocked execution.

DAO governance is designed for accountability:

All proposal data, voting results, and execution transactions are recorded on-chain.
Emergency powers are narrowly scoped, time-limited, and require renewal by token vote.
Dispute and arbitration mechanisms are transparent and documented.

# Proposals and Voting

Any $FIGHT holder may submit or sponsor a governance proposal once minimum thresholds are met (for example, a defined token stake or delegate sponsorship).

Each proposal follows a clear lifecycle:

Draft (RFC): Community discussion on the governance forum.
Formal Submission: Verified on-chain submission or delegate sponsorship.
Vote: Token-based voting with quorum and time limits.
Execution: Successful proposals implemented via timelocked contracts.

FP (Fighting Points) may serve as a reputation modifier — boosting the visibility of long-term contributors or gating proposal creation — without overriding token-holder consensus.

# Treasury Policy

The DAO Treasury receives protocol-generated revenues such as ecosystem fees, grant returns, or partner contributions.
All treasury operations follow these guiding principles:

Transparency: On-chain reporting of inflows, outflows, and reserves.
Accountability: Programs must define measurable KPIs and milestones.
Community Oversight: Treasury allocations are subject to DAO votes.
Flexibility: The DAO may amend, pause, or discontinue programs through governance.

Under DAO policy, portions of net protocol revenues may be allocated to operations, grants, liquidity programs, or other initiatives that expand ecosystem utility.
These allocations are not intended as investment returns or price support, and may change at any time through community governance.

# Athlete Council (Expanded)

# What it is and who's involved

The Athlete Council is a formal advisory body that ensures fighters' voices directly influence product design, policy, and incentive structures across the Fight ecosystem. It is chaired operationally by Rob Winkler (GM, UFC Strike) and composed of active athletes and coaches who bring a real-world perspective on what resonates with fighters and fans. The Council's role is not symbolic; it is integrated into the product and treasury process so that priorities like fairness, engagement, and athlete welfare are embedded from the outset.

Initial public supporters include UFC athletes Josh Emmett, Gilbert Burns, Dan Ige, Vicente Luque, Alexandre Pantoja, and Gregory "Robocop" Rodrigues, as well as coach Eric Nicksick.

# Mandate and scope

The Council advises on fighter-centric utility and experiences end to end:

Partner ecosystem access: ensuring projects that burn $FIGHT for FP distribution create value for fighters and fans; guiding quest design and campaign ethics.
Prediction markets (partner-operated): which props are meaningful, how to define "skill-based" formats, and where integrity or safety considerations apply.
Fighter communities: staking tiers, perk structures, membership mechanics, and codes of conduct that promote respectful, long-term engagement.
Content and programming: formats for AMAs, watch-alongs, training drops, and behind-the-scenes experiences that reward both fighters and committed fans.
Prize$Fight disbursements: criteria, nomination flows, and transparency standards for bonus awards and event bounties.
Principles and safety: upholding Fight Fair / Fight Together / Fight Through / Fight Forever in incentive design; championing anti-abuse practices; and recommending swift guardrails when new mechanics create unintended behavior.

# Why it matters

Fighter-aligned governance is essential for legitimacy and distribution. When athletes help shape utilities and incentives, the products feel authentic, adoption rises, and the ecosystem earns trust from the broader UFC audience. Practically, the Council reduces the gap between what the community builds and what fighters actually want—lowering iteration cycles, improving retention in fighter communities, and increasing the likelihood that athletes actively promote Fight programs to their fans.

# Compensation and alignment

Council members are compensated with streamed token awards from a DAO-overseen allocation, using cliffs and activity-based vesting. This structure rewards ongoing contributions (attendance, reviews, proposal feedback, campaign participation) and discourages purely nominal involvement. Clear contribution logs and milestone check-ins ensure accountability and make renewals or adjustments straightforward through DAO proposals.

# Process and accountability

Council recommendations are recorded in public RFCs or proposal threads and routed through the relevant working group (e.g., Product/UX, Treasury, Risk & Integrity). Where budget is required—such as Prize$Fight pool top-ups or new community perk funding—requests move to token-holder vote under standard quorum and timelocks. This keeps fighter input front-and-center while preserving transparent, on-chain control by $FIGHT holders.

# How value accrues to $FIGHT

Athlete-guided design improves participation quality and conversion at every step of the funnel. Better prediction props, more compelling community perks, credible Prize$Fight criteria, and fighter-vetted partner campaigns lead to more $FIGHT-denominated entries, stakes, purchases, and burns. Those interactions generate fees that flow to the DAO, which—per policy—allocates a share to buybacks and burns (reducing circulating supply) and a share to growth programs (fueling the next wave of users and utilities). Partner demand for FP distribution creates direct burn pressure as projects burn $FIGHT to access the Fight.ID community. In short, the Athlete Council raises product-market fit with fighters and their fanbases, which increases throughput across all $FIGHT sinks and strengthens the token's value loop over time.

# Treasury Policy (Expanded)

Net revenues from $FIGHT-denominated utilities—partner burns (projects burning $FIGHT for FP), community memberships and upgrades, prediction market fees (via licensed partners), merch/ticket rails, FightGear royalties, Prize$Fight protocol fees, and partner revenue-shares—flow to the DAO treasury. Under published policies, the DAO allocates these proceeds to:

Buybacks and burns that reduce circulating supply over time
Ecosystem grants (builders, fighters, creators) with milestone-based disbursements and clawbacks
Liquidity programs that deepen markets and smooth onboarding
Risk & security reserves for audits, oracle integrity, and dispute handling

Budget allocations are reviewed on a regular cadence (e.g., quarterly) and require fresh votes to renew.

# Transparency and controls

The Foundation maintains on-chain reporting for emissions, treasury balances, incoming fee streams, grants issued, and program outcomes. Key contracts are audited, parameter changes are timelocked, and all multisig signers are disclosed with rotation rules. Conflicts of interest are declared in proposal threads; any emergency powers are narrow, pre-defined, and sunset automatically unless reauthorized by token vote.

# Why this governance model matters

Open, auditable governance builds trust with fans, fighters, partners, and regulators. It ensures that incentives are not changed behind closed doors, that the community can shape priorities, and that resources are deployed where they create the most value. The Athlete Council's input keeps utility fighter-centric; working groups keep operations focused and accountable; and progressive decentralization ensures speed now without sacrificing long-term legitimacy.

# How value accrues to $FIGHT (Governance Context)

Rational treasury management ties real, recurring revenues to buybacks/burns and to the growth programs that create the next wave of usage. As prediction markets, communities, and commerce rails scale, fee throughput in $FIGHT increases; the DAO converts part of that throughput into reduced supply (burns) and part into higher utility (grants, liquidity, partnerships). Because token holders ultimately approve these policies, improvements to value capture feed back into $FIGHT itself, reinforcing the token's role as the economic backbone of the ecosystem.

# Transparency & Accountability

All governance actions and treasury operations are tracked via a public Transparency Dashboard, which displays:

DAO proposal status and history.
Treasury balances and disbursements.
Emission schedules and vesting progress.
Council and delegate participation metrics.

Audited reports are published quarterly, and governance documentation is maintained openly on-chain and in the official GitBook.

# Disclaimer

This governance framework is provided for informational and transparency purposes.
Nothing in this Charter constitutes an offer of securities, investment advice, or a guarantee of future value.
All policies and parameters may be amended through DAO governance or regulatory requirements as the ecosystem evolves.

Fight Foundation — stewarding the transition from centralized leadership to community ownership, one fight week at a time.