How veARITECT governance tokens work, including earning, decay, and the separation from $ARITECT.
veARITECT governance token
veARITECT is the governance token that determines voting power in Aritect. Unlike $ARITECT, it is non-transferable and earned exclusively through ecosystem participation.
Key properties
Non-transferable: Cannot be sent, sold, or delegated to other addresses.
Non-wrappable: Cannot be used in DeFi protocols or wrapper contracts.
Earned only: No purchase mechanism — must be earned through participation.
Decaying: Decreases over time without active governance participation.
Earning veARITECT
veARITECT is distributed through ecosystem engagement:
Action
veARITECT
Ecosystem participation
Periodic distribution
Vote cast
+100
Proposal passed (100 bond)
+200
Proposal passed (200 bond)
+300
Proposal passed (500 bond)
+500
Proposal rejected
Bond burned (100-500)
Decay mechanism
To ensure governance remains in the hands of active participants:
Decay rate: -5% per month if no governance actions taken.
Reset: Any governance action (voting, proposing) resets the decay timer.
Purpose: Prevents accumulation of power by inactive participants.
Decay formula:
veARITECT(t+1) = veARITECT(t) × (1 - δ)^n
Where:
δ = decay rate = 0.05 (5% per month)
n = months since last governance action
if action ∈ {vote, propose} ⇒ n := 0
Example: 1,000 veARITECT with no activity
Month 0: 1,000
Month 1: 1,000 × 0.95 = 950
Month 6: 1,000 × 0.95⁶ = 735
Month 12: 1,000 × 0.95¹² = 540
Proposer limits
To protect active proposers while maintaining accountability:
Monthly loss cap: Maximum 20% of veARITECT balance can be lost per month.
Bond locking: veARITECT locked as proposal bond is not subject to decay.
Recovery: Successful proposals reset monthly loss counter.