VirtuSwap Emergency DAO

On VSP#4, VirtuSwapDAO has established an Emergency sub DAO.

The Emergency DAO is used as an additional safeguard to community funds, by having specific, predefined admin privileges that allow them to intervene in extreme circumstances which entiles possible risk to user’s funds. It should be noted that Emergency DAOs rarely use their privileges and in any case, no one have access to funds stored in the smart contracts.

The Emergency DAO holds a combination of traditional Emergency DAO privileges, and functionalities that relate to VirtuSwap unique virtual reserve pool architecture:

Traditional Emergency DAO privileges:

vPair.emergencyToggle	Disables all operations in a pool except withdrawing liquidity. Should be called again to enable all operations of the pool.
vPairFactory.setPendingEmergencyAdmin	The first step in updating the address of the Emergency Admin wallet. After this method is called, acceptEmergencyAdmin must be called to complete the process of changing the Emergency Admin

Privileges specific to VirtuSwap technology:

VirtuSwap DEX enables liquidity pools to hold, for limited scope (up to 2% of the pools TVL), assets not native to the pools as “Reserves”. The goal is to solve the problem of indirect costly trades. Hence, the following additional privileges were granted to the Emergency DAO:

vPairFactory.setDefaultAllowList	Sets the default tokens AllowList to be used with for any new pool created with createPair method.
vPair.setAllowList	Sets the tokens AllowList to be used for a current pool
vPair.setReserveRatioWarningThreshold	Sets the reserve ratio threshold after which the liquidation of reserves is possible for admin
vPair.Liquidate at any price	Liquidate reserves at any price
vPair.setBlocksDelay	Sets the number of blocks for which virtual trading will be blocked for this pool as a reference pool (needed to prevent price manipulation)

On VSP#4, six signatories - composed of a combination of core team members and prominent figures in the industry - were appointed to the Emergency DAO. In order for the Emergency DAO to exercise it's admin privileges, at least 4 members must approve it (±67% quorum and support). Any member can initiate a new decision. Appointing or removing signatories is made via VirtuSwapDAO Ownership proposal.

Polygon (PoS) Emergency DAO multisig address:

0x9FC84abA0d1F6E4e92E4C459BbDc5dD41D1Fc183

To contact members of the EmergencyDAO, reach out via VirtuSwap official TG, Discord, or via email at: [e-mail].

For more information, see VSP#4 here: https://snapshot.org/#/virtuswapdao.eth/proposal/0xbaf5cada2abeb17707f4a7630bf6d06af723591be71291a1c27ccde5f1404c5d