Proposal to the Vaulta (EOS) Community: Rethinking the Consensus Model (DPoS to PoS) We are currently in a state where the network’s economic model is working against itself. PROBLEM 1 Lack of incentives to accumulate Token A - Block Producers (BP) are not interested in holding the token - Governance participants are not tied to its value - Key actors in the network have no skin in the game 2 Lack of demand and utility for Token A - The only practical action with the token is selling it - There is no scarcity - There is no reason to hold the asset long-term 3 Distortion of the governance model - Voting for BPs and proxies leads to: a) cartel agreements b) corruption mechanisms c) decision-making in personal interests rather than in the interest of the network As a result: The token economy is fundamentally flawed at its core, and network governance is inefficient. __ PROPOSED SOLUTION: transition from DPoS to PoS A transition to Proof-of-Stake can fundamentally change the incentives within the system. WHAT THIS WILL GIVE: 1 Alignment of incentives - Decision-makers will be forced to hold the token - BPs and governance become financially interested in network growth and token price 2 SKIN IN THE GAME - Any decision directly affects their own capital - Mistakes become costly → decision quality improves 3 Emergence of real token utility - The token becomes: a) an instrument of participation in decision-making and a source of power b) a security bond of the network c) a source of income (staking) 4 Formation of demand - Competition for participation in consensus - Growth of demand for the token as a productive asset 5 Increased efficiency - BPs will be forced to optimize expenses - hiring and decisions will be based on efficiency, not agreements Additional effects (critically important) - Reduction of inflation pressure — fewer forced sell-offs - Improved market perception — PoS is understood by investors - Reduction of systemic corruption — stake replaces political agreements - Growth of long-term holders — formation of a sustainable community - REMOVES DRAMA from DPoS Key idea: Today Token A is a consumable. In the PoS model it becomes capital, value! A network where capital is tied to governance is always more resilient than a network where governance is detached from risk, as it is now. Question to the community: Are we ready to move from a model where no one is accountable to a model where every participant has skin in the game? This is not just a change of consensus. This is a change of the entire economic logic of the network.