The Advisory Board (AB) is a group of seven elected individuals who represent the token holders by making governance decisions through a voting process (See governance Proposals) and performing management tasks. Unlike token holders, AB members cannot choose to stay anonymous. Also, AB members are expected to vote each time an AB vote is called. A record of each AB member’s vote is stored in the blockchain and thus made public. In addition to making governance decisions on behalf of the token holders, and in contrast with a traditional AB, members perform management tasks. Management tasks do not require a voting round and may be performed by one board member. Management tasks include:
When management efforts of an AB member result in profit, the managing member is also entitled to a share of that profit, for as long as the individual holds the position of AB member. These agreements are recorded in the contract of a fund and are approved by the token holders. AB members can be replaced through a voting process. A majority vote of the AB can temporarily put an AB member in a non-active state as a safety measure. While the non-active state is in force, the AB member in question cannot perform management tasks. Also, the voting power of the nonactive AB member is temporarily forwarded to the founder.