6.1 Decentralized Governance Structure

Matrix employs DAO-based governance to ensure RWA asset management decisions are made democratically by stakeholders, not centralized authorities. For each tokenized asset on Matrix, a dedicated DAO is automatically created, featuring the following components:

Governance Components

Component	Functionality
Proposal System	Token holders can propose changes in asset strategy, sales, or operations
Weighted Voting	Vote power determined by token holdings, with optional staking incentives
Execution Engine	Approved proposals executed automatically via intelligent contracts
Transparent Logs	All governance actions permanently recorded on-chain
Multi-tier Access	Role-based permissions (Observers, Proposers, Core Governors)

Technical Compliance

Component	Implementation	Regulatory Alignment
Weighted Voting	Dynamic vote weight calculation based on holdings	Complies with Hong Kong’s Virtual Asset Guidelines, Chapter 8
Execution Engine	Smart contract-triggered execution	GDPR-compliant data privacy controls
Access Layers	Three roles mapped to SPV governance structure	Mirrors board composition of legal entities