> ## Documentation Index
> Fetch the complete documentation index at: https://docs.xmaquina.io/llms.txt
> Use this file to discover all available pages before exploring further.

# xDEUS veToken Model

Governance within XMAQUINA is powered by xDEUS, a vote-escrowed governance token minted by staking DEUS.

DEUS must be staked to participate in governance. xDEUS represents a locked governance position and aligns long-term participation with decision-making influence.

<Frame>
  <img src="https://mintcdn.com/xmaquina/GvLtuA78mgZpMjZG/images/TokenStructure(2)-1.png?fit=max&auto=format&n=GvLtuA78mgZpMjZG&q=85&s=05add47cef7755e67f5e90640418b983" alt="Token Structure (2)" width="1600" height="900" data-path="images/TokenStructure(2)-1.png" />
</Frame>

## **What Is xDEUS**

xDEUS is a non-transferable governance token minted when DEUS is staked.

xDEUS:

• Grants voting rights across all governance types

• Governs approval of treasury distributions and capital deployment flows

• Determines quorum participation

• Enables veto authority in optimistic governance models

• Represents time-weighted governance power

## **veToken Model**

XMAQUINA uses a vote-escrow model to align governance influence with long-term commitment.

Under this structure:

• DEUS is staked

• xDEUS is minted

• Governance weight increases with staking duration

This model rewards sustained participation and reduces short-term governance volatility.

Governance influence reflects both capital commitment and time commitment.

## **Multiplier Mechanics**

Effective multiplier is determined by:

• The amount of DEUS staked

• The duration DEUS remains staked

Each DEUS token begins with a base multiplier of 1x.

Voting power and reward weight increase progressively with staking duration, capped at 12x after 12 months.

<Frame>
  <img src="https://mintcdn.com/xmaquina/H84VfdjJ9B5whrC0/images/HighLevelArchitecture(7)-1.png?fit=max&auto=format&n=H84VfdjJ9B5whrC0&q=85&s=86f9f36ea18dd5f25e1a72bf50585dfd" alt="High Level Architecture (7)" width="1600" height="900" data-path="images/HighLevelArchitecture(7)-1.png" />
</Frame>

Although multiplier updates occur per governance epoch, time progression is commonly referenced in monthly intervals for simplicity.

The same multiplier applies to:

• Voting power in governance proposals

• Share of staking reward distributions, where applicable

**Example:**

If 100 DEUS is staked:

• At staking start: 100 effective voting power and 1x reward weight

• Over time: both governance weight and reward multiplier increase progressively

• After reaching maximum duration: up to 1,200 effective voting power and 12x reward weight

The multiplier caps at 12x and does not increase further beyond that threshold.

## **Unstaking and Multiplier Reset**

If DEUS is unstaked:

• xDEUS is burned

• Voting power resets

• Any future staking begins again at the base 1x multiplier

For example:

If 100 DEUS has been staked for 12 months, it may have reached the maximum 12x multiplier, resulting in:

• 1,200 effective voting power

If that stake is withdrawn:

• The 1,200 governance weight is eliminated

• xDEUS is burned

If the same 100 DEUS is later restaked:

• Voting power restarts at 100

• Multiplier accrues again over time

• Maximum weight must be rebuilt through continuous staking

This structure reinforces long-term alignment by rewarding sustained participation rather than short-term staking cycles.

## **Soulbound Design**

xDEUS staking positions are represented as non-transferable soulbound NFTs.

Each staking transaction mints a distinct NFT corresponding to that specific stake.

These NFTs:

• Cannot be sold

• Cannot be transferred

• Cannot be delegated outside governance logic

Governance rights remain strictly tied to the wallet that initiated the stake.

Because staking positions are soulbound:

• Governance weight cannot be traded

• Voting power cannot be transferred independently of the underlying stake

• Participation remains aligned with long-term capital commitment

## **Governance & Incentive Alignment**

By linking both voting power and reward allocation to staking duration, XMAQUINA aligns governance authority with long-term participation.

The same multiplier-weighted balance governs:

• Voting authority

• Quorum weight

• Veto power

• Reward allocation, where applicable

This structure:

• Incentivizes sustained commitment

• Reduces short-term governance manipulation

• Aligns rewards with long-term contributors

• Encourages ecosystem stewardship

Governance influence and incentive allocation operate through a unified multiplier model.
