# Key Features

## AI-Driven Treasury Management

At the core of DUNE lies an **AI agent** that employs advanced algorithms to locate and capitalize on yield-generating opportunities across the Solana ecosystem. This includes:

* **Real-Time Market Assessments**: Continual analysis of liquidity, trading volumes, and volatility.
* **Dynamic Risk Assessment**: Automatic rebalancing when protocol risks rise or market conditions shift.
* **Optimized Portfolio Allocation**: Allocation across lending platforms (e.g., Solend), liquidity pools, staking, and other yield-farming venues to minimize risk and maximize returns.

## Periodic Payouts

Unlike traditional airdrops or simple holding rewards, DUNE conditions reward eligibility on **active staking** within its custom staking platform. The protocol periodically distributes a total of 80% of treasury profits to stakers:

1. **Claimability Through Staking**:
   * Only stakers can claim the periodic rewards; simply holding DUNE in a wallet is not sufficient.
   * This ensures that those committed to the ecosystem and protocol’s long-term vision benefit the most.
2. **Reward Multipliers**:
   * **High Stake Amounts**: Users staking a larger volume of DUNE unlock higher multipliers on their share of the reward pool.
   * **Long Lock Periods**: Extended staking lockups provide boosted yields, rewarding those willing to commit to the project for the long term.
   * **Governance Participation**: Active voters or proposal creators can receive an additional multiplier, incentivizing constructive governance engagement.

These staking mechanisms cater to varying user preferences and levels of involvement, creating a more dynamic and rewarding ecosystem.

## On-Chain Governance

DUNE employs a **community-centric** governance framework:

* **Proposal Submission**: Any DUNE holder can propose modifications to the treasury’s approach, such as exploring new DeFi protocols.
* **Voting Power**: DUNE tokens represent voting rights; holders use them to decide which proposals merit execution.
* **Immediate Execution**: Passed proposals automatically update the AI agent’s parameters, ensuring swift implementation of community decisions.

This system ensures that long-term token holders maintain control over DUNE’s strategic direction and risk appetite.

## Sustainability & Risk Controls

DUNE integrates robust safeguards to ensure its long-term sustainability:

* **Protocol Reserve**: A fraction, in total 20%, of each profit distribution is reinvested in the treasury to create a cumulative buffer.
* **Circuit Breakers**: Should market volatility spike or a protocol prove unstable, the AI agent can trigger a pause or shift assets to lower-risk options, protecting capital from catastrophic losses.
