Govern

Protocol Governance manages all protocol and pool level roles. With respect to Lending Pool management, Protocol Governance will be able to:

• Transfer the Lending Pool management to new addresses.

• Enact emergency pauses on Lending Pools.

• Enact emergency resumption of Lending Pools.

In addition to these actions, Protocol Governance can also set the following parameters that affect Lending Pool Management:

Parameter Name	Default Value	Purpose
Target Stake Percentage	10%	Enforces the stake-to-pool ratio for the First Loss Capital Provider and dictates maximum Pool size
Protocol Fee Percentage	20%	Determines the share of the paid interest allocated to the Protocol
Staker’s Maximum Earning Factor	1000% (10x)	Enforces a limit the First Loss Capital Provider’s leveraged earnings factor
Exit Fee	0.5%	Fee levied on Lenders who withdraw their funds from a Lending Pool