The Annex protocol is governed and upgraded by ANN token-holders, using three distinct components; the ANN token, governance module (Governor Alpha), and Timelock. Together, these contracts allow the community to propose, vote, and implement changes through the administrative functions of a aToken or the Comptroller. Proposals can include changes like adjusting an interest rate model, to adding support for a new asset.
Any address with more than 10,000,000 ANN delegated to it may propose governance actions, which are executable code. When a proposal is created, the community can submit their votes during a 3 day voting period. If a majority, and at least 20,000,000 votes are cast for the proposal, it is queued in the Timelock, and can be implemented after 2 days.
ANN is an ERC-20 token that allows the owner to delegate voting rights to any address, including their own address. Changes to the owner’s token balance automatically adjust the voting rights of the delegate.