Introduction

This proposal represents a defining moment in the decentralization of the AI Protocol by granting qualified ALI token holders the ability to submit proposals directly and take an active role in shaping the Protocol’s development. With this transition, decision-making power moves fully into the hands of the community, empowering those who hold ALI tokens, build and create on the Protocol, and support the network to guide its continued evolution.

From its earliest days, the AI Protocol has been guided by a vision of progressive decentralization, gradually shifting authority from its contributing developers to its community of ALI token holders.

Phase 1: Constitutional Foundation

Phase 1 began with the Inaugural Vote for the Constitution of the AI Protocol, during which the community established the core principles of governance. This foundation was tested and strengthened through early votes to enforce those rules, including the removal of AI Characters found to be in violation of the Constitution.

Key Phase 1 Votes

• Inaugural Vote for the Constitution of the AI Protocol

• Removal of AI Characters in Violation of the AI Protocol's Constitution

• Removal of AI Characters in Violation of the AI Protocol's Constitution

Phase 2: Stewardship and Accountability

Phase 2 focused on stewardship, accountability, and ethical governance. Through proposals such as token burn initiatives, white hat bounty rewards, and the adoption of responsible AI creation guidelines, token holders assumed a greater role in shaping how resources were managed, how ethics were upheld, and how the ecosystem remained secure and transparent.

Key Phase 2 Proposals

• ALI Token Burn Initiative #1

• AI Protocol's Guidelines for Responsible Creation and Usage of AI

• ALI Token Burn Initiative #2

• Reward ZachXBT with a Bounty

• ALI Token Burn Initiative #3

Phase 3: Full Decentralization

The Protocol is now entering Phase 3: Full Decentralization. This proposal represents the final step in that journey, granting ALI token holders the ability not only to vote, but also to directly draft and submit proposals to Snapshot, provided they meet a defined holding threshold of 10,000,000 Artificial Liquid Intelligence (ALI) tokens.

With this reform, the AI Protocol completes its transition to a fully community-governed ecosystem.

Why This Matters

This change will:

• Enable the expansion of AI agent economies on the AI Protocol
• Unlock the power of Level 5 Intelligence Pods and Soulbound Intelligence
• Open new on-chain liquidity and resources to support dApps and AI compute infrastructure
• Meet the explosive demand of the growing on-chain AI systems creation market

The minimum threshold ensures that stakeholders with meaningful commitment can draft and submit proposals, protecting governance from spam and low-quality initiatives. It strikes a balance between accessibility and responsibility:
those with significant stakes help set the agenda, while all token holders retain the power to discuss and vote.

Proposal Summary

It is proposed that ALI token holders who hold 10,000,000 ALI or more gain the right to submit governance proposals directly to Snapshot. These proposals will then be subject to a binding vote of the entire ALI community.

This change marks the completion of the Protocol’s decentralization process, empowering token holders to play a fully participatory role in shaping the future of the ecosystem.

Key Points

Eligibility Threshold

• Any ALI token holder with 10,000,000 ALI or more may submit a governance proposal.
• The threshold ensures proposers have meaningful alignment with the Protocol’s long-term health and growth.

Binding Community Vote

• Proposals submitted will go directly to Snapshot for community-wide voting.
• Voting results will be binding on the Protocol.

Final Decentralization Step

• This reform transitions the Protocol to fully decentralized governance, without reliance on a centralized proposer group.

Vote Options

• Yes – Approve allowing ALI token holders with 10,000,000 ALI or more to submit proposals directly to Snapshot, completing the final step of progressive decentralization.

• No – Reject the proposed change and retain the current system, where only proposals submitted by AI Protocol developers are put to Snapshot for community vote.

• Abstain – Decline to vote either for or against the proposal.

Conclusion

This proposal would complete the AI Protocol's decentralization. By giving qualified ALI token holders the ability to submit proposals directly, the community gains full agency in governance, ensuring that the Protocol’s future is shaped by those who hold and support it.

We urge all token holders to participate in this pivotal vote and help finalize the transition to community-driven governance.