Safety Module

The primary mechanism for securing the SiO2 Finance Protocol is the incentivization of SIO2 holders to lock tokens into a Smart Contract-based component called the Safety Module (SM). The locked SIO2 tokens will be used as a mitigation tool in case of a Shortfall Event within the money markets that belong to the SiO2 Finance ecosystem. A Shortfall Event occurs when there is a deficit. The interpretation for the occurrence of a Shortfall Event is subject to the Protocol Governance vote, detailed in Governance.