Astroport is governed by the Astral Assembly, which is tasked with the operation, maintenance, development, and growth of Astroport as a user-governed DeFi commons. xASTRO holders will have the power to propose and make binding votes on smart contract parameter changes, smart contract upgrades, and treasury disbursements.
Astroport’s governance control cannot rest in the hands of a small number of contributors. Therefore, rather than giving multisig signers complete control of the protocol’s treasury and the ability to implement smart contract upgrades, Astroport will put governance in the hands of xASTRO holders.
Built with CosmWasm smart contracts, Astroport can only be upgraded by the contract’s owner address. Therefore, Astroport’s owner address is the governance contract itself. That means that the Astral Assembly must approve all upgrades to the Astroport smart contract on Terra Classic and Terra 2. Treasury disbursements must be approved by the Assembly as well. Upon approval, the upgrades or assignments are autonomously executed. Since this process will be open and transparent, it should be challenging to approve malicious or insecure upgrades.