## Demystifying the Sovryn Exchequer: A Look at Its Role in Treasury Management and Governance
Community Call #57 was an informational session designed to provide the community with a clear understanding of the **Sovryn Exchequer**. The members of the Exchequer committee joined the call to explain their mandate, their day-to-day responsibilities, and how they function as a key operational and safeguarding body within the framework of the Sovryn Bitocracy.
### What is the Exchequer?
The Exchequer is a multisig committee elected by the Sovryn Bitocracy (SOV stakers). It is not a centralized board of directors; rather, it is an administrative body empowered by the community to carry out specific functions. Its primary mandate is to enact the will of the Bitocracy and manage the operational finances of the protocol.
### Key Responsibilities
1. **Treasury Management:** The Exchequer is the custodian of the Sovryn Treasury. It is responsible for managing the protocol’s funds, including SOV tokens and protocol-earned fees. This involves securing the assets in multisignature wallets and ensuring there is sufficient runway for development and operations.
2. **Budget Execution:** The Bitocracy votes on and approves the high-level budget for the protocol. The Exchequer is then responsible for executing this budget, which includes paying core contributors, funding marketing campaigns, and disbursing grants for the Builder Program.
3. **Executing Governance Proposals:** For certain types of governance proposals (SIPs) that cannot yet be executed autonomously on-chain, the Exchequer is responsible for implementing the approved changes after a successful vote.
4. **Acting as a Guardian:** In the current governance model (Bitocracy 2.0), the Exchequer multisig also serves as the ‘Guardian,’ holding the power to veto malicious proposals as a final security measure. This role is planned to be separated in Bitocracy 3.0.
### Accountability to the Bitocracy
The Exchequer is fully accountable to the SOV stakers. The committee provides regular financial reports to the community and its members can be removed or replaced by a vote of the Bitocracy. This ensures that the Exchequer always acts in the best interests of the protocol and its stakeholders.
The session provided valuable insight into the practical workings of Sovryn’s governance, demonstrating the balance between decentralized decision-making (the Bitocracy) and efficient, accountable execution (the Exchequer).