> ## Documentation Index
> Fetch the complete documentation index at: https://docs.dynamo.finance/llms.txt
> Use this file to discover all available pages before exploring further.

# Governance Overview

> Dynamo operates as a SubDAO within the Morpho ecosystem. Learn how Dynamo's platform governance and Morpho DAO governance interact, and where DYNAMO token holders have influence.

Dynamo Finance operates at the intersection of two governance layers: its own platform-level governance and Morpho DAO's protocol-level governance. Because Dynamo is a **SubDAO** of [Morpho](https://dynamo.finance/), governance is a core part of its operations, not an afterthought.

## Two Layers of Governance

<CardGroup cols={2}>
  <Card title="Dynamo Governance" icon="building" href="/governance/dynamo-governance">
    Platform-level decisions: fee structures, new features, treasury spending, and the path toward progressive decentralization.
  </Card>

  <Card title="Morpho DAO Governance" icon="network-wired" href="/governance/morpho-governance">
    Protocol-level parameters: IRM whitelisting, fees, oracle policies, and risk configurations voted on by MORPHO token holders.
  </Card>
</CardGroup>

## How They Interact

* **Dynamo DAO holds MORPHO tokens in its treasury.**
* **Dynamo token holders** also influence Morpho DAO votes through **delegated voting**, DYNAMO holders delegate their MORPHO to the DAO, which casts votes on their behalf.
* **Dynamo acts as a SubDAO** that compiles risk analytics, aggregates community sentiment, and participates directly in Morpho governance discussions and on-chain votes.
* Decisions that affect Morpho protocol parameters (e.g. new market approvals, IRM changes) are surfaced to the Dynamo community before the DAO votes.

## Why Governance Matters for Dynamo

As a SubDAO, Dynamo's ability to influence the [Morpho protocol](https://dynamo.finance/) directly impacts the products it can offer. This makes active governance participation essential:

* **Risk analytics**: Dynamo compiles and presents data to inform Morpho parameter decisions.
* **Protocol influence**: The DAO's MORPHO holdings allow it to push for changes that benefit Dynamo users.
* **Community voice**: Dynamo token holders have a direct path to influencing both platform and protocol decisions.