What Is a ‘Time-Lock’ Contract and Why Is It Essential for Governance Security?

A time-lock contract is a smart contract that holds the execution of a critical governance proposal for a predefined period (e.g. 48 hours) after the vote has passed.

This delay is essential for security because it provides a crucial window for the community, security auditors, or white-hat hackers to review the proposed changes before they are executed. If a malicious proposal is passed, the time-lock allows for a 'safety mechanism' or 'emergency governance' vote to veto or cancel the malicious transaction before it takes effect.