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Fund Auditing and Oversight
The transparency inherent in open source finance eliminates much of the necessary oversight typically associated with professionally managed capital pools.
That being said, DeFi presents its own unique challenges, like front running or price manipulation. And the $88T in assets being currently being managed by institutional fund managers globally have current requirements for formal audits and associated compliance requirements, such as annual K1 documentation.
SmartFunds architecture is designed such that the governance process can replace these functions long term, while still enabling funds to comply with these requirements in the immediate term.
SmartFunds accounting oversight will be managed by governance, which will include a matchmaking function between fund managers and compliant auditors, with incentives for CPA involvement in the protocol.