🗳 This Week in Governance - Dec 29
A weekly resource covering Web3 governance, politics, and power.
📣 Key Points
Index Coop Launches dsETH
Aave DAO Debates v3 Parameters
Bankless DAO Considers Pausing Coordinape
… and more
Voting Activity (L7)
🗳️ 13,907 ballots (-84%)
👥 7,355 voters (-80%)
📜 179 proposals (-29%)
🌐 50 active DAOs (-22%)
Quiet week… Happy Holidays 🥳🎄
🗞 DAO News in Brief
Index Coop Launches dsETH
This week, Index Coop successfully passed a proposal to launch the Diversified Staked ETH Index (dsETH), which aims to provide users with a diverse range of exposure to liquid staking tokens on Ethereum. The token index is composed of Rocket Pool (rETH), Lido (stETH), and Stakewise (sETH2) liquid staking tokens and is weighted to prioritize decentralized staking options. It will have an initial composition of 44% rETH, 30% stETH, and 26% sETH2. This is the first product to be built on the Index Protocol, a fork of the previously used Set Protocol v2. The development of dsETH was initially delayed in order to first complete a token swap with Balancer, forming a strategic partnership between the two protocols. Index Coop plans to use Balancer pools to support the new index. dsETH hopes to enable simple exposure to the top liquid staking tokens on Ethereum by bundling them into a single ERC20 token.
Aave DAO Debates Initial v3 Parameters
With the launch of Aave v3 on Mainnet fast approaching, both Chaos Labs and Gauntlet have published their initial parameter recommendations for the assets that will be listed on the new platform. In a forum post, Chaos Labs suggested dividing the upcoming asset listings into two stages: Launch & Post-Launch, with the first stage including stablecoins and top-tier assets, and the second stage comprising the remainder of the assets that the Aave community has previously voted to include. The post also provides risk parameters for the following assets: WBTC, WETH, wstETH, USDC, DAI, LINK, and AAVE. Gauntlet also published their own recommendations for v3 asset listings, which have prompted further discussion among the community about the need for the two risk managers to collaborate and reach a consensus. DeFi protocols like Aave frequently use risk parameter recommendations from service providers like Chaos Labs and Gauntlet to make informed decisions about changes to their asset listings and to manage risk effectively. As the Aave DAO's primary risk managers, the two service providers will need to work closely together to provide the best possible risk analysis and management for Aave v3. The DeFi protocol aims to roll out v3 with a holistic approach that takes into account as much feedback and expert opinion as possible in order to minimize risk and ensure the stability of the new platform.
📚 Good Reads
“The Year in DAOs” from Logos DAO
“Onchain-ing Everything with RWAs” from Bankless
“Adams Defies a Rough Year to Make Uniswap a True Unicorn” from The Defiant
“The Plight, The Toil, The Calling” by Kairon
“What is Metagovernance?” from Aragon
“Euler Labs’ 2022 Send Off” from Euler Labs
“2023 Crypto Thesis” from New Order DAO
“2023 Crypto Market Outlook” from Coinbase
“Crypto Theses for 2023” from Messari
talentDAO 2022 year in review from TalentDAO
🧵 Threads
“There’s a perception that DAOs are the cutting edge” by Daniel Ospina
“It’s interesting to track how code gets licensed to DAOs” by @z0r0zzz
“2022 was a massive year for the Uniswap ecosystem” from Uniswap Labs
“A deep dive on the utility and incentives of UNI” by @robindavidji
🎧 Listens
“Living on the Blockchain w/ Stefen Deleveaux” on Boys Club
“The Next Evolution for DAOs” on Bell Curve Podcast
📜 Proposals
Coordinape Season 7 Proposal
This proposal aims to reevaluate the use of Coordinape at Bankless DAO for Season 7. Recent Coordinape rounds at bDAO have raised concerns about the behavior of some contributors in the distribution of BANK. Coordinape is a budget allocation tool that is used at bDAO to pay its hundreds of contributors. Each season, BanklessDAO contributors allocate approximately 4.5M BANK to each other. The proposal suggests three options for how to proceed: pausing the use of Coordinape for a season, reducing the BANK allocation amount from 1.5M to 500K per round, or reducing it further to 250K per round. The proposal also includes plans to conduct research to assess the effectiveness and productivity of using Coordinape.
👥 Type: Forum Discussion
✍ Author: infinitehomie.eth
eIP 39: Promote LUSD to Cross Tier
This proposal aims to change the parameters of the LUSD stablecoin on Euler Finance in order to upgrade it to the “Cross Tier”. LUSD is a stablecoin from the decentralized borrowing protocol Liquity Protocol. Currently, assets on Euler are categorized as either Isolated, Cross, or Collateral. Upgrading LUSD to the Cross Tier would involve increasing its borrowing factor, decreasing its reserve factor, and adjusting its interest rate model. The purpose of this proposal is to hedge against the risks associated with other centralized stablecoins.
✅ 100% voting ‘Promote LUSD w/ these parameters’
⏰ Voting Ends: Jan 2
⚡ Type: Snapshot Vote
💬 Read the discussion
✍ Author: TokenBrice
Exploring Options on What to Do With Unredeemed Tokens from the User Airdrop
This proposal begins a discussion on what to do with the unclaimed SAFE tokens from the recent user airdrop at Safe DAO. The deadline for users to claim their allocated SAFE tokens from the airdrop passed on December 27th. Out of the 50M available airdrop tokens, a total of 32M tokens were left unclaimed. The proposal presents a few options for how to use these unclaimed tokens, including distributing them proportionally to those who already claimed, using a portion of the tokens to reward contributions, leaving the tokens in the DAO treasury, or a combination of these options.
👥 Type: Forum Discussion
✍ Author: Daniel
Capital Coordination Stream Continuation
This proposal is requesting funding for the Capital Coordination stream at Krause House. This initiative has been ongoing and aims to secure funding to help acquire an NBA team. The proposal is requesting $7,500 in both KRAUSE and USDC per month from December 2022 through March 2023. The Capital Coordination stream is responsible for engaging with potential capital partners, including endowments, pension funds, and sovereign wealth funds; supporting acquisition leads in coordinating and structuring the capital needed to complete an acquisition; and supporting other capital initiatives such as the Krause House Capital Collective and All In for Sport as needed.
✅ 100% voting ‘Approve’
⏰ Voting Concluded
⚡ Type: Snapshot Vote
✍ Author: Lewwwk
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