Democratic Consensus

Withdrawn AIPs
1

Democratising DAO Governance by the virtue of Conviction Based Voting

Aim : The aim of this discussion is to spark a conversation about our approach towards governance and voting. A more comprehensive proposal is in the works.

Disclaimer : Yes this proposal is a result of my late night ramblings. I’ll add more context tomorrow,

Our Approach :

We use the Native token paired up with OnChain Data indexed from chain Indexers to scale up voting power logarithmically.

The test version of the Scaling function has a lock up period of 1-104 weeks where it scales the Proportional voting power from 1 - 100x (i know that’s a lot but I wanted to collect some data, that’s why this high rn)

Logarithmic Equation : y = log(x)^2 * (100/log(104)^2) + 1 | or | y=\log(x)*(100/\log(104))+1

What does game theory say about this?

Everyone would want to minimise the time their stake is locked in and try to maximize the benefits of the multiplier which impacts their voting power.

So there’ll exist a state where both of these will reach an equilibrium. That’s the point which we’ll modify the formula after.

The second reason of keeping the multiplier higher (skewed towards the middle to end section) is to encourage more and more people to lock in their stake for longer to receive governance benefits.

I’ll outline how it all works in the followup detailed proposal as to how it’ll all work.

Ex : If A holds 1000 apecoin without a lock up period and B owns 50 $APE but the lockup period is 5 months. They both’ll have proportional voting power.

The test website like this one for Concentrated liquidity pools will come in handy with this.

Steps to implement :

I can create a mock website where users can play around with the values of the amount staked and Lock in period to get the gist of it.

Requirements : ApeCoin Staking ‘Lock in’ contract v2 (for the full scale implementation)

Things to note : The decision to migrate would be upto personal choice. The v1 staking contract will continue to function with the staked into that contract scaling linearly with the amount of tokens you hold.

Contact v1 and Contract v2

Stake locked into Contract v1 won’t scale, won’t get locked and will generate the same yield. It’ll bypass all the scaling ish cause the stake is free to move around .

Linear scaling : 1 ape = 1 vote (in eqated / proportional voting power)
Logarithmic scaling : x period ; y ape

put that value in → y=\log(x)*(100/\log(104))+1 → Get output

Closing Statements :

With this proposal I’m hoping to start a conversation which will lead us to a fruitful conversation about decision making. Please follow this proposal to see it come to fruition :sparkling_heart:

I have a much more comprehensive plan which i’ll share in time.

Much love to the DAO and each one of its awes00m members

Anky || CEO

Proposals submitted to the AIP Ideas category can be vague, incomplete ideas. Topics submitted here are not required to be submitted as a formal AIP Draft Template, however, you may still use the template if you wish.

1 Like
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Just to clarify, is this meant to be a discussion only or an AIP?

As someone writing a fantasy novel I’m all about mystery villain/hero vibes, but is there a reason why the plan can’t be shared now?

Does this mean that a v2 staking contract needs to be made/deployed where tokens cannot be removed for X amount of time?

Now Feedback

If I understand correctly, and you want to increase voting power based on lock-up of tokens, I’d say this will have one very bad side effect: it will disproportionally tilt voting even more in favor of whales. This is because whales, in general, can afford to lock up tokens for years since they are, by definition, rich and have other funds to cover any life emergencies.

For example, in 2011 I bought 1000 shares of TSLA stock. Alas, I left my job due to depression/bad work environment and spent a year and a half retooling (from Microsoft to Apple stack). I had to slowly sell off to cover living expenses. I made maybe $200k, sure, but if I had other money to live off of, by now these shares would be worth $5M+.

Point is - poorer people can’t afford to lock up stake for as long as rich people can. People can be great contributing members without additional financial gamble that only some can afford. And so if, say, 80% of whales lock up their tokens for optimum time, but only 40% of non-whales do it, then the total voting power difference between whales and non-whales will grow substantially. As such, this proposal would centralize power, which is to say it would go against the D in DAO.

Lmk if I misunderstood.

4 Likes
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I don’t want dismiss any ideas. But I do like seeing complete proposals. It’s hard to evaluate them beforehand. Just something to consider. We haven’t seen many examples of it, but if 10 people below comment. “YES!” The proposal at the top can change afterwards. Just something to be mindful of…! Show me the proposal. Or open a general chat. Happy to talk abt these things

5 Likes
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Little clarification, Looks like that late night juice (not alc ofc) made me overlook a lot of issues. I legit forgot about this about this topic :joy:

First and foremost, It was supposed to be a discussion

The older system with linear scaling will remain in place, vote scaling will be dynamically adjusted instead of a fixed amount which was in the earlier version of this. We’ll dramatically reduce and cap the maximum power scaling as to not hurt the general populous too much.

How about this, I’ll make amends and create it again in some time. Deal ?

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Ignore this, I’ll create a discussion in some time and we’ll take it from there. Deal ?

forget this ever happened :joy:

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Hi @CEOofWeb3.0,

Your topic will be moving to the AIP Draft phase in less than 24 hours. Are you content with the feedback received or do you wish to extend community discussion for another 7 days?

If we do not hear from you within 48 hours after your topic closes, your topic will be moved straight to the AIP Draft process.

We look forward to hearing from you.

-Vulkan

1 Like
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Hey, I’d like to close this and create a general discussion afterwards

I wan’t able to change the topic or delete it or I would’ve done that

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This topic was automatically closed after 7 days. New replies are no longer allowed.

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Hi ApeCoin DAO Community,

@CEOofWeb3.0 has requested to withdraw their application. This AIP will be moved to and remain in the Withdrawn AIPs category.

Kind Regards,

Vulkan

1 Like