The Riders can use our existing social platforms to share their ideas and discuss them. This “informal phase of governance” will allow community members to make suggestions, leave feedback or try if their idea is deemed worthy by the community before submitting it for formal voting. It also lowers the technical barriers some might encounter in submitting proposals during formal governance. In respect to the mechanisms around proposing a new binding proposal (described in further chapters), it is especially important to discuss the ideas with the community first before submitting them as binding proposals.
These suggestions won’t be binding and won’t be implemented solely based on how many positive reactions they gather in this informal setting, for obvious reasons - anyone will be able to create as many accounts as they wish. So the informal proposals/comments/feedback will be left strictly for the community to gather some interesting ideas, have a chat and discover how other Riders feel about the ideas. However, that doesn’t mean the ideas and feedback will remain unheard, only that they still need to be adopted via formal voting procedure in order to be implemented.
The binding proposals are the actual motions for a change of the DEX Platform or the DAO. When the DAO is fully built and takes full force, the Riders will have the ultimate control - they can vote on anything, be it a change of fees, appointing a new officer or changing the DAO governance model. For example, these binding proposals can be used to:
- Adding, increasing, decreasing or removing incentives for farming on a specific pool.
- Adjusting the fees.
- Adding or removing pieces of the UI.
- Budget and treasury expenses approval.
- Appointing an officer to oversee a specific matter.
- Establishing a cooperative partnership with another group.
Due to the general aim to keep the Platform and the DAO compliant to applicable laws and regulations, some proposals or their potential outcomes might be considered illegal. As DAO aims to be a global society governed by Riders’ votes, it is difficult to specify the potential illegality issues. However, some general principles should apply and votes that will be found invasive, abusive, harassing, infringing, obscene, hateful, defamatory, fraudulent or simply non-compliant in their essence shall be considered illegal according to this Charter. Moreover, the proposals that will be violating the Code of Conduct shall be considered illegal too. It is the Riders’ primary responsibility to keep the DEX Platform and the DAO compliant with laws and regulations and thus ensuring their longevity and prosperity. In the future, the DAO should elect a committee to deal with proposals that would lead the DEX Platform or the DAO itself to illegality.
The Riders will be able to submit binding proposals via the Governance Portal in exchange for a 7000 WRT collateral. If the proposal is accepted, the collateral will be returned, however should the proposal fail, the collateral will go to the DAO treasury. This collateral is set high to really incentivize pre-binding discussions and should filter out proposals that do not comply with the standards, would damage the DEX Platform or are malicious. The amount of WRT collateralized when creating the proposal will be locked for the time of the voting. It will be returned to the author of an Accepted proposal or will be transferred to the DAO treasury and re-used to fund beneficial incentives if the proposal is Rejected. In some cases, where the proposal fails but at the same time leads to a beneficial effect (really good new ideas, important discussions, improved follow-up proposal, etc), the author may be compensated for the forfeit collateral from the DAO treasury.
There will be a specially designed page of the Governance Portal for submitting proposals, guiding the Riders through the creation process. Because both the voting and the proposals will be on-chain, the amount of data included in the proposal is limited. Therefore the full description of the proposal, including all its parts like reasoning, funding etc. will be stored in an immutable form off-chain and the proposal will contain a link to the file. In a similar way the proposal will also contain a link to the proposal’s non-binding discussion in the community portal. Apart from these, the creator will need to write a short description in the Governance Portal, specify the options, specify the voting period and when ready, submit the proposal on chain along with the collateral.
A full and detailed guide on how to submit proposals will be released in due time.
Once a proposal passes the voting successfully, it will have to be transformed to code that will be implemented to the system. The code will be created by the WingRiders development team during the time period before the DAO takes full force, -or by another entity after, provided it becomes elected by the DAO for this task. The WingRiders team cares about the platform’s legality and understands the legal risks of the crypto space, but directly interfering with the DAO’s will by rejecting risky proposals would mean a high degree of centralization. Therefore in the future, the DAO will be able to elect a committee with the power to veto proposals to further ensure the platform’s compliance with laws and regulations. Until then, when a risky or harmful proposal is Accepted by the DAO, the only way for the WingRiders initial team to avoid legal exposure is to reject the obligation to create the code for the proposal. In such a case, another entity must be elected by the DAO to provide the code for the proposal and take responsibility.