This topic is wished to create a different direction for change on current low involvement in Opengov, leading to unsatisfied consequence. Open to discuss and spread over X and any platforms.
Proposal: Empowering the Community: A Revolutionary Approach to Staking Rewards and Governance Participation
Introduction
The governance structure of Polkadot’s Opengov has increasingly come under the influence of a small group of whale investors, leading to substantial cash-outs from the treasury and a concerningly low voting rate. This situation necessitates a comprehensive solution to enhance participation and ensure that governance reflects the interests of the broader community. This proposal outlines a plan to link staking rewards directly to individual voting engagement and introduces a sustainable and effective grading system for DOT holders.
Proposed Solution
To address the challenges facing Opengov, we propose a framework that incentivizes active participation among DOT holders by linking their staking rewards to their voting engagement. This initiative aims to cultivate a more equitable governance model and increase overall community involvement.
Mechanism Overview
- Staking Rewards: The ideal staking reward is set at 16.5%. Each DOT holder will have an individual engagement score based on their voting frequency and overall participation in Opengov.
- Engagement Requirements:
- To maintain the ideal staking rewards (16.5%), holders must actively participate in Opengov, including voting and discussions, as outlined in the grading criteria.
- Holders can recover their engagement score and increase their staking rewards by participating in votes and contributing to discussions.
Proposed Sustainable Grading System for DOT Holders
Grading Categories and Criteria
- Grade A: Active Contributors
- Criteria:
- Engage in governance votes at least twice a month.
- Actively participate in discussions or propose initiatives at least once a month.
- Support a minimum of three proposals per quarter.
- Rewards: 100% staking rewards + bonus rewards from inactive voters’ pools.
- Grade B: Regular Voters
- Criteria:
- Engage in governance votes at least once a month.
- Participate in discussions or propose initiatives at least once every two months.
- Support a minimum of two proposals per quarter.
- Rewards: 90% staking rewards.
- Grade C: Occasional Voters
- Criteria:
- Engage in governance votes at least once every two months.
- Participate in discussions or propose initiatives at least once every three months.
- Support at least one proposal per quarter.
- Rewards: 80% staking rewards.
- Grade D: Infrequent Voters
- Criteria:
- Engage in governance votes at least once every three months.
- No requirement for discussion participation or proposal support.
- Rewards: 70% staking rewards.
- Grade E: Passive Holders
- Criteria:
- No votes or engagement in governance discussions for over three months.
- Rewards: 50% staking rewards.
Additional Features for Sustainability
- Engagement Metrics:
- Voting Participation: Weight votes based on the significance of the proposals, encouraging involvement in high-impact decisions.
- Discussion Contributions: Reward holders for participating in governance discussions, contributing to proposals, or providing feedback.
- Feedback Loop:
- Implement an annual review of the grading criteria based on community feedback and participation rates to ensure the system remains effective.
- Dynamic Adjustments:
- Periodically adjust grading criteria based on overall participation trends and community needs, ensuring flexibility to encourage engagement.
- Social Incentives:
- Introduce social recognition for high-graded participants, such as badges or public acknowledgments within the community, fostering a sense of achievement.
- Delegation and Support:
- Enable holders to delegate their voting rights while still maintaining their engagement score based on participation.
Expected Benefits
- Increased Participation: By linking rewards to voting engagement, DOT stakers will be incentivized to actively participate in Opengov, leading to better governance outcomes.
- Enhanced Governance: The proposed mechanism will discourage exploitative behavior and promote fair participation, ensuring that treasury resources are protected.
- Higher On-Chain Activity: A significant increase in daily, weekly, and monthly active addresses is anticipated, resulting in a surge in on-chain transactions due to increased voting activity.
- Encouragement of Ecosystem Proposals: Active voters will be more likely to propose and support initiatives that benefit the Polkadot ecosystem.
- Greater Fairness and Inclusiveness: This approach fosters a more democratic governance process, where every vote counts and is rewarded appropriately.
Alignment with Governance Principles
The proposed plan aligns with the core principles of Polkadot’s governance:
- Initiative: Encourages proactive voting behavior.
- Fairness: Ensures equitable treatment of all DOT holders.
- Inclusiveness: Engages a wider range of participants in the governance process.
- Democracy: Strengthens the democratic nature of decision-making.
- Consensus: Facilitates a more robust consensus through increased participation.
Implementation Considerations
- Reward Structure: The proposed changes will not adversely affect the overall inflation of the DOT token, as rewards are redistributed among active participants.
- Delegation of Votes: Holders may delegate their voting rights to trusted representatives, ensuring that their voices are still heard even if they cannot participate directly.
- Strict Voting Policy: Adherence to a strict one DOT, one vote policy will be maintained to ensure fairness and transparency.
Conclusion
The proposed link between staking rewards and voting engagement represents a significant step forward in enhancing Polkadot’s Opengov governance model. By fostering a culture of active participation through a sustainable grading system, we can create a more vibrant, fair, and effective governance process that truly reflects the interests of the Polkadot community. I urge stakeholders to consider this proposal and collaborate to implement these changes for the betterment of our ecosystem.
It is for sure that way to grade a stakers and the relevant rewards should be strictly discussed over Polkadot community.