Hello Marinade DAO,
As some of you already know, Marinade has planned to move its on-chain governance from Tribeca to SPL-Governance, which uses Realms. This forum proposal aims at obtaining community consensus to move our on-chain governance to this new setup, as well as ratifying together the Marinade’s Constitution as well as Marinade’s Code of Conduct, as they are stated in their respective forum posts.
What do you propose?
This proposal suggests:
- Deprecating Tribeca in favor of Realms, effectively moving Marinade’s on-chain governance to an updated setup.
- Ratifying Marinade’s Constitution, which would imply:
- Moving the DAO treasury into the hands of MNDE holders, with Realms as a means of controlling the funds.
- Allowing the Marinade’s contributors team to act on behalf of the DAO regarding the parameters of the pool and DAO programs, as well as the fees applied to Marinade’s products.
- Ratifying Marinade’s Code of Conduct
What is the rationale behind the proposal?
For the last year, Marinade has been the sole DAO using Tribeca to manage its on-chain governance.
While choosing Tribeca initially made sense to benefit from a finalized governance system and the presence of gauges, continuing to use Tribeca makes less and less sense as Marinade would bury itself into being the only maintainer of this system, and would bear all the costs of improving it.
On the other hand, SPL-governance, a DAO system created and led by Solana, is becoming widely used by Solana DAOs and benefits from regular updates, as well as new plug-ins created either by Solana or teams using it.
Replicating this innovation and those updates on Tribeca, only for Marinade to be able to benefit from it would be a waste of time and resources. For this reason, we believe that Marinade should deprecate Tribeca and move to SPL governance, where any additional DAO tooling development (coming from Marinade or other teams) would benefit the wide Solana ecosystem.
Moving Marinade’s on-chain governance to SPL governance would also allow some interesting development in the tooling available for Marinade:
- Along with a migration to SPL Governance, Marinade would introduce a new plugin allowing the delegation of voting power. This update would allow any MNDE holders to delegate their voting power to someone they trust or want to support.
- One of the main factors in initially choosing Tribeca over SPL governance was the presence of gauges. Along with the migration, Marinade would bring a gauge mechanism to SPL governance to be able to conserve the MNDE utilities currently in place.
- Moving to SPL governance will allow Marinade to give ownership of the MNDE treasury to MNDE holders, as treasury management is natively supported by Realms.
- SPL governance should also bring more visibility and transparency to Marinade’s governance system overall.
I believe that this transition is also the perfect time for our entire community to agree on its constitution, and the code of conduct to respect when interacting with Marinade governance. For this reason, I suggest that the on-chain vote confirming our migration to SPL governance would also ratify both those documents, on-chain. The rules stated by those documents would be fixed and enforced going forward.
Following this change, and according to the Constitution, this is how the powers would be split in the Marinade DAO:
Marinade DAO (MNDE holders):
- Control over the MNDE treasury
- Control over the MNDE incentives through gauges
- Control over a percentage of the stake through gauges
Marinade Council (4/7 multisig):
- Control over Marinade’s contracts parameters and Delegation strategy parameters
- Adding/removing liquidity incentives and validator gauges
- Control over the protocol fees
- Control over the Marketing budget
The grant committee would still conserve control over grant-related topics. Funds would be unlocked by Marinade’s Council on the committee’s requests.
The upgrade authority over Marinade’s main smart contract would still be held by the ecosystem multisig (6/13 multisig).
Over time, the goal will be to gradually delegate the powers held by Marinade’s Council to the mDAO.
What is the expected positive impact of this change?
This change would impact positively Marinade by:
- Bringing transparency to its governance system
- Allowing MNDE holders to have control over the treasury
- Allowing Marinade to leverage an ever-growing DAO tooling ecosystem and benefit from its latest updates and innovations
- Bringing delegation of voting power, allowing people to hold MNDE even if they don’t plan on participating in governance. Delegation of voting power also opens the room for a bribing system to be built on top, where MNDE holders could get rewarded in exchange of their voting power.
- Conserving all of the current utilities of MNDE despite the migration.
This migration is also a net benefit for the Solana ecosystem as a whole, as Marinade would be able to build DAO tooling on top of SPL governance in an open-source fashion, which would benefit all the DAOs operating on Solana.
Any other considerations?
There are important considerations linked to this proposal. I’ll list them below:
Due to technical reasons, the gauges system would move from a “Set & Forget” approach to an approach where users need to revote every week.
- We can see this change as an experiment on gauges participation.
- It’s important to note that in this new governance system, you will be able to delegate your voting power to a “Crew Leader.” We may end up with increased participation in gauges, as voting power could be mostly delegated to a subset of MNDE holders actively participating in governance.
- This change would not be definitive and depending on the results, Marinade’s team can decide to commit time and effort and/or offer a grant to make those new gauges evolve towards a “Set & Forget” approach
This proposal would give Marinade the green light to proceed with the migration, but the migration would only happen once Marinade’s contributors have finalized all the technical work needed to proceed with the migration.
This proposal would both green-light the migration to SPL governance and ratify the Constitution and the Code of Conduct. If you see amendments necessary in either of these documents, please raise them up on their respective Forum posts and try to obtain consensus on the needed modifications before this proposal is set to an on-chain vote.
As mentioned above, the delegation of voting power also opens the door for a bribing system to be built on top. This is nonetheless out of scope for the migration.
Thanks for reading, I’m keen on hearing your thoughts on this proposal