Governance Group Season 2

Title: Governance Working Group Season 2

Authors: Marcus | LXDAO#2814

Editors: Marcus, Bruce, Kahn, Ray

Date Created: 2023/03/25


This is the proposal of the second quarter governance team, which is responsible for the governance of LXDAO.

The governance working group is the most important WG in LXDAO. It is mainly responsible for studying and optimizing LXDAO’s governance process, incentive mechanism, points management, onboarding, financing, etc.

Season 1 Summary

During the first quarter, we did, among other things, design the basic governance model (including the governance structure of soft and hard proposals), the basic discussion of the token model, and the proposal assistance for some buidlers.

In addition, during the first quarter, we

  • Held weekly governance calls
  • Documentation output and specification of the governance model (payroll study, workflow study, points management study, etc.)
  • Weekly DAO studies (for 1.5 months)
  • Token economy design discussions
  • Ongoing governance coordination tasks

Proposal Description

Season 2 goals

Our main goals for Season 2 are to improve the coordination of activities within LXDAO as a whole, improve the role and member holder accountability, better coordinate potential partnerships, improve talent development paths, increase activity among existing members, and design a contribution engagement approach to help outside members better understand LXDAO and participate in contributions. In Q2, we look forward to further educating and engaging members more flexibly, efficiently, and effectively.

For the second quarter, we had two meetings ahead of time to discuss and identify topics

Our daily plan for the 2nd quarter is to

  • Weekly governance calls
  • Weekly DAO research assignments

Our mainline task framework

  • Design better governance mechanisms (voting, participation, retirement)
  • Optimize existing organizational structure (working groups, project teams)
  • Tokenomics design and compensation management
  • Proposal guidance, ongoing governance coordination tasks

1. Plan for designing better governance mechanisms (voting mechanism, participation mechanism, retirement mechanism)

According to the a16z report description (Paying People to Participate in Governance):

Innovations in decentralized governance include new ways to design voting, new forms of delegation, new systems that take us beyond narrow token voting, and more. However, each of these innovations relies on full participation in governance to be successful. Thus, one of the biggest obstacles to decentralized governance is that not enough people are participating.

When few people participate, projects become less decentralized, which raises several interrelated issues. Fewer participants:

  • Allowing adversaries to execute governance attacks more cheaply;
  • Raises regulatory and legal issues related to securities law; and
  • Eroding the democratic legitimacy of the organization, which can make it more difficult to recruit contributors, attract users, or achieve basic goals.

In the middle of the first quarter, we found that some buidlers were not as motivated to participate in governance, due to the fact that there is no clear incentive to participate in governance, which is bad, according to our research.

Promoting Buidler’s motivation in governance is necessary, so we will design a good points and compensation management system this quarter.

What we will address in the first month

  1. Start the governance process based on the approved LIP0 proposal, output the governance document, follow up on the feedback results, and follow up on the metrics (turnout, voting experience, etc.)
  2. Design the new Onboarding process according to the discussion
  3. Research more than 10 DAO or project contributors to participate in the system and output research documents and reference materials

What we will solve in the second month

  1. Follow up on the LXP compensation management system and design a governance participation incentive program
  2. Optimize and follow up on the compensation management system and people management system
  3. Research the governance reward system of more than 10 DAOs or projects, and output research documents and reference materials

What we will solve in the third-month

  1. Research a better governance system to fully motivate each buidler’s voting participation and design a draft token economy related to governance
  2. Research voting governance and voter participation systems for 10+ DAOs or projects, and output research documents and reference materials
  3. Summarize the work based on the current situation, make a plan for the next cycle, and do the replacement work

2. Optimize the existing organizational structure (working groups, project teams)

In this quarter, we will remove the Core Team mechanism, and make the DAO more decentralized (thanks to the Core member’s great contribution in the early days of LXDAO).

This quarter, we will revamp the entire DAO organizational structure and present our plan and execution.

  • Design the overall budget and financial plan of DAO, and assign the financial plan to working groups and project teams
  • Optimize the organizational structure, run the entire DAO process as a workgroup and project group, and output the governance structure optimization document
  • Help other working groups and project teams to create, create helpful documentation
  • Ongoing governance oversight role and output of governance oversight documentation

3. Token Economics and Compensation Management

In the last quarter of Tokenomic Design, we had several discussions about governance rights, the Ve model, token business revenue, pledges, etc.

Reference: Tokenomic Research

In the new quarter of token design, we are tasked to

  • Research more than 10 DAO or project token design solutions, output research documents, and reference materials
  • Design several draft versions of the tokenomics design

We will also manage payroll monthly (including LXP and tokens).

4. Proposal guidance, ongoing governance coordination tasks

Good proposal guidance is the key to helping projects and workgroups run well, and in the last quarter we put together a basic proposal template and a salary and income distribution reference.

During the first quarter, we found that some buidlers still have some doubts about proposal writing, and the requirements are different for different projects

In accordance with LIP0’s governance charter, during the quarter:

  • We will design three proposal templates: generic proposal, governance proposal, and project proposal, to help each buidler better plan their proposals
  • Continuously help the DAO buidler to initiate and build proposals

Team settings

Committed Members: 1 Lead and 3 Researchers
Flexible Members: Unlimited Researchers

Leader: day-to-day management, coordinates the progress of the entire governance team, organizes meetings, and coordinate governance. Head and interface of LXDAO Governance Working Group.

Researchers: Responsible for conducting research, participating in governance-related tasks, attending meetings, and sharing ideas. They will assist the leader in achieving the goals of the governance team.

Flexible Members: Flexible working, assist researchers in finishing some works, share the Bounty based on the contribution.

Role Amount Committed Working Time Salary
Leader 1 ~20hrs/Week 25U/h 2000 (U/LXP)/Month
Committed Researchers 3 ~15hrs/Week 20U/h 1200 (U/LXP)/Month
Bounty 3000 (U/LXP)/Month
Total per Month 8600 (U/LXP)/Month
Total 25800 (U/LXP)

Please note that the design of LXDAO treasury and budgets will determine the proportion of U or LXP in your salary. In case there are not enough stablecoins available for the budgets, LXP will be used instead.

Key Results

We will do a weekly summary of our work and output weekly reports:

In the first month, we will output

  • Governance process based on approved LIP0 proposals, output governance documents, follow up on feedback, follow up on metrics (turnout, voting experience, etc.)
  • Design an Onboarding participant program
  • Optimize the organizational structure, help establish working groups and project teams, and output proposal reference documents
  • Design three proposal templates: generic proposal, governance proposal, and project proposal, to help each buidler to make a better proposal plan
  • Design DAO overall budget planning

In the second month, we will output

  • Follow up on LXP compensation management system and design governance participation incentive plan
  • Optimize and follow up the compensation management system and buidler management system

In the third month, we will output

  • Study of a better governance system to fully motivate each buidler’s voting participation and design of a draft governance-related token economy
  • First draft of Tokenomics Design V1.0

Leader election

For the second quarter, there are 2 candidates for the Project Manager. The results will campaign in the forum proposal

Bruce: LXDAO Governance Season 1 Member, Early governance mechanism designer, LXDAO Initiator, Senior Full Stack and Solution Architect, Ex-PM of famous Alibaba Open Source project

Marcus: LXDAO Governance Season 1 Leader, Early governance mechanism designer, Early contributor, Game Developer, AI Product PM

  • I agree, I think this proposal is very good
  • I disagree, I think the proposal needs to be improved

0 voters

Project Manager
  • Bruce
  • Marcus

0 voters

According to my project experience. Some improvement is required on staff’s salary.
I suggested PM with 35u per hour and Researcher with 30u per hour.

Based on Kahn’s advice, I have polished the proposal and increased the budget. Fewer budgets won’t attract talent and fulfill their commitment.

I don’t think the salary should be set to 35u, 30u match, I think it’s too high
Governance group responsibilities are more akin to researchers and coordinators and may not be paid as much per hour as senior programmers

According to the analyst salary level and requirements of Coinan

I think the leader hourly salary in 25u, researcher in 20u is better
Of course, the design of bounty can be a little more

For now, as a part-time job and early stage, it can be set a bit lower, and that’s fine. But we definitely need to find more DAO governance experts in the next Season. Because as a programmer, I’m not good at governance, and I can get more from developing work, but time is the same, so I can work for governance for one or two seasons, but it won’t be very long. So finding governance experts is also a big goal for Season 2.

Maybe we can make posters and share on the network, try to attrack some people to join as flexible members, and convert them into committed in the next season.

Now LXDAO community governance, there are some challenges, more creative, rather than daily affairs, it is very valuable, and worthy of such a salary.
However, since they are all part-time jobs, I am worried about the working hours, which may not reach 15-20 hours per week.

The starting salary of Researchers can be lower, such as 20u, but at the end of the season, some bonuses can be given based on output.


That sounds like a good idea.

This is the previous design

I made some salary adjustments, reduced the hourly rate, and increased the bounty design

Leaders 25U per hour, Researchers 20U per hour

This is the after design

1 Like

Agree, increasing the bonuses and sharing based on contribution is good.

You don’t need to worry about the working hours, if committed members won’t fulfill the commitment, we can replace them with flexible members in the following month.

Come on!!!
LXDAO to the moon!!!

Talent selection is more important than salary.

1 Like

Strongly agree with this statement