Below is a summary of the second CoGov community call, in which we discussed design considerations for the framework and architecture of GoodDollar governance and GoodDAO. Here is a recording of the session.
Agenda
- Brief overview and context-setting from CoGov Weeks 1-3: Mission & Vision
- A look at the initial draft of the GoodDAO Governance North Star
- Run through of the responses to the poll held on the Agora Citizen app
- Participatory discussion and brainstorming in the CoGov Figma board
Key Takeaways
- Hybrid Governance: A hybrid model emerged as the preferred path, combining broad inclusivity for high-level direction with permissioned committees for efficient execution.
- Progressive Decentralization: The DAO will start lean and centralize to build value, then decentralize as the project matures and can afford the associated costs.
- Incentive Mix: Participation requires a mix of financial rewards (even symbolic ones) and non-financial incentives like reputation, as neither is sufficient alone.
- Modular Framework: A modular framework is needed to ensure the right people with the right context are involved in specific decisions, avoiding the pitfalls of broad delegation.
Topics
Governance Philosophy & Structure
- Problem: The group reconciled two conflicting poll results: 1) Inclusive governance is always preferable, and 2) It is acceptable for only a small percentage of members to participate.
- Solution: A hybrid model that balances these needs.
- High-Level Direction: Broadly inclusive for major decisions (e.g., mission, strategy).
- Execution: Permissioned committees or expert groups for faster, more efficient operational decisions.
- Mechanism: Representation via delegation allows all members to have a voice without requiring constant, deep engagement.
Progressive Decentralization
- Rationale: Progressive decentralization was endorsed to manage the inherent trade-off between inclusivity and efficiency.
- Phased Approach:
- Start Lean: Centralize to build initial value and momentum.
- Decentralize Later: Expand inclusivity as the project matures and can absorb the administrative and decision-making costs.
Governance Power Allocation & Incentives
- Token as Ownership: A token is the best way to represent community ownership, but the governance mechanism must translate this into power effectively.
- Incentive Mix: Participation requires a balance of financial and non-financial incentives.
- Financial: Essential for engagement, even if symbolic, as reputation alone is insufficient in a large, disconnected Web3 community.
- Non-Financial: Reputation, influence, and access are also important and require mechanics to celebrate success.
- Power Source: Governance power over money creation was identified as a primary incentive for participation.
Design Implications & Ideas
- Modular Framework: Ensures the right people with the right context are involved in specific decisions.
- Rationale: Avoids the pitfalls of broad delegation, which can create powerful lobbying groups and fail to match expertise to decisions.
- Governance Seasons: Adopt a seasonal model (e.g., quarterly) for focused engagement.
- Benefits: Aligns governance with strategic goals, improves accountability, and reduces the constant demand on community members.
- KPIs: Define KPIs to measure governance success and track progress.
- Delegation Mechanics: Explore structured delegation to trusted groups
Next Steps
Community
- Make sure to join the GoodDollar Governance Telegram channel if you haven’t already
- Contribute additional ideas async in this post or TG (and continue to provide async feedback on the initial draft of the GoodDAO Governance North Star document)
- Participate in the next (and final!) CoGov call on January 29th where we’ll be continuing our conversation and diving deeper into the actual tools and mechanisms that will make this next iteration of GoodDAO run
GoodLabs
- Sam to share an initial spec for the new governance framework, incorporating ideas from this session, before next call