Summary

This proposal defines the governance requirements for collection allocation for proxy voting on Floor War allocations.

• The vote allocation will be set for a 12 week period before the DAO posts a new snapshot which, if successful, will update the allocation for the following vote and next 12 week period.

• If at any point an NFTX holder wishes to enact a new vote before the 12 weeks is up they can do so through snapshot following the same process as the regular 12 week votes. Any successful votes restart the 12 week timer.

• New collection votes will be run by the NFTX DAO as they are released by Floor DAO

History

In a previous proposal NFTX exercised a claim on ~30k Floor tokens which, once staked, could be used for voting in Floor goverance.

Over the past few months the gFloor tokens have been used to allow NFTX token holders to proxy vote on the Floor Wars and decide which collection would be swept. Example snapshot

Floor has now upgraded to floor V2 and NFTX have migrated and staked the tokens for 12 weeks to allow for maximum voting power.

Floor V2

FloorV2 is now fully on chain for sweeps allowing token holders the chance to vote YES for their preferred collection to be swept, and vote NO for their least favourite collection to be sold.

The top three collections then have the 2 week yield spent on sweeping them in the propotion of the votes, while the bottom collection is sold off based on the proporition of the votes.

Token holders are able to stake their Floor to get voting power, with 12 week staking providing the most staking power. After the stake period expires the tokens maintain their voting power without requiring a restake, and any votes will automatically lock them for 4 weeks.

Once you have voted you do not need to vote again for subsequent Wars, the previous vote distribution will remain for all subsequent votes until updated.

Recommendation on how the new Proxy voting will work

Each collection will be listed on the snapshot as per the existing previous snapshots. NFTX Token holders will be able to vote for which collection they would like to allocate the NFTX holdings for, which will then be applied to the current Floor War.

This initial allocation will then be applied to the current Floor War and left until a new snapshot is cast in 12 weeks time.

For example, if the votes are

• CryptoPunks: 60%
• Milday: 20%
• Remio: 10%
• BGAN: 5%
• Squiggles: 5%

then NFTX will apply that weighting using the voting power for Floor war #1, and it will remain the same until Floor War #7 at which point changes can be made.

While previously there has been no quorum on Floor Wars, this will now require the quorum to be met for the initial setting and each setting afterwards. Failure to reach quorum for new snapshot votes will mean the last successful snapshot vote allocation remains.

If, for whatever reason, an early update to the voting strategy is requested by an NFTX token holder a snapshot can be posted with the same quorum requirements. This new vote result will then begin the 12 week cycle again.

New collection additions

New collection additions will follow the same quorum requirements, and the successful collection in the NFTX Snapshot will be awarded the full NFTX voting allocation (shared voting not possible for new collections on FloorDAO).

For example, if three new collections are up for addition NFTX will run a snapshot for those plus the abstain/none option.

• LIL Pudgys (20%)
• Mooncats (10%)
• Pudgy Milady (10%)
• None (5%)
• Abstain (55%)

This will result in LIL Pudgy recieving the NFTX vote for new collections.

For a vote that ends with these numbers (and reaches Quorum)

• LIL Pudgys (20%)
• Mooncats (10%)
• Pudgy Milady (10%)
• None (25%)
• Abstain (35%)

In this scenario no new collection will receive votes (i.e. NFTX are opting out of voting).

Please note that in these votes "Abstain" refers to the NFTX token holder abstaining from committing their votes towards any decision, but their votes will make up the quorum requirements.

Quorum and Governance Notes

• Minimum Quorum: More than 10% of circulating, non-treasury NFTX must participate for a proposal to Pass.
• Passing Threshold: More than 66.6% (2/3rds) of voting tokens must vote FOR for the XIP to Pass. For changes to the NFTX contract, more than 70% of voting tokens must vote FOR the XIP to pass towards on-chain voting.