Enhance yETH Governance Voting: Quorum and Decay

Abstract

Make the following adjustments to yETH governance voting:

• Add a quorum requirement for votes to be considered valid.
• Introduce a decay in voting power as the voting period is about to end.

Motivation

These modifications support the transition to on-chain governance and aim to safeguard yETH governance from misuse.

Quorum

• Minimizes the risk of spurious or harmful proposals being passed unnoticed.
• Reduces spam; saves resources and effort for sincere voters by eliminating the need to respond to proposals with low chances of success.

Voting Power Decay

• Deters abrupt, influential votes in the last block, preventing manipulation by large token holders.

Future Possibilities

The framework is adaptable, allowing for future enhancements based on governance participation trends.

Specification

Application

• Applies to all governance votes, including weights and asset inclusion

Quorum

• A defined quorum threshold of st-yETH participation is necessary for a vote’s passage.
• quorum is measured in voting power (vp), not in st-yETH
• quorum is adjustable through yETH governance:
  • Range: 0 to 500 vp
  • Default: 100 vp

Voting Power Decay

• Voting weights decrease linearly in the final 24 hours, reaching zero at the end of the voting period.

Implementation

• Quorum: Immediately
• Voting Power Decay: With the launch of on-chain governance