Balancer

Authors: 0xMaha, 0xButterfield

Introduction/Abstract

This proposal aims to bring the Snapshot strategy in line with the original expectations for space based snapshot delegation, by simply using the raw vlAURA balance instead of the voting power, which is delegated on-chain with the vlAURA contract.

In plain English, it proposes using only one layer of delegation rather than two.

Motivation

There are several reasons to make this change:

• It is simpler to measure voting power with one delegation rather than two layers
• vlAURA holders may choose to delegate to Balancer delegates rather than Aura delegates for Balancer proposals
• Many vlAURA holders are delegating with voting marketplaces such as Hidden Hand and may wish to override their vote on Balancer proposals

Risks

This is a relatively minor adjustment to the Snapshot Space as vlAURA-veBAL is already supported, and the calculation for the underlying veBAL remains the same. The new strategy has been tested thoroughly.

Specification

Current strategy

The current Balancer voting strategy uses three sub-strategies:

1. veBAL balance (erc20-balance-of)
2. A delegation strategy (delegation) for the balancer.eth space using veBAL balance (erc20-balance-of) and vlAURA votes mapped to the underlying veBAL balance (aura-vlaura-vebal)
3. vlAURA votes mapped to the underlying veBAL balance (aura-vlaura-vebal)

In this strategy, vlAURA holders delegate their AURA through Aura’s delegation system (i.e. not the Balancer delegation space), and cannot override the vote of their delegate. Given many vlAURA holders delegate with voting marketplaces like Hidden Hand, this is sub-optimal and complicated, since it involves two layers of delegation.

Proposed strategy

Change the vlAURA parts of the strategy to use a new strategy (aura-balance-of-vlaura-vebal) that maps the vlAURA balance (not delegated votes) to the underlying veBAL balance.

In this strategy, vlAURA holders can choose to delegate their vote via the Balancer delegation space. The vlAURA vote delegation does not affect voting power. Similarly to holding and delegating veBAL in this strategy, vlAURA holders can choose to override the vote of their delegate for a given proposal.

Additional Information

• Snapshot Playground
• Strategy code