Lil Nouns DAO

tl;dr

Adjusting dynamic quorum parameters would increase DAO health and should increase the percentage of successful proposals that are “hell yes” initiatives.

Summary

I am Milad, and after discussing and gathering feedback from the community, I am presenting this proposal for the enhancement governance workflow of the Lil Nouns DAO:

Dynamic quorum enhances governance by requiring varying levels of support for proposals based on their content. Controversial proposals typically lead to higher voter turnout. Adjusting dynamic quorum parameters can incentivize greater participation and delegation, thereby improving the health of the DAO.

In version 1 of the DAO contract, quorum was a fixed percentage of the total supply. In version 2, the quorum is dynamic, increasing against votes up to a defined cap. Despite upgrading to version 2, these changes remain unimplemented.

In this proposal, we advocate for setting the Maximum Quorum at 15% and reducing the Minimum Quorum to 5%.

Dynamic Quorum Parameters

As articulated in this detailed post, three parameters determine dynamic quorum:

• Minimum quorum %: We propose reducing it to 5%, making it easier for uncontroversial proposals to pass.
• Maximum quorum %: We recommend setting it to 15% to ensure a majority can decide the outcome of contentious proposals.
• Coefficient: This should be set to 1, causing each against vote to raise the quorum requirement by one vote until the maximum quorum is reached.

These parameters can be edited anytime via a proposal; treat these values as the first experiment.

Proposal Transactions for Humans

setDynamicQuorumParams will adjust dynamic quorum parameters as follows:

• Minimum quorum BPs: 5% (500 basis points).
• Maximum quorum BPs: 15% (1500 basis points).
• Coefficient: 1 (1,000,000 in unsigned integer with six decimal places).