Introduction
Polkadot, a groundbreaking blockchain platform, empowers its community to shape the network's future through a robust governance system. At the heart of this system lies the ability to propose and implement changes to the protocol. Governance proposals leading to referenda are the vehicles for introducing new features, modifying existing ones, or addressing critical issues within the Polkadot ecosystem. This process is designed to be inclusive, transparent, and community-driven, ensuring that the network evolves in alignment with the collective vision of its stakeholders.
By participating in OpenGov, Polkadot's governance process, token holders can actively contribute to the network's development, making informed decisions about its direction. The implementation of governance proposals involves a series of well-defined stages, from the initial proposal submission to the final execution of approved changes. Understanding the mechanics of this process is crucial for anyone seeking to influence the trajectory of the Polkadot ecosystem.
This post aims to provide a comprehensive overview of OpenGov's Referenda lifecycle on Polkadot, covering key aspects such as creating discussion posts and submitting and implementing proposals. By demystifying the process, this guide empowers community members to effectively engage in governance and contribute to the ongoing success of Polkadot.
Background
The term "governance" originates from the Latin word "gubernare" meaning "to steer". Historically, governance was centralized, akin to steering a ship with a single captain. However, the advent of decentralized systems challenges this traditional top-down approach.
Decentralization, by distributing control and decision-making across multiple entities, necessitates a reimagining of governance as a collaborative process rather than a hierarchical command structure.
In Polkadot OpenGov, referenda are the primary mechanism for steering the network's direction. Similar to voting on a proposal, referenda allow token holders to directly influence the platform's evolution. These referenda are categorized into different tracks based on the nature and impact of the proposed changes, ensuring a tailored approach to decision-making.
Unlike traditional governance models, Polkadot doesn't have a fixed quorum requirement. Instead, the passage of a referendum depends on achieving specific approval and support percentages, tailored to the significance of the proposal. This flexible approach ensures that critical decisions require a higher level of consensus while allowing for quicker decisions on less impactful matters.
Deep Dive
PolkAssembly
Login
In Polkadot OpenGov, proposals become referenda through the PolkAssembly dApp, designed to make it easy for the community to get involved in each stage of the process in just a matter of clicks.
Before we create a referendum, we'll have to login with our wallet provider. Click the Login
button on the top right corner, and select your preferred wallet provider.
After selecting your wallet provider, you'd have to consent to log in again by clicking Got it
and subsequently approving authentication and signature requests
Once you've signed the signature requests, you'll be presented with a success page and prompted to enter a preferred username.
Provide a username and click Next
which takes you to a modal that prompts for an email address and a password. This stage is optional and you could Skip
.
The PolkAssembly homepage should be updated, and your username displayed in the top-right corner.
Setting Up a Verified On-Chain Identity on PolkAssembly
Polkadot empowers users to create verified digital identities linked to their accounts. This process involves sharing personal information and obtaining confirmation from authorized registrars.
A verified on-chain identity boosts credibility in Polkadot governance, including referendum proposals. Platforms like PolkAssembly simplify the creation and management of these identities.
This section walks you through the steps to establish and verify your on-chain identity.
Understanding the Process
To establish a verified identity, you'll need to provide personal information such as your name, email, and X.com username. A registrar will review these details to confirm their accuracy.
Required Funds and Fees
Some DOT is required for deposit and registrar fees. The exact amount depends on the information you provide, and you'll need sufficient funds to complete this process successfully.
Steps to Create Your Identity
Locate your profile name in the top right corner and select Set on-chain identity
from the dropdown menu.
Choose the account you want to use for your on-chain identity and click Confirm
.
The following screenshot provides details about setting up an on-chain identity, including fees and required deposits for the People Chain. Click Let's Begin
to start the process.
The next screen lets you manage your on-chain identity details. Here, you can enter your display name, legal name, email, and X.com username.
Conveniently, this window also offers a Teleport Funds
option at the top, allowing you to seamlessly transfer the necessary funds to the People Chain before proceeding.
Click Set Identity
after completing the required details and approve the signature request from the wallet.
Once your transaction is confirmed, you can proceed to the next step: verification.
Verify your information by clicking the Verify
buttons and following the on-screen instructions.
Once complete, click Proceed
to submit your identity for review. Please allow some time for PolkAssembly to assess your information.
Upon approval, your verified identity will be publicly displayed with a green check mark next to your profile.
Congratulations!, now you have a verified on-chain profile! The next section takes a look at creating a discussion post, one of the prerequisites to proposing a referendum.
Adding A Discussion Post
Before submitting a referendum proposal on OpenGov, a discussion post is mandatory. This initial step fosters community engagement, allowing for feedback, suggestions, and collaboration. By initiating a discussion, proposers can refine their ideas, gain support, and increase the chances of their proposal gaining traction within the community before formally submitting it as a referendum.
To add a discussion post, click the Discussions
navigation in the left menu panel and click on Add Post
in the top right corner.
In the new interface, please enter the discussion title in the title box, and in the textarea below, thoroughly describe the proposal, its implications, and benefits to enable community members to make an informed decision.
In the subsequent form elements, choose whether you want to add a poll to the discussion, select a topic, or add a tag. You can also open comments on the post to all users, verified users, or even decide to close commenting completely.
Once you're satisfied with the information provided, click Create Post
which should have your post published as a discussion on the PolkAssembly platform.
The next section will look at how to propose a referendum on OpenGov. In the meantime, copy the link to the discussion post you just published, it will come in handy.
Proposing a Referendum
To propose a referendum, navigate back to the Overview
tab, hover over the three-dots icon at the top-right corner, and click Create Referendum
.
This will lead to a new modal where you'll be presented with your linked accounts. Make sure you have at least 40 DOT in your linked wallet to be used as a submission deposit. The refundable deposit is required to submit a public referendum proposal.
Click Next
to proceed. In the next modal, select Yes
as the answer to the question: Have you initiated a discussion post for your proposal already?. Paste the link to the discussion post and decide on who can comment on the referendum.
Next, provide details on the specific outcome desired for the referendum if successful. Then decide on which pallet the referendum falls under and the applicable method. In the example below, we're requesting 200 DOT from the Treasury. For more information on pallets, check out this guide.
At this point, select the applicable type of track for the chosen pallet. In OpenGov, referenda are categorized into different tracks based on their proposed changes and required privileges. Each track has its own rules for proposal submission, voting, and execution.
After setting everything up according to your preference, including the right pallet and method, click on Create Referendum
and you should see a successful message.
Implementing a Referendum
After a successful proposal, our referendum gets displayed on the overview page on PolkAssembly with a Submitted
tag. This means that the proposal has been published, but we have to satisfy one last requirement before our referendum can be moved to the decision phase.
For the referendum to move from the preparing phase to the deciding phase, a decision deposit needs to be placed. The decision deposit values for each Treasury Track are listed in this document.
Now, to finish off with the implementation, open the proposal page and click on Pay
to make the deposit.
After a successful deposit, you should see the Submitted
tag change to a green Decision
tag. The decision phase allows time for a decision to be approved to move to the confirming period. If the proposal is not approved by the end of the decision period, it gets rejected.
Challenges and Solutions
Polkadot's OpenGov system faces only a few challenges. The introduction of multiple tracks and origins can increase complexity for users, requiring them to navigate different rules and processes. While the existing 40 DOT submission deposit requirement and proposal curation system help to some extent, the open nature of proposal initiation can still lead to a flood of low-quality or malicious proposals, especially when the price of DOT to levels that make the deposit insignificant. This dilutes the focus on important initiatives and can undermine community trust.
Looking Ahead
OpenGov represents a significant evolution in Polkadot's governance model, aiming to create a more inclusive, efficient, and decentralized system for decision-making. As the system matures, it is expected to continue evolving based on community feedback and the changing needs of the network.
Conclusion
Polkadot's OpenGov system offers a robust framework for community-driven decision-making. By understanding the steps involved in proposing and implementing governance proposals, token holders can actively participate in shaping the network's future.
While challenges exist, such as complexity and the potential for low-quality proposals, ongoing improvements, and community engagement are essential for optimizing the governance process. As Polkadot continues to evolve, OpenGov will play a pivotal role in ensuring the network's long-term success and alignment with the collective vision of its stakeholders.
References
- Introduction to Polkadot OpenGov: https://wiki.polkadot.network/docs/learn-polkadot-opengov
- Polkadot OpenGov Origins: https://wiki.polkadot.network/docs/learn-polkadot-opengov-origins
- Approval and Support: https://wiki.polkadot.network/docs/learn-polkadot-opengov#approval-and-support
About the Author
mawutor (@polymawutor) is a web3 developer with a passion for exploring the latest advancements in blockchain technology. With a focus on providing informative content and building innovative solutions, mawutor aims to demystify complex topics and empower users with actionable insights.