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Zach Kelling a902c1c1c7 feat: add wallet package, docs, LLM.md, and update submodule refs
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---
title: Governance Settings
description: Configure voting periods, thresholds, and governance parameters
---
# Governance Settings
Governance settings control how proposals are created, voted on, and executed. These settings define the rules that govern your DAO's decision-making process.
<Callout type="warning">
Most governance settings require a governance proposal to change. Modifications affect all future proposals and should be carefully considered.
</Callout>
## Overview
```
┌─────────────────────────────────────────────────────────────────┐
│ Governance Settings │
├─────────────────────────────────────────────────────────────────┤
│ │
│ Proposal Lifecycle │
│ ───────────────── │
│ │
│ ┌──────────┐ ┌──────────┐ ┌──────────┐ ┌──────────┐ │
│ │ Creation │───▶│ Voting │───▶│ Timelock │───▶│Execution │ │
│ │Threshold │ │ Period │ │ Delay │ │ │ │
│ └──────────┘ └──────────┘ └──────────┘ └──────────┘ │
│ 100K tokens 7 days 3 days Immediate │
│ │
│ Vote Requirements │
│ ───────────────── │
│ Quorum: 1,000,000 tokens (participation minimum) │
│ Approval: >50% For votes (standard proposals) │
│ │
└─────────────────────────────────────────────────────────────────┘
```
## Proposal Settings
### Proposal Threshold
The minimum voting power required to create a proposal.
```
┌─────────────────────────────────────────────────────────────────┐
│ Proposal Threshold │
├─────────────────────────────────────────────────────────────────┤
│ │
│ Current Value: 100,000 veTOKEN │
│ │
│ New Value: [100000________] veTOKEN │
│ │
│ │ Threshold │ % of Supply │ Effect │ │
│ │───────────│─────────────│──────────────────────────────│ │
│ │ 10,000 │ 0.1% │ Very accessible │ │
│ │ 100,000 │ 1% │ Moderate barrier (current) │ │
│ │ 500,000 │ 5% │ Significant barrier │ │
│ │ 1,000,000 │ 10% │ High barrier │ │
│ │
│ ⚠ Requires governance vote to change │
│ │
└─────────────────────────────────────────────────────────────────┘
```
**Considerations:**
- **Too low**: Spam proposals, cluttered governance
- **Too high**: Limits participation, centralizes power
- **Balance**: Allow engaged members to propose while preventing noise
### Proposal Deposit
Optional deposit required when creating proposals.
```
┌─────────────────────────────────────────────────────────────────┐
│ Proposal Deposit │
├─────────────────────────────────────────────────────────────────┤
│ │
│ ☑ Require deposit to create proposals │
│ │
│ Deposit Amount: [1000______] TOKEN │
│ │
│ Deposit Return: │
│ ● Returned if proposal passes OR reaches quorum │
│ ○ Returned only if proposal passes │
│ ○ Never returned (fee-based) │
│ │
│ Slash Conditions: │
│ ☑ Proposal fails to reach quorum │
│ ☐ Proposal is defeated │
│ ☐ Proposal is vetoed │
│ │
│ Slashed deposits go to: [Treasury ▼] │
│ │
└─────────────────────────────────────────────────────────────────┘
```
## Voting Settings
### Voting Period
How long the voting window remains open.
```
┌─────────────────────────────────────────────────────────────────┐
│ Voting Period │
├─────────────────────────────────────────────────────────────────┤
│ │
│ Current Value: 7 days │
│ │
│ New Value: [7___] days │
│ │
│ │ Duration │ Blocks (~) │ Trade-off │ │
│ │──────────│────────────│───────────────────────────────│ │
│ │ 3 days │ ~21,600 │ Fast decisions, less input │ │
│ │ 7 days │ ~50,400 │ Balanced (recommended) │ │
│ │ 14 days │ ~100,800 │ Maximum input, slow execution │ │
│ │
│ Note: Voting period is measured in blocks for precision │
│ │
└─────────────────────────────────────────────────────────────────┘
```
### Voting Delay
Optional delay between proposal creation and voting start.
```
┌─────────────────────────────────────────────────────────────────┐
│ Voting Delay │
├─────────────────────────────────────────────────────────────────┤
│ │
│ ☑ Enable voting delay │
│ │
│ Delay Duration: [1___] days │
│ │
│ Purpose: │
│ - Allows community to prepare before voting starts │
│ - Prevents snapshot manipulation │
│ - Enables token accumulation before snapshot │
│ │
│ Timeline with delay: │
│ ┌────────┐ ┌────────┐ ┌────────┐ ┌────────┐ │
│ │Create │─▶│ Delay │─▶│ Voting │─▶│Timelock│ │
│ │ │ │ 1 day │ │ 7 days │ │ 3 days │ │
│ └────────┘ └────────┘ └────────┘ └────────┘ │
│ │
└─────────────────────────────────────────────────────────────────┘
```
### Quorum Settings
Minimum participation required for a valid vote.
```
┌─────────────────────────────────────────────────────────────────┐
│ Quorum Settings │
├─────────────────────────────────────────────────────────────────┤
│ │
│ Quorum Type: │
│ ● Fixed Amount │
│ ○ Percentage of Supply │
│ ○ Percentage of Locked Supply │
│ │
│ Quorum Value: [1000000_____] veTOKEN │
│ │
│ │ Type │ Standard │ Constitutional │ Emergency │ │
│ │────────────│──────────│────────────────│───────────│ │
│ │ Quorum │ 1M │ 5M │ 500K │ │
│ │ % Supply │ 10% │ 50% │ 5% │ │
│ │
│ Quorum includes: │
│ ☑ For votes │
│ ☑ Against votes │
│ ☑ Abstain votes │
│ │
└─────────────────────────────────────────────────────────────────┘
```
### Approval Threshold
Percentage of For votes required to pass.
```
┌─────────────────────────────────────────────────────────────────┐
│ Approval Threshold │
├─────────────────────────────────────────────────────────────────┤
│ │
│ Standard Proposals: │
│ Approval Required: [50__]% + 1 │
│ (Simple majority) │
│ │
│ Constitutional Proposals: │
│ Approval Required: [67__]% │
│ (Supermajority) │
│ │
│ Emergency Proposals: │
│ Approval Required: [75__]% │
│ (High consensus) │
│ │
│ Calculation: │
│ Approval % = For / (For + Against) × 100 │
│ (Abstain votes excluded from calculation) │
│ │
└─────────────────────────────────────────────────────────────────┘
```
## Timelock Settings
### Timelock Delay
Mandatory waiting period before execution.
```
┌─────────────────────────────────────────────────────────────────┐
│ Timelock Settings │
├─────────────────────────────────────────────────────────────────┤
│ │
│ │ Proposal Type │ Timelock │ Purpose │ │
│ │──────────────────│──────────│────────────────────────────│ │
│ │ Standard │ 3 days │ Community review │ │
│ │ Constitutional │ 14 days │ Extended review │ │
│ │ Emergency │ 0 days │ Immediate action │ │
│ │
│ Standard Timelock: [3___] days │
│ Constitutional Timelock: [14__] days │
│ │
│ Grace Period: [7___] days │
│ (Time to execute after timelock expires) │
│ │
│ ⚠ If not executed within grace period, proposal expires │
│ │
└─────────────────────────────────────────────────────────────────┘
```
### Cancellation Rules
Who can cancel pending proposals.
```
┌─────────────────────────────────────────────────────────────────┐
│ Cancellation Rules │
├─────────────────────────────────────────────────────────────────┤
│ │
│ Proposals can be cancelled by: │
│ ☑ Proposer (before voting ends) │
│ ☑ Guardian/Admin (any time before execution) │
│ ☐ Governance vote (during timelock) │
│ │
│ Guardian Address: [0x1234...abcd] │
│ │
│ Auto-cancel conditions: │
│ ☑ Proposer's voting power drops below threshold │
│ ☐ Quorum not met at end of voting │
│ │
└─────────────────────────────────────────────────────────────────┘
```
## Proposal Types
### Standard Proposals
Default proposal type for routine governance.
```
┌─────────────────────────────────────────────────────────────────┐
│ Standard Proposal Settings │
├─────────────────────────────────────────────────────────────────┤
│ │
│ Allowed Actions: │
│ ☑ Treasury transfers (< $100,000) │
│ ☑ Role assignments │
│ ☑ Parameter updates (within range) │
│ ☑ External contract calls │
│ │
│ Settings: │
│ - Proposal Threshold: 100,000 veTOKEN │
│ - Voting Period: 7 days │
│ - Quorum: 1,000,000 veTOKEN │
│ - Approval: >50% │
│ - Timelock: 3 days │
│ │
└─────────────────────────────────────────────────────────────────┘
```
### Constitutional Proposals
For significant protocol changes.
```
┌─────────────────────────────────────────────────────────────────┐
│ Constitutional Proposal Settings │
├─────────────────────────────────────────────────────────────────┤
│ │
│ Required for: │
│ ☑ Contract upgrades │
│ ☑ Governance parameter changes │
│ ☑ Treasury transfers > $100,000 │
│ ☑ Adding/removing signers │
│ │
│ Settings: │
│ - Proposal Threshold: 500,000 veTOKEN │
│ - Voting Period: 14 days │
│ - Quorum: 5,000,000 veTOKEN │
│ - Approval: >66.7% │
│ - Timelock: 14 days │
│ │
└─────────────────────────────────────────────────────────────────┘
```
### Emergency Proposals
For urgent security actions.
```
┌─────────────────────────────────────────────────────────────────┐
│ Emergency Proposal Settings │
├─────────────────────────────────────────────────────────────────┤
│ │
│ ⚠ Emergency proposals bypass normal timelock │
│ │
│ Allowed for: │
│ ☑ Pausing contracts │
│ ☑ Revoking compromised permissions │
│ ☐ Treasury transfers │
│ ☐ Contract upgrades │
│ │
│ Settings: │
│ - Proposal Threshold: 500,000 veTOKEN │
│ - Voting Period: 3 days │
│ - Quorum: 500,000 veTOKEN │
│ - Approval: >75% │
│ - Timelock: 0 days (immediate) │
│ │
│ Requires Guardian approval: ☑ │
│ │
└─────────────────────────────────────────────────────────────────┘
```
## Vote Counting
### Counting Method
```
┌─────────────────────────────────────────────────────────────────┐
│ Vote Counting Method │
├─────────────────────────────────────────────────────────────────┤
│ │
│ Method: │
│ ● Simple Voting (For/Against/Abstain) │
│ ○ Ranked Choice │
│ ○ Quadratic Voting │
│ ○ Conviction Voting │
│ │
│ Abstain Handling: │
│ ● Count toward quorum only │
│ ○ Count as neutral vote │
│ ○ Exclude entirely │
│ │
│ Tie Breaking: │
│ ● Proposal fails on tie │
│ ○ Guardian decides │
│ ○ Extended voting period │
│ │
└─────────────────────────────────────────────────────────────────┘
```
### Snapshot Timing
When voting power is calculated.
```
┌─────────────────────────────────────────────────────────────────┐
│ Snapshot Settings │
├─────────────────────────────────────────────────────────────────┤
│ │
│ Snapshot Block: │
│ ● At proposal creation │
│ ○ At voting start (after delay) │
│ ○ Custom block height │
│ │
│ Implications: │
│ - Voting power is locked at snapshot │
│ - Token transfers after snapshot don't affect vote │
│ - Prevents vote buying during active proposals │
│ │
└─────────────────────────────────────────────────────────────────┘
```
## Changing Settings
### Governance-Required Changes
To modify governance settings:
1. **Create Proposal**: Submit a constitutional proposal
2. **Discussion Period**: Allow community review
3. **Voting**: Token holders vote on changes
4. **Timelock**: Changes queue for execution
5. **Execution**: New settings take effect
```
┌─────────────────────────────────────────────────────────────────┐
│ Propose Governance Change │
├─────────────────────────────────────────────────────────────────┤
│ │
│ This change requires a governance proposal. │
│ │
│ Proposed Change: │
│ - Setting: Voting Period │
│ - Current: 7 days │
│ - Proposed: 10 days │
│ │
│ Proposal Type: Constitutional │
│ Expected Timeline: ~30 days │
│ │
│ [Cancel] [Create Proposal] │
│ │
└─────────────────────────────────────────────────────────────────┘
```
<Callout type="info">
**Best Practice**: Make incremental changes to governance parameters. Large changes may have unintended consequences.
</Callout>
## Recommended Configurations
### Conservative (High Security)
```
Proposal Threshold: 500,000 tokens (5%)
Voting Period: 14 days
Quorum: 20% of supply
Approval: 67%
Timelock: 14 days
```
### Balanced (Recommended)
```
Proposal Threshold: 100,000 tokens (1%)
Voting Period: 7 days
Quorum: 10% of supply
Approval: 50%+1
Timelock: 3 days
```
### Agile (Fast Decisions)
```
Proposal Threshold: 10,000 tokens (0.1%)
Voting Period: 3 days
Quorum: 5% of supply
Approval: 50%+1
Timelock: 1 day
```
## Next Steps
<Cards>
<Card title="General Settings" href="/docs/guide/settings/general" icon="settings">
Configure basic project information
</Card>
<Card title="Voting Guide" href="/docs/guide/voting" icon="vote">
Learn about the voting process
</Card>
<Card title="Creating Proposals" href="/docs/guide/resolutions" icon="file-plus">
Submit governance proposals
</Card>
</Cards>