With the arose of digital era, Decentralized Autonomous Organization (DAO), as the primary representatives of blockchain decentralized application organizational forms, have consistently showcased their autonomous governances advantages of transparency and trustlessness. Governance is the core of DAOs, directly determines the development of the entire organization. As current DAO governance is limited by inefficiency, the mainstream approach in the industry is to improve governance efficiency by optimizing governance mechanisms and designing incentive mechanisms to increase member participation. However, these approaches do not solve the problem of sharing governance entitlements across different organizations in a scalable way. This limitation results in inefficiencies in governance. Therefore, this paper proposes a framework which introduces governance entitlements based on oracles for a DAO platform. The platform uses oracles to verify the user’s external identity and anchor it with the internal platform identity. It also collects external governance data to achieve cross-organizational governance entitlements authentication, thus improving governance efficiency. Furthermore, we perform a formal analysis of the cross-chain authentication mechanism to demonstrate its security. Due to the differences in the governance entitlements of different DAOs, it lacks fairness to directly share the external governance entitlements of users. Therefore, this paper proposes a model for calculating governance equity that converts external equity classification into internal governance entitlements to ensure fairness in governance.

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Oracles-Based Framework for Introducing Governance Entitlements Across DAOs

  • Yuting Xu,
  • Lin Chen,
  • Xiang Yu,
  • Kui Liu

摘要

With the arose of digital era, Decentralized Autonomous Organization (DAO), as the primary representatives of blockchain decentralized application organizational forms, have consistently showcased their autonomous governances advantages of transparency and trustlessness. Governance is the core of DAOs, directly determines the development of the entire organization. As current DAO governance is limited by inefficiency, the mainstream approach in the industry is to improve governance efficiency by optimizing governance mechanisms and designing incentive mechanisms to increase member participation. However, these approaches do not solve the problem of sharing governance entitlements across different organizations in a scalable way. This limitation results in inefficiencies in governance. Therefore, this paper proposes a framework which introduces governance entitlements based on oracles for a DAO platform. The platform uses oracles to verify the user’s external identity and anchor it with the internal platform identity. It also collects external governance data to achieve cross-organizational governance entitlements authentication, thus improving governance efficiency. Furthermore, we perform a formal analysis of the cross-chain authentication mechanism to demonstrate its security. Due to the differences in the governance entitlements of different DAOs, it lacks fairness to directly share the external governance entitlements of users. Therefore, this paper proposes a model for calculating governance equity that converts external equity classification into internal governance entitlements to ensure fairness in governance.