The Token House

In the Token House, OBOL Token holders are responsible for submitting, deliberating, and voting on various Obol Collective governance proposals. They may do so by directly voting with their OBOL Tokens (by delegating the voting power of their OBOL tokens to their own address) or by delegating their OBOL Token voting power to an eligible third party. Addresses with delegated OBOL voting power are called “Delegates”.

Overview of the Obol Token House

• Proposals are reviewed and voted on in three-week cycles.
• In the first week, anyone may draft a proposal of any type based on this template and post it on the Forum with [Draft] in the title. Delegates, Obol Collective members, and the general public can provide feedback on proposals in the forum, which should be incorporated into the proposal using the author’s best judgment.
• Once your proposal has been approved by four top-100 Delegates (by voting power), add a link to your proposal to the Voting Cycle Roundup forum thread by the last day of Week 2, and update the title from [Draft] to [Final]. The proposal then moves on to Week 3: Voting.
• If your proposal is passed, the Obol Association will facilitate its administration, including distributing approved OBOL Tokens grants.
• If your proposal fails, you can make a new proposal in the next cycle, specifying how you have incorporated significant changes from your first proposal.

Token House Governance Proposal Process

Anyone can submit a proposal to the Token House by using the Governance Portal. Proposals are accepted or rejected using a voting process. A proposal must be one of the valid proposal types listed below and follow the voting process described here.

All governance proposals go through a 3-week cycle. Each “week” runs from Thursday at 7:00 pm GMT until Wednesday at 7:00 pm GMT.

Valid Proposal Types

All governance proposals must fall within one of the following categories:

• Ecosystem grants
• Protocol upgrades
• Token inflation adjustment
• Treasury allocations
• Work agreements
• Veto on the Obol RAF operations

Weeks 1-2: Feedback and Review

All proposal types should be posted to the Obol Forum for review. Proposal authors are expected to respond to feedback from Obol Collective members and Delegates.

Proposals should be:

• Submitted as a new discussion thread on the Governance Forum in the appropriate Proposal Category.
• Marked with [Draft] in the title.
• Formatted and contain information consistent with the standard proposal template.

Before the end of Week 2, a governance administrator will create a Voting Cycle Roundup thread in the forum summarising all the proposals that meet the voting requirements for Week 3 Voting.

For proposals to proceed to Week 3, four of the top 100 delegates by voting power must give explicit approval on the discussion thread. Delegates may signal approval by pasting the following comment on the proposal discussion thread: ”I am an Obol Delegate [link to your delegate commitment in your Tally profile] with sufficient voting power, and I believe this proposal is ready to move to a vote."

If a Delegate approves a proposal to move to a vote, it does not endorse that proposal. It simply signifies that they believe the proposal is ready to move to a vote.

After receiving the required approvals, the author should update the proposal title from [Draft] to [Final] and add a link to their proposal in the Voting Cycle Roundup thread by the last day of Week 2 at 19:00 GMT. Authors should also include a summary of incorporated feedback as a comment on their proposal thread so future reviewers can understand the proposal’s progress. Proposal authors should include relevant links if feedback was gathered outside the Forum (e.g., on Discord).

If a proposal author does not get explicit approval or wants more time for feedback, they should not include their proposal in the Voting Cycle Roundup thread. Instead, they should continue to seek community feedback and submit an updated proposal in the next voting cycle.

Week 3: Voting

During the third week, Delegates (including OBOL Token holders who have self-delegated) vote on proposals via the Obol Governance Portal. All proposals are included in voting if they were added to the Voting Cycle Roundup thread before the deadline and have the approval of four top-100 delegates.

A governance proposal is approved if it satisfies two requirements:

• Quorum: A minimum number of OBOL Token votes measured as a % of the total votable OBOL Token supply, as of the start of the voting period. “Votable supply” is the total amount of OBOL Tokens that have been delegated (including to oneself) and, therefore, can participate in voting.
• Approval threshold: The minimum % of votes cast in support relative to the total number of votes.

A snapshot is taken at the start of each voting period to determine each delegate’s voting power. Voting is hosted on the Obol Governance Portal.

If a proposal is submitted for a vote and does not pass, the proposal will not be executed. If a proposal author wishes to iterate on a rejected proposal, they should:

1. Create a new proposal thread on the Forum.
2. Include a link to the first proposal that did not pass.
3. Clearly identify what has changed in the new proposal.

Implementation

Approved governance proposals will be routed to the Obol Association for implementation. Upon receipt of an approved proposal, the Obol Association will determine whether the proposal is safe, consistent with the purposes of the Obol Collective, and capable of being implemented legally (including potential KYC requirements).

• If it is, the Association will act diligently and in a commercially reasonable manner to consider the proposal for implementation.
• If it is not, the Association may, at its discretion, remove the proposal for resubmission or implement it with guardrails.