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Token Republic

Token Republic

The token republic model gives token holders the ultimate authority over pods by letting them vote to modify pod configurations.

Token voters can make these decisions through on-chain governance like the Governor contract or through off-chain voting through Snapshot + Safe multisigs.

By delegating a pod’s manager key to a token holder empowered voting mechanism, DAOs can set voting and quorum criteria in order to add, remove, or modify pod configurations.

Use Cases​

  • Providing oversight to working groups
  • Electing council members
  • Electing workstream leads

Pros​

  • Token holders are empowered with ultimate decision-making authority.
  • Working groups derive their legitimacy from token holders, creating a clear line of accountability and consent.
  • Pod members are incentivized to publicly share their work for greater visibility and transparency

Cons​

  • Token holders must stay informed about workstream activity in order to intelligently manage their membership.
  • Token holder elections can turn into popularity contests with high visibility individuals being elected rather than those with the deepest knowledge.
  • Voter apathy and whales can lead to individuals and small groups of voters having undue influence over pod membership and management.

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