We are excited to announce that pSTAKE is in the process of rolling out its new protocol governance system, giving community members (specifically $PSTAKE token holders) the opportunity to participate more actively in the ever-growing pSTAKE ecosystem.
$PSTAKE holders will be able to initiate proposals and cast votes to implement changes to the protocol, allowing the community to have a prominent input on pSTAKE’s future direction.
Let’s dive deeper into how governance will function on pSTAKE.
Eligibility Criteria
In order to become eligible for participation in pSTAKE governance, users will need to meet the following criteria:
- Submitting a Proposal: Hold at least 250,000 $PSTAKE in your wallet
- Voting on a Proposal: Hold any amount of $PSTAKE in your wallet
All $PSTAKE token holders will be able to vote and give their input on which proposals will move forward in the pipeline. As the protocol continues to mature, the threshold for proposal submissions will keep declining.
Governance Process
Proposals will pass through a multi-stage process to determine whether or not they are to be implemented.
1) Community Discussion
Proposers are advised to initiate discussion around the proposal on the pSTAKE forum before posting the proposal on the voting platform (pSTAKE Snapshot space). This step is at the discretion of the user creating the proposal. The purpose of this discussion is to capture feedback from the broader pSTAKE community.
2) Formalisation
The next step is to create the proposal. A template will be provided to ensure all necessary details, including the title, abstract, motivation, specification, and considerations for the specific proposal – all details need to be filled out by the proposer in order to proceed.
Proposal format:
- Title: Should indicate the topic of the proposal, and be preceded by the correct proposal number.
- Abstract: A short technical summary that provides a gist of the specifications of the proposal. Abstract could also include a link to the corresponding pSTAKE forum thread.
- Motivation: Describe the purpose of the proposal; explaining the problem it solves, the use-case(s), and the benefit it provides to the pSTAKE protocol / stakeholders / underlying networks.
- Specification: Syntax and semantics of any new feature, or change, at a technical level that is detailed enough to allow implementation by the development team.
- Considerations: Discuss the governance and security implications of the proposal.
- Governance implications should highlight the potential impact on protocol operations/parameters including voting mechanism, protocol revenue streams, treasury, etc.
- Security implications should highlight the potential impact on the security of the pSTAKE protocol and the underlying networks, including risks and threats, and how they will be addressed.
3) Community Voting
Proposals are then to be posted on the pSTAKE Snapshot space, where all $PSTAKE holders can cast their votes on whether they are aligned with what’s been outlined.
Snapshot is the leading platform for off-chain governance of Ethereum-based dApps. Snapshot’s off-chain signing mechanism enables voting with no gas fees involved, thus removing barriers to participation. Learn more about Snapshot here.
The voting process will span a period of 7 days, which will include a 1-day delay before voting begins. $PSTAKE holders have the ability to vote either for or against the proposal – they can also choose to abstain if they wish.
4) Implementation
Proposals that pass the vote will be reviewed by the pSTAKE team and the requested changes will be implemented. With the best interest of the protocol and community in mind, in the initial phases of governance the pSTAKE team will hold the right to overturn any approved proposals within 72 hours after they have passed.
If a certain proposal does not move forward, an immediate update will be issued regarding why the decision was made – full transparency of the entire governance process is a key priority.
Onward to Further Decentralization
With governance soon going live on pSTAKE, the community will take a more active role in influencing our project’s future direction. The new governance mechanism will help to further the decentralized nature of our protocol while enhancing the utility of the $PSTAKE token.
As we push ahead on our mission to make liquid staking a standard of the PoS industry, the pSTAKE ecosystem will flourish and thrive quicker with direct input from the community.
About pSTAKE
pSTAKE is a liquid staking protocol that unlocks liquidity for your staked assets. With pSTAKE, you can securely stake your Proof-of-Stake (PoS) assets, participate in protocol improvements and security to earn staking rewards, and receive staked underlying representative tokens (stkASSETs) which can be used to explore additional yield opportunities across DeFi.
At present, pSTAKE supports Binance Chain (BNB), Cosmos (ATOM), Persistence (XPRT), and Ethereum (ETH) networks’ native tokens, with a view to support more chains and assets in the future (SOL, and AVAX).
Developed by Persistence
Persistence is a Tendermint-based, specialised Layer-1 network powering an ecosystem of DeFi applications focused on unlocking the liquidity of staked assets. Persistence facilitates the issuance and deployment of liquid-staked stkASSETs, allowing users to earn staking rewards while participating in DeFi primitives, such as lending/borrowing and liquidity provisioning on DEXs.
Persistence aims to offer a seamless staking and DeFi experience for PoS (Proof-of-Stake) users and enable developers to build innovative applications around stkASSETs.
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