Dao Governance

When to activate

• Designing DAO governance structures and voting systems
• Building treasury management contracts with multi-sig
• Implementing token-weighted or quadratic voting
• Creating proposal lifecycle (draft → vote → execute)
• Setting up governance delegation and representative systems

When NOT to use

• For centralized organization management
• For simple multi-sig wallets without governance
• For off-chain voting tools (Snapshot is sufficient alone)

Instructions

1. Define governance model. Token-weighted (1 token = 1 vote), quadratic (sqrt), conviction voting, or hybrid.
2. Design proposal lifecycle. Draft → Discussion → Voting → Timelock → Execution. Define quorum and thresholds.
3. Implement voting. Governor contract (OpenZeppelin), delegation, vote snapping, late quorum extension.
4. Treasury management. Multi-sig (Gnosis Safe), timelock controller, spending limits, budget allocation.
5. Delegation. Delegate votes without transferring tokens. Partial delegation. Liquid democracy patterns.
6. Execution. Timelock for approved proposals. Optimistic governance (execute unless vetoed). Module-based execution.
7. Security. Prevent vote buying (snapshot at proposal time), flash loan governance attacks, delegation cycles.

Example

// OpenZeppelin Governor with Timelock
contract MyDAO is Governor, GovernorSettings, GovernorCountingSimple, GovernorVotes, GovernorVotesQuorumFraction, GovernorTimelockControl {
    constructor(IVotes _token, TimelockController _timelock)
        Governor("MyDAO")
        GovernorSettings(1, 50400, 1000e18)  // 1 block delay, 1 week voting, 1000 token threshold
        GovernorVotes(_token)
        GovernorVotesQuorumFraction(4)  // 4% quorum
        GovernorTimelockControl(_timelock)
    {}
}