Recently, @fplee posted on X that there will be an AMA about Futarchy: x.com
“We are going to do an AMA with @metanallok from @MetaDAOProject on whether Sanctum should adopt futarchy very soon!”
It made me think. And here is where it took me.
Summary
This proposal outlines the creation and implementation of a Dynamic Autonomous Matrix (DAM) for the Sanctum DAO, a hybrid governance model designed to balance community-driven decision-making with advanced technological tools. The DAM incorporates Futarchy (20%), an AI Board (20%), and the DAO (60%), fostering a fair, data-driven, and participatory approach to governance.
Goals and Objectives
- Strengthen Dynamic Governance: Introduce a model that preserves the DAO’s community-driven ethos while integrating advanced decision-making tools.
- Enhance Decision Quality: Utilize Futarchy and AI for data-backed forecasting and feasibility assessments.
- Encourage Participation: Create a governance model that incentivizes inclusivity and transparency.
- Ensure Flexibility and Evolution: Enable dynamic adjustments to governance mechanisms based on performance and community trust.
Proposed Governance Model
1. Weighted Governance Structure
- Futarchy (20%):
- Leverages prediction markets to assess potential outcomes of proposals.
- Suitable for financial/resource allocation and metric-driven initiatives.
- AI Board (20%):
- Provides technical evaluations, risk assessments, and feasibility analysis.
- Acts as a non-binding advisory layer, improving decision accuracy.
- DAO (60%):
- Represents the democratic voice of the community.
- Primarily responsible for cultural, ethical, and symbolic decisions.
Key Refinements to Strengthen the Model
1. Dynamic Weight Adjustments
- Implement a system allowing the DAO to adjust the governance weights over time.
- Example: Adjust weights from 20/20/60 to 15/15/70 based on trust and performance.
2. Clear Domain Assignments
- Assign specific decision types to each mechanism:
- Futarchy: Financial/resource allocation, funding proposals.
- AI Board: Technical feasibility, risk assessment.
- DAO: Cultural, symbolic, and strategic decisions.
3. Transparency Dashboards
- Develop a public dashboard displaying:
- Futarchy market trends and outcomes.
- AI feasibility scores and analyses.
- DAO voting results and participation metrics.
- Ensure all outputs are accessible and understandable to the community.
4. Education and Accessibility
- Create educational resources, including:
- Guides on how Futarchy markets work.
- Transparent explanations of AI outputs.
- Tutorials on DAO voting processes.
- Gamify participation by rewarding members with Sparks or badges for engaging in governance activities.
5. Pilot Testing
- Conduct a pilot program with low-stakes proposals to:
- Test workflow integration.
- Identify pain points and refine processes.
- Gather community feedback for iterative improvements.
Proposed Workflow
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Proposal Submission: Proposals are submitted using a standardized template outlining goals, metrics, and timelines.
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AI Feasibility Review: The AI Board evaluates technical and operational feasibility, providing a score and key insights.
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Community Discussion: DAO members discuss the proposal, incorporating AI outputs and feedback.
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Futarchy Market Opens: Prediction markets allow participants to forecast outcomes of measurable proposals.
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Weighted Voting: Combined results from Futarchy (20%), AI (20%), and DAO (60%) determine the outcome.
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Implementation and Monitoring: Approved proposals are executed with clear milestones and accountability measures.
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Feedback Loop: Regular reviews assess the success of proposals, informing future decisions.
Implementation Plan
Phase 1: Framework Development
- Design governance workflows, roles, and responsibilities for each mechanism.
- Create a visual decision flowchart for clarity.
- Draft educational materials for community onboarding.
Phase 2: Pilot Testing
- Launch a pilot program with low-stakes proposals.
- Monitor and gather feedback on:
- Futarchy market performance.
- AI Board outputs.
- DAO voting participation and satisfaction.
- Adjust weights, workflows, or transparency measures as needed.
Phase 3: Full Rollout
- Implement the DAM model for all governance decisions.
- Launch the transparency dashboard and integrate educational resources.
- Establish periodic reviews for continued refinement.
Expected Benefits
- Improved Decision Quality: Data-backed insights and forecasting ensure well-informed decisions.
- Enhanced Community Trust: Transparent processes build confidence in governance mechanisms.
- Resilience to Manipulation: The hybrid structure reduces reliance on any single decision-making mechanism.
- Scalability: The model accommodates increasing complexity as the Sanctum ecosystem grows.
Conclusion
The Dynamic Autonomous Matrix (DAM) offers a balanced, transparent, and innovative approach to governance that leverages community input, data-driven forecasting, and AI analysis. By implementing this model, Sanctum DAO can set a new standard for decentralized governance in the Web3 ecosystem.
PS: Wouldn’t it be cool to say we have a DAM DAO? 