FOX Governance Process

Proposal Discussion
1

Last Updated April 7 2025

This document is a suggested process for developing and advancing ShapeShift Community Proposals. It is a living document intended to be owned, modified and enforced by the overall community, and was last updated in accordance with SCP-195,
SCP-156, SCP-155, SCP-151, SCP-136. SCP-132, SCP-101, and SCP-97.

Governance process tl;dr

1. RFC (Request for Comment) - optional, but recommended: Post your idea in the relevant Workstream on the forum to obtain feedback from the community, and drop a link in a channel in Discord to spread awareness.

2. Ideation - 7 day minimum: Post a draft proposal using this template in Proposal Discussion on the forum and Ideation SnapShot Space, and link to the forum post from the SnapShot proposal. Proposals may continue to be refined based on community feedback during this stage.

3. Voting - 5 day minimum, 60 day maximum: After at least 7 days in Ideation, if a draft proposal has more upvotes than downvotes, it can be published on SnapShot for official vote.

Detailed process:

1. RFC (Request for Comment):

  • This step is optional, but recommended
  • Post your idea on forum.shapeshift.com in a relevant category
  • No specific format required
  • Consider linking to the forum discussion in the #governance channel in Discord

2. Ideation:

  • Post your draft proposal inthe Proposal discussion category of the forum, and include [SCP#] in the title, and Ideation in the Top of the Post.
  • In your Ideation forum post, include a link to the corresponding RFC forum post if one exists
  • Post your draft proposal to the Ideation SnapShot Space following instructions found here, and include [Ideation] in the title
  • In your Ideation post on SnapShot, include a link to the Ideation post on the forum
  • Address must hold a minimum FOX to post a proposal on SnapShot as set by Snapshot Space admin(s)
  • ShapeShift Community Proposal (SCP) format or Workstream Proposal format
    must be used
  • SCP number must be included in title (SCP # should be 1 greater than the most recent SCP posted in Proposal Discussion
  • Example: (scp-010000) FoxGovernance process
  • Vote must include three choices:
  1. For/Yes
  2. For/Yes with amendments/changes
  3. Against/No
  • Timeline: 7 days minimum
  • Voting power is calculated using the strategies defined on SnapShot, explained in FOX Voting Power
  • Proposal may move forward if the majority votes in favor when voting closes

3. Voting:

  • Post your finalized proposal to SnapShot following instructions found here
  • Address must hold a minimum amount of FOX to create a proposal, as set by the Snapshoft space admin(s)
  • Voting power is calculated using the strategies defined on SnapShot, explained in FOX Voting Power
  • Correct SCP # is included in the title
  • Example: (scp-010000) FoxGovernance process
  • ShapeShift Community Proposal (SCP) format or Workstream Proposal format
    must be used
  • Link to the Ideation SnapShot vote and forum discussion are included
  • For proposals over 6400 characters (the current SnapShot limit), upload to IPFS (you can use https://foxpin.xyz/) and include link to IPFS pin.
  • Timeline: 5 day minimum, 60 day maximum

Ratifying proposals

Voting is powered by Snapshot. SnapShot enables foxes to vote on proposals by signing messages (free) rather than sending transactions (costly).

ShapeShift DAO currently practices Liquid Democracy, which means voting power is based on FOX held in wallets (or certain defi contracts) as well as FOX delegated to the address used to vote. 1 FOX = 1 vote, as described in FOX Voting Power. As best as we are able.

Quorum: A minimum of 4,000,000 FOX must participate in the vote for it to be considered ratified.

Soft Quorum: For votes that do not reach Quorum, assume that 70% of the votes necessary to achieve quorum would be against the proposal. If this would still result in a majority of votes being in favor of the proposal, the proposal can be considered passed. See Soft Quorum Calculator

Other items of note

  • Any proposals not following governance process will be removed.
  • All meaningful governance discussion should take place on this forum to ensure the community has full transparency.
  • As FOX continues to expand across DeFi and across chains, the SnapShot voting strategy will be updated to grant 1 vote for 1 FOX wherever feasible.
  • Remember, this is a living document. If there’s anything you want to add or anything that’s unclear, please suggest it below or make an addendum proposal!

Superseding Proposals

In order to supersede a past decision made by governance, the superseding proposal must explicitly state the name, the SCP#, and the portions of the proposal it supersedes.

Example: “This proposal supersedes [SCP-ABC] in its entirety.”

or

“This proposal supersedes the budget section in [SCP-XYZ] and replaces it with the following”

–

If passed, this amendment will apply to all past and future proposals until it’s explicitly superseded.

Conflicting Votes

Conflicting proposals are proposals that are active at the same time and address the same issue or are mutually exclusive.

In the case of a conflicting proposal, the Ideation phase can also serve as time for anyone to post their preferred alternative option on the forum. For the Conflicting Proposals process to apply, counter proposals must be published in Proposal Discussion before the Ideation phase of the original proposal concludes, and should include “[Counter Proposal to SCP-X]” where X is the corresponding SCP#. To avoid delays in the governance process, any counter proposal that follows the format requirements of Ideation and is published before the conclusion of the original proposal must be included as a voting option when the Original proposal is put up for final vote.

Proposal Execution

If your proposal requires transaction(s) to be executed from the DAO’s treasury, there are currently two options available:

Manual Multisig Execution

  1. To request for your transactions executed by the DAO’s multisig, post a message in the #Treasury channel in Discord with the following details:
  • Desired date of execution
  • Type of transaction to be executed (transfer or contract interaction)
  • If transfer: amount, asset, recipient (ie. 1000, FOX, vitalik.eth)
  • If contract interaction: contract to interact with, call, and inputs (ie. eth:0xE2aE37B8077CD3BC7ef1C6580f6dc93673078A01 (Olympus Bond Treasury), withdraw, _token(address): eth:0xA0b86991c6218b36c1d19D4a2e9Eb0cE3606eB48, _destination(address): eth:0x90A48D5CF7343B08dA12E067680B4C6dbfE551Be, _amount(uint256): 830168207423)

–A link to the snapshot vote with all details can suffice

If you need help figuring out the details of the transaction(s) necessary to execute in order to enact your proposal, feel free to post a question in the #Treasury channel.

Automatic oSnap Execution: Community members can execute transactions for passed proposals autonomously by bundling transactions with proposals and by bonding 100,000 FOX tokens for 48 hours to DAO Treasury’s oSnap module.

To execute transactions via oSnap, follow these instructions:

  1. When creating a proposal on SnapShot, follow the instructions to include each transaction to be executed
  2. Once a proposal including transactions has passed with Quorum, a button will appear on SnapShot to “Click to request proposal execution.” Click this and follow the instructions to approve and bond 100,000 FOX Tokens for 48 hours.
  3. After the 48 hour challenge period has ended, the button on SnapShot will update to “Execute transaction batch.” Click to execute the transaction batch and to return the 100,000 FOX bond to the proposer.
    oSnap | UMA Protocol
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