Proposal: Integrate oSnap v2 OR Kleros/Reality.eth to enable Shutter DAO 0x36's Keyper Set Management on Multiple Chains

Status: Proposed

Author: jul1an, Keyper

Created: February 22, 2024

Simple Summary

Shutter DAO 0x36 is designed for selecting and managing a Keyper set essential for generating distributed keys, based on the trust that the majority of Keypers are reliable. It operates with goals to align stakeholder incentives, adjust system parameters like Keyper thresholds and fee mechanisms, and establish a sybil-resistant process for Keyper selection. The DAO utilizes a fractal framework for on-chain voting to manage its Keyper set registry (at AddrsSeq | Address 0x159481e8a78a61a47815b95deafc60023fc4f829 | Etherscan), deployed on Ethereum L1. While it also engages with Snapshot for governance, it lacks direct on-chain execution capabilities to multiple chains, notably Gnosis Chain and OPStack chains, to enhance cross-chain functionalities. But on-chain voting is expensive.

For this reason, this proposal seeks to integrate either:

  1. oSnap v2 leveraging UMA’s Optimistic Snapshot Execution: oSnap - UMA Protocol , or
  2. Kleros/reality.eth Snapshot module for Snapshot: https://twitter.com/GnosisGuild/status/1673357174611820545

The aim is to enhance efficiency and enable cross-chain functionality for Keyper set management, particularly targeting Gnosis Chain and OPStack chains.

Ideally, Safe’s would be deployed on both Gnosis Chain and Optimism to enable actions to be executed on both of these chains.

This wouldn’t affect general treasury and other major on-chain transactions for Shutter DAO 0x36, which would still happen fully on-chain via Fractal and Safe.

Goals

This plan focuses on deploying oSnap for direct and efficient governance execution on the Gnosis Chain or an L2, streamlining Shutter DAO 0x36’s Keyper set management. By leveraging the specific functionalities of Safe and oSnap within the Snapshot governance framework, the DAO aims to enhance its operational efficiency while maintaining its governance activities directly on the Gnosis Chain or an L2.

Background and Implementation

oSnap Deployment and Configuration on Gnosis Chain

Preliminary Steps

  1. Gnosis Safe Setup:
    • If not already done, deploy a Gnosis Safe on the Gnosis Chain tailored for Shutter DAO 0x36’s governance. This Safe will handle permissions for amending or removing Keypers in the AddrsSeq contract.
    • Ensure the Safe is configured with the necessary signatories that reflect the DAO’s governance structure.

oSnap Plugin Activation

  1. Integrating oSnap with Snapshot:

    • In the DAO’s Snapshot space, access the ‘Settings’ and then ‘Advanced’ section to manage plugins.
    • Select and add the ‘oSnap by UMA’ plugin to enable its functionality for governance actions within the DAO’s Snapshot environment.
    • Link the DAO’s Gnosis Safe by configuring the treasury settings in Snapshot, ensuring the Gnosis Chain is accurately selected to align with the DAO’s operational blockchain.
  2. Activating oSnap in Gnosis Safe:

    • Proceed with the oSnap activation process as directed in the Snapshot interface, which will involve a redirect to the Gnosis Safe application for transaction execution.
    • Execute the necessary transaction to activate oSnap, granting it the required permissions to automate governance proposal executions based on community votes.
    • Confirm the successful activation of oSnap by checking in both the Gnosis Safe App and Snapshot’s treasury settings.

Keyper Set Management on Gnosis Chain

  1. Adapting the AddrsSeq Contract for Gnosis Chain:

    • Adjust or reaffirm the AddrsSeq smart contract’s deployment on Gnosis Chain to ensure it is prepared to interact with oSnap’s automated execution process.
    • Implement event logging within the contract to facilitate the automation and tracking of Keyper set updates as governed by DAO proposals.
  2. Automated Governance Actions:

    • Utilize oSnap’s capability to automate the on-chain execution of governance decisions, particularly for modifying the DAO’s Keyper set in response to approved Snapshot proposals.
    • Ensure the contract logic and oSnap settings are configured to only allow proposal executions that have passed the DAO’s voting criteria and the oSnap challenge period.

Governance Workflow with oSnap on Gnosis Chain

  1. Approval Voting via Snapshot:

    • Set up approval voting for governance proposals on Snapshot, focusing on decisions related to the DAO’s Keyper set.
    • Clearly define the voting options and criteria for approval within the DAO’s governance framework.
  2. Seamless Proposal Execution:

    • With oSnap activated, approved governance proposals will trigger automated transactions on the Gnosis Chain, directly updating the AddrsSeq contract as per the community’s consensus.
    • Monitor the execution process and the challenge period to ensure transparency and security in governance actions, ideally via the osnap Monitoring Bot: Monitoring Bot Setup - UMA Protocol

Kleros/Reality.eth Module Deployment and Configuration on Gnosis Chain

Preliminary Steps

  1. Gnosis Safe Setup:
    • Ensure a Gnosis Safe is deployed on the Gnosis Chain, tailored for Shutter DAO 0x36’s governance. This Safe is essential for managing the execution of transactions as per the DAO’s governance decisions.
    • Configure the Safe with signatories that mirror the DAO’s governance structure accurately.

Kleros Snapshot Module Activation

  1. Integrating with Snapshot and Reality.eth:

    • Navigate to the DAO’s Snapshot space, select ‘Settings’, then ‘Advanced’ to manage plugins.
    • Opt for the ‘Kleros Snapshot Module’ which utilizes the Zodiac Reality Module, setting Kleros as the default arbitrator for dispute resolution.
    • Link the DAO’s Gnosis Safe by updating the treasury settings in Snapshot, ensuring it matches the DAO’s operational blockchain (Mainnet, Gnosis Chain, or Polygon).
  2. Enabling the Module in Gnosis Safe:

    • Follow the guided steps provided by Snapshot to integrate the Kleros Snapshot Module with your Gnosis Safe, which includes redirecting to the Gnosis Safe application for transaction authorization.
    • Authorize and execute the transaction to enable the Kleros Snapshot Module, allowing it to orchestrate governance proposal executions based on the outcomes verified by the Reality.eth oracle.
    • Verify the successful module activation in both the Gnosis Safe App and Snapshot’s treasury settings.

Governance Process with Kleros and Reality.eth

  1. Configuring the Reality.eth Oracle:

    • Set up the Reality.eth oracle to connect with the DAO’s Snapshot space, ensuring it serves as a decentralized and fair source of truth for governance decisions.
    • Define the parameters for querying the oracle and the conditions under which Kleros can be called upon as an arbitrator in case of disputes.
  2. Empowering Members for Execution:

    • Empower DAO members to initiate Gnosis Safe transactions based on the outcomes reported by the Reality.eth oracle, adhering to the DAO’s governance framework.
    • Leverage the Kleros arbitration process as a secure and unbiased mechanism to resolve any disputes arising from governance decisions.
  3. Voting and Execution Workflow:

    • Conduct approval voting for governance proposals on Snapshot, with decisions ranging from general governance to specific actions like updating contract parameters.
    • Approved proposals, as verified by the Reality.eth oracle, automatically trigger transactions on the Gnosis Chain through the linked Gnosis Safe, seamlessly executing the community’s consensus.
    • Keep a close watch on the proposal execution and the potential arbitration process, ensuring governance actions are executed transparently and securely.

This revised guide shifts the focus from the oSnap plugin to leveraging the Kleros/Reality.eth module for decentralized governance, providing a framework for DAOs to implement a secure, transparent, and fair governance mechanism on the Gnosis Chain.

Documentation and Support

  • Develop detailed documentation and guides covering the entire process of setting up, activating, and using oSnap for governance on Gnosis Chain, specifically tailored to Shutter DAO 0x36’s requirements.
  • Provide resources for DAO members on how to participate in the governance process, understand the automated execution of proposals, and troubleshoot any potential issues.

Links

Voting Platform

Snapshot

Vote

Single choice voting

  • Vote to approve integration of oSnap v2
  • Vote to approve integration of kleros/reality.eth module
  • Vote to reject either integrations
4 Likes

Hey everyone, this is Lee from UMA. I’m excited to see you considering optimistic execution of your Snapshot votes. The proposal does a great job describing oSnap. Here are a few points I would like to highlight:

UMA operates bots that:

  • propose passed oSnap enabled Snapshot votes to our optimistic oracle (OO) for verification
  • dispute any invalid oSnap proposals made to the OO
  • execute all oracle verified transactions from your Safe

-Note: these bots cover all oracle bonds and transaction gas costs

UMA also sponsors a human verification team for all oSnap proposals to the OO. This means that all oSnap proposals to the OO are reviewed by 3 UMA community members and proposals that look invalid are publicly flagged

UMA is actively improving our Snapshot plug-in. For example, the transaction builder when creating Snapshot proposals will soon support Tenderly simulations. We also offer responsive support for setup and proposal creation.

I’m happy to answer any questions you have regarding oSnap.

2 Likes

Hey everybody, thank you @jul1an for this great proposal!

At Kleros Labs, we are grateful that ShutterDAO is considering the integration of Kleros/reality.eth as it leverages the best of both worlds. From off-chain, the gas-less voting option (as delegates ourselves, we know that on-chain voting can be quite expensive) and the on-chain enforcement and security from Safe. We have been involved with Shutter for quite some time. For more information, you can have a look at DAO Delegate Nomination - Kleros Labs for more details.

As I have mentioned previously, Kleros Cooperative will be happy to help ShutterDAO with internal resources for setting up the tech and the specific policy. Kleros Cooperative can also cover the gas and bond costs to make it as smooth as possible for ShutterDAO.

It is also worth noting that the level of decentralisation can be easily chosen. A set-up can be done where the ShutterDAO multisig can still have some rights (veto, enforcing txs etc.) or it can be fully decentralised if all the msig signers are removed.

The Kleros protocol has been proven to be a reliable Subjective Oracle to solve cases where millions of dollars worth were at stake: Famous Kleros Cases - Kleros. If you have any questions about Kleros as a protocol or the specific details of the integration described involving snapshot and reality.eth, please let us know !

NB: Kleros Labs will vote abstain on this proposal as we have a Conflict of Interest due to our connection to the Kleros protocol but think it is important that we reach the quorum on this topic

3 Likes

Don’t know enough about oSnap v2 and Kleros/reality.eth module but I would say it will be an improvement if the key per sets selection is also on-chain.

Having some on-chain governance activity like Safe management on Gnosis sounds like an improvement. Maybe we could do a cheap airdrop or voting proposals on Gnosis in future?

4 Likes