Polygon considers governance restructuring in Polygon 2.0 roadmap.

Polygon considers governance restructuring in Polygon 2.0 roadmap.

The Evolution of Governance Mechanism in the Blockchain Industry

The blockchain industry is constantly evolving, with developers and stakeholders seeking to improve the technology and its applications. One such example is the recent proposal by the developers of Polygon Labs, who are suggesting a restructuring of the governance mechanism for the upcoming Polygon 2.0 roadmap. This proposal aims to create multiple layer-2s on the network and introduces a new governance structure consisting of three main pillars.

Expanding the Polygon Improvement Proposal Framework

The first pillar of the proposed governance structure focuses on expanding the Polygon Improvement Proposal (PIP) framework. The PIP framework currently allows users to propose and research upgrades for Polygon protocols. However, the developers suggest expanding this framework to include all blockchains and applications that run on the Polygon network. This expansion would enable community members to research and propose upgrades that could eventually become part of the protocols.

By involving the community in the decision-making process, the developers aim to tap into the collective intelligence and expertise of the Polygon ecosystem. This approach ensures that upgrades and improvements are driven by the needs and insights of the community, resulting in a more robust and user-centric blockchain network.

System Smart Contracts Governance

The second pillar of the proposed governance mechanism focuses on facilitating upgrades for protocol changes or software that is implemented as a smart contract. This pillar introduces a “System Smart Contracts Governance” framework, which would oversee such changes. The governance of these smart contracts would be entrusted to an Ecosystem Council, elected and governed by the community and composed of reputed members.

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This framework ensures that upgrades and changes to the smart contracts are carefully considered and validated by a diverse group of stakeholders. The involvement of the community in the governance process promotes transparency, accountability, and decentralization. It empowers the community to actively participate in shaping the future direction of the Polygon network, fostering a sense of ownership and collaboration.

Community Treasury Governance

The third pillar of the proposed governance mechanism focuses on the management of the Community Treasury, which supports the growth of the Polygon ecosystem and funds various projects. Initially, the Community Treasury would be managed by an independent Community Treasury Board. However, the long-term vision is to transition to community-driven governance.

This governance mechanism allows the community to allocate resources and funds based on their priorities and needs. By decentralizing the decision-making process, the proposed governance structure ensures that the funds are allocated in a manner that aligns with the collective goals and interests of the Polygon community.

Community Engagement and Approval

The proposed governance plans put forth by Polygon Labs are subject to community approval. As such, the developers urge the ecosystem’s stakeholders, including developers and network validators, to actively engage in discussions regarding the governance mechanism. This inclusive approach ensures that the governance structure reflects the collective wisdom and consensus of the community.

Conclusion

The blockchain industry continues to evolve, driven by the quest for improved governance mechanisms and community-driven decision-making processes. The proposal by Polygon Labs to restructure the governance mechanism for the Polygon 2.0 roadmap exemplifies this ongoing evolution. By expanding the PIP framework, introducing a system for smart contracts governance, and implementing a community-driven treasury governance, Polygon Labs aims to foster a more inclusive, transparent, and decentralized ecosystem.

Through active community engagement and approval, the proposed governance mechanism can address the needs and aspirations of the Polygon community. It empowers stakeholders to actively participate in shaping the future of the network and ensures that upgrades and improvements are driven by the collective intelligence and expertise of the community. As the blockchain industry continues to mature, the importance of robust governance mechanisms becomes increasingly evident.

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