Technology for Open Web3 Governance

Transcript

[Music] right uh hello everyone my name is uh Sam I'm from Clayton Foundation uh today I'm going to talk about uh technology Pro open website governance so you know in Webster project World in blockchains we have many uh topics that we have to make our decisions for example token how much token we have to inflate I mean and also how much you know Grant we should use for ecosystem and the project in the in the network and how much budget we have to put for marketing and what kind of Technology we have to develop and and after developing the technology so whether we have to do

hard folk or not so these kind of decisions uh yeah something that we have to think about when we uh when it comes to the governance and so with this topics important thing is who who's going to make these decisions and how are we going to make these decisions so in this aspects we can Define the website governance or blockchain governance as a system or the process in which the participants in the blockchain ecosystem make decisions and on a major issues to achieve common goals or the or to solve common problems

so uh yeah when I was doing some research on how the governor's premiums are existing I I found one good thing from the I3 so the I3 has a block I mean the carbonus working group The p2145 and then they Define this uh kind of governance framework that is called po p plus I so we have Pope uh and this is basically about the structure and the processes for providing Direction and control for the governance so we have Pope uh parts of Peace so personal the people and the people means who's going to make decisions and the process is how are those decisions of made and the

practice means how are decisions executed or imposed and lastly it's about policy and the policy here means what decisions are made and then how are they codified or communicated and of course to encourage this and to yeah we need incentive model as well so today I'm going to focus on among this framework I'm going to focus on two parts to participants and and process from the perspective that's who's going to make decisions and how are we going to make decisions first one so you know in democracy so we

have I mean basically we have two models but of course we could have more models but the popular ones were direct democracy were the presented democracy so we help people yeah and then they both and then you know uh in uh direct democracy I mean those people make decisions about rules and and laws but on the other hand that you present the Democracy we put and then we chose uh representatives and then those representatives make rules and and laws in blockchain we have similar system in you know the delegate proof staking system so uh compared to the pure the proof of stake system and the delegate

POS system uh usually have representatives and those representatives make decisions depending on uh I mean the amount of stake they have or the amount of State they got delegation from the stakeholders so today I'll take an example uh of Clayton as a I mean in my talk and then I talk about the I mean Nursery topics and yeah using the example of Clayton so for those who are not familiar with Clayton I'll briefly introduced Clayton and Clayton is an evm comparable chain is a public blockchain and it's been learning since uh June 2019 and but uh but we use Istanbul bft for consensus

and those uh those who are participating in these consensus are actually the the entities who make decisions on governance agendas so they are validators in network and as well as the the governance decision makers and the list of them are on the life side and creating provides unique account and transaction model that is very similar to account abstraction in ethereum and we developed this a long time ago and and recently we are focusing on making little changes uh through the real world asset tokenization and digital ownership and Asia expansion and we have this high performance and

load gasp model and I'm gonna talk more about our governance structure because this talk is about governance so we have the I mean the entity called creating governance Council and that consists of members on the light side and we are currently have about 36 companies or projects from web 2 or web3 and again I mean they are in charge of the operating validator nodes as well as uh making decisions on governance and you know the how then the important thing about I mean in in governance and regarding this governance counsel is how we can choose the members in governance

Council and how they uh you know how they can be changed uh during time so in the past uh we have I mean I'm from Clinton foundation and Clayton foundation made decisions on who will be the governance council member so we invited new members to this DC structure and of course we discussed together whether they want to be a part of this governance Council and so and and since then we changed the policy so anyone can apply for the GC membership and then the existing member I mean existing governance council members put on those applications and the discussions is done on creating governance forum and then

the the booting itself is on on chain right now and we'll move further from this and so in the future so the community will vote on this applications and that means Community collecting Community will decide who will be the the governance entities uh in the future and okay uh yeah so I mentioned that the governance council members are the same as the validators at the moment so so two you know to Define who will be the entities in governance means that who will be the validators in the Clayton networks so so uh here I'm I talk a bit more about how we choose

validators and how this selection process will be changed in the future so yeah I mentioned that at the moment the this governance Council memberships is approved by the existing governance Council but uh again I mean uh we'll move to towards that this process should be the permissionless and open to the public so then what is the permission is validators so to implement them permission means that anyone who has the uh I mean proper qualification or proper uh I mean who has met the proper conditions to become a validators

can be a validator in in the network so that's the meaning of the permission is in Clayton so to implement this permissionless network what permission is validator structure so we uh can Define these two concepts the validator candidates and among these validate candidates we can choose the validate real validators and of course we need some qualification or criteria that we can use for choosing validators so uh I mean to implement this idea or this structure we we have to you know solve some technical challenges so technical challenges come from uh I mean how to choose these validator candidate

or uh how they how we choose a validation from these candidates and again I mean moving from permission Network to permission is means we have to deal with the security and stability issues as well so we need the systematic way of entering and leaving validators while the preserving the network security of course we need to prevent the Dos attack and IP sweeping and hacking and so on and we also need a mechanism that's uh that different places where functioning or underperforming validators while keeping the network stability

so yeah I mentioned that we are using Istanbul bft for our consensus but for those who are not familiar with bft consensus algorithm this is just a simple not not simple but diagram typically represent the bft algorithm so as you can see here the I mean this diagram basically shows the complexity of the message so the message complexity and this algorithm is the order of n Square so that means if we have more nodes in the network I mean in the validated Network that means the message uh complexity becomes very high because

it's it's proportional to n Square so I mean to make the network permission is and to allow more validators to participate in the network then we need a way to limit the number of messages and while we are increasing the number of those so to uh to implement and to solve this problem and we need uh the new consensus algorithm or we need to optimize the consensus implementation and or we have to come up with an I come up with the way that can limit the number of actual validators participating in the consensus so this is the actually uh already

implementing Clayton but the conceptually we need the some subset from the validator set so they can actually participate in the network while reducing the number of messages and the Second Challenge is about the block time so so Clayton's block time is one second with immediate finality that means we need to really care about the network licensing so when we break down the the time for the block generation so a lot of time is used for the network transmission but you know uh so again I mean this means that the physical Network latency

affects a lot to the performance of the network and the block time and so we have to really think uh I mean carefully designed that the distribution of the validators in the world I mean the physically so this shows that the network latency from Seoul and Singapore and then at the moment to keep the one second block time we keep the the network latency within 150 milliseconds but yeah but to overcome this limitation we need the weight uh so we need a way that we can distribute the network over the world while yeah maintaining the one second

block time but this needs to solve that uh you know that this geographical challenging in terms of the network latency so so with this uh permission is better Network again I will choose some of them from this uh we'll choose a governance Council who actually the governor's body uh in the network and and so uh conceptually the governance Counselor come yeah come from and some of them come from the validators and some of them will be just purely the governing body in the network so so yeah so this is about how we choose the participants in the

governance in the network and this is the example of Clayton and then next I'll talk about how the the decisions can be made through what kind of process so you know we have uh we have traditional governance model that is basically off-chain model so any uh so sometimes this is hierarchical and and role-based and Trust based and political and they I mean the participants have static power but uh you know on blockchain or website we have unchain governance as well so unchain governance means that I mean there's more horizontal and no there are no fixing

rules fixed rules and trustless and a particular and the boarding power could be fluid so we have you know the in and ethereum ecosystem or in the website ecosystem we have the tools for unchain booting or unchain governance and also of uh of chain governance thing and so on so for off chain I mean the snapshot is you heavily used and for unchain building or own chain Dow management the third is the one example tool that can support uh this one chain governance and in Clayton we have uh the governance supporter called Clayton Square so in

Clayton Square we provide information about the governance Council that I mentioned so basically it describes who are the governor's council members and how they how much they are staking on the network and and the and who we who joined and who left the and so on and apart from this information part we have the own chain building system and this Unchained building system uh the the GC members can vote on a governance agenda and and they can also see the the voting process and of course this is the public uh system so anyone can see the history and

the status of the voting agenda as well and in the future so uh through this because this is everything about Clayton's governance and the active and Community activity so we'll disclose more information about uh Treasury and community activities and ecosystems and so on and yeah again that we allow I mean we enable the community to be participating more in the governance and and this decision-making process so in terms of process on governance and so we uh you know there are there could be many different ways of how to vote on agenda so it could be identity based

voting or it could be the hash power based bullying or stake based bullying and so on so we can think of a world some combination of this uh different mechanisms so then you know the we can think of different Mass mechanisms of booting but also we need to think about how voting power can be defined for each participant and depending on what so we can think of at least three models so each participant can have equally the same booting power and and the voting power and the boarding power can be proportional to

the stake of amount of stake where the the amount of uh the delegation and but the problem the second approach is I mean though someone who has a lot of stake can Monopoly or can make a decision by themselves yeah but to minimize that Monopoly issue so we can have something that similar to the second approach but uh but we can also set up the the maximum the voting power so basically does that means the booting power can be proportional to the amount of stake or amount of Delegation but it has the maximum capacity

so on Clayton we follow the third model so basically we our voting power on Clayton is proportional to the amount of stake but but the one board is assigned a per 5 million clay but we have the maximum boarding power per per uh each governance council member and that is defined as the total number of this member the minus one for example if we have 10 members then the maximum voting power that each member can has can have is the 9 because we we do minus one so this mechanism can prevent that a single member

cannot make a decision or not and okay we talk about the booting voting mechanism and voting power and then how and then the next uh is how how we are going to make the reporting and this is about the booting process in Clayton as an example so we do have two two different parts one is the open chain discussion part and and on chain putting part and discussion we are using the collating governance forum and that where the proposals is posted and then and the discussions uh within Community were within the GC members uh is is held and after uh discussion on the Forum we

moved to the uh the own chain building and that is uh that on chain building is happening on the Clayton scale that I introduced before so this is the example so we have this off chain discussion part and then after that we moved to the Unchained uh putting uh putting page so uh once announced okay when you move to the own chain Park and then we announced the agenda to the portal and we start the booting and the booting will last about uh seven day to 14 days depending on the configuration so we yeah so every uh GC member do the to

cast the bolt uh on the voting putting us in there and but and once that agenda is passed through the boarding and then we uh we implement the the result by ourselves or the through the governance constant and in this sporting process the important thing is because you know the the booting the voter list that is the governance counseling members and also the voting power can be changed anytime and because these are the data that's uh that is changed in real time so we need to you know at some point we need to finalize uh who will be the voters and how much voting power they can have so

we have these two two pages so we first finalize the putter list yeah that's so that means who will be the participants on voting and then uh after some period we finalize the voting power depending on the amount of stay yeah so we after finalizing these two we actually start the booting yeah and the booting is and everything in this process every process uh yeah described here is implemented on Smart Country so to end so you know to pull website because even though the blockchain is transparent and you know we are trying

to be transparent and making a good decision but still the many things and the many decisions are made by humans and so uh but for this Webster and the blockchain uh ecosystem or industry to grow we need the you know the transparent and and easy to participant governance system so each participant in the in the ecosystem can express their opinion easily and yeah can choose the proper decision so uh to conclude we need uh I mean better open governance system for this industry and for this ecosystem and so the participation and then decision making can be

done you know transparent and efficient way thank you for your attention uh if you scan this QR code you can find more information about Clayton and Clayton square and and other topics that we are working on and and thank you again I'll take some questions I think we have some time thank you thank you if you have some questions raise your hand and uh I will I will bring you the microphone so I know it was a very long one but uh don't feel shy I think there is no question so okay

thank you again yeah have a great day yeah thank you [Music]