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Governance Cycle

Nance embraces the concept of a Governance Cycle. Originally born from Juicebox's concept of a funding cycle, a Governance Cycle is a set amount of time that a DAO has to propose, discuss, vote, and execute proposals. Utilizing cyclical governance has many advantages over ad-hoc or asynchronous governance:

  1. Predictable - organization members know when they need to propose and vote
  2. Less voter burnout - voters have preset days they know they will need to vote, no need to constantly check for new proposals
  3. Batched execution - grouping proposal actions by cycle allows for more efficient execution
  4. Time to refine ideas - organization members can refine their ideas if they are rejected on an initial vote

Implementation​

Nance is setup to track 4 stages of a Governance Cycle

  1. Temperature Check (suggestion: 3 days)
    • organization members provide feedback on proposal content
    • proposal authors can refine their proposal
    • simple 👍 👎 poll is taken (typically in Discord)
    • proposals that achieve a configurable threshold of positive feedback by the end of this stage are moved to the Vote stage
  2. Vote (suggestion: 4 days)
    • organization members vote on proposals, typically using their token-weighted voting power
    • off-chain signature voting backed by Snapshot
    • proposals that achieve a certain threshold of positive votes are moved to the Execution stage
    • Nance supports complex passing thresholds in addition to simple majority
  3. Execution (suggestion: 4 days)
    • signers of the organization's Safe assemble to execute proposals
    • if using a Juicebox treasury, proposals must be executed before the edit deadline
    • Nance allows multiple proposal actions to be rolled into a single safe multicall transaction, easing Safe signer burden
  4. Delay (suggestion: 3 days)
    • downtime between Governance Cycles
    • organization members can propose new ideas during this time for the next Governance Cycle

Nance recommends a 14 day Governance Cycle, but if your organization needs more or less time for each stage, Nance is configurable to your needs!

Next we'll walk through the stages that a proposal goes through during a Governance Cycle within the Nance platform starting with Propose.