[Proposal] Poolgov - A gasless proposal voting tool for datapool governance by LPs

Project Overview

Name of project: PoolGov - A gasless proposal voting tool for datapool governance by LPs

Proposal Wallet Address: 0xf84a022c73F3547932bdb3Cf4a356315fDc76748

The proposal in one sentence: A gasless snapshot based voting tool for governing datapools by Liquidity Providers

Which category best describes your project? Pick one or more.

Build / improve applications or integrations to Ocean

Project Description :

Ocean Protocol has devised an amazing way to price datasets - using Balancer based data pools. But, in current setting a significant decision making power rests on datapool owner. We can say that all decisions for a given datapool (and underlying datatoken) is taken solely by datapool owner (i.e. data provider). This design creates a lot of issues and invites rugpulls.

With PoolGov, we propose a snapshot based gasless dapp where datapool owners will be able to create proposals on important decisions (e.g.) reducing price of datatokens, moving the pool to the other chain supported by Ocean Protocol etc. and all relevant LPs in that pool will be able to vote on that proposal. This way pool owner will be able to empower the liquidity providers in making important decisions for the pool.

What problem is your project solving?

Exempt of the problem being solved is described in ‘Project Description’ but here are some problems that we aim to solve with this project -

  • Datapool owners have unilateral decision making power for their datapools (Even when they dont hold majority pool shares)
  • Even though LP stake their Ocean in the pool, they cannot propose initiatives for the pools.
  • There is no formal way for Datapool owners and LPs to form consensus on issues related to their pools.
  • It is difficult to trust anonymous datapool owners because of immense decision making power of that pool owner.

What is the final product?

Snapshot like dapp designed just for datapools of Ocean Protocol for gasless voting.

How does this project drive value to the Ocean ecosystem?

Poolgov will help to balance the decision making power on a given datapool based on one’s stake in that pool.
This will help Ocean community and stakers vote and decide future of the pools they staked in. This will help to create environment of trust between pool owners and pool stakers, leading to increased and sustainable staking in the datapools.

Calculations for ROI

If we consider that about 400 pools in Ocean Market will be able to vote on proposals, and if each pool will be able to retain on an average 10 stakers with average stake of 100 OCEAN tokens (because of increased trust due to new voting power on that pool) who would have ragequit or exit the pool otherwise. Then each pool will be able to retain 10 * 100 = 1000 OCEAN.

Total TVL retained = 400 * 1000 = 400,000 OCEAN (Bang)
This grant expense = 10,000 OCEAN (Buck)

So ROI = bang/buck =. 400,000/10,000 - 40

Proposer’s estimate of % chance of success = 60%

Final calculation of ROI : expected ROI = 0.6 * 40 = 24

Project Deliverable - Build / Integrate

Snapshot like dapp designed just for datapools of Ocean Protocol for gasless voting.

Project Deliverables - Roadmap

We plan to release this dapp in beta by end of April 2021 or earlier.

Team members

Pooja Khambatia
I am UX designer and developer. I am well experienced in web3 and ethereum based dapps development.
Skillset - Node.js, React.js, CSS, web3.js, Vue.js, Solidity

Vishu Bhatia
I am expert of setting up infra and maintaining databases
Skillset - AWS stack, IPFS, Digital Ocean, Azure, MongoDB, OracleDB, Chef, Ansible

Wouldn’t a Snapshot strategy be enough to do that?
You can check which people provided LP and how much and you can then use this strategy via https://snapshot.page/ to create votes like Ocean does for the OceanDAO.
Re-Creating this platform would be strange when you can just create a startegy for Snapshot that does the same.
Check my code for adding the staked tokens on the marketplace here:

Snapshot has static entries (each pool has to be added manually like OceanDAO). This would not only fill up half of the snapshot spaces will Ocean Pools (which snapshot team most likely won’t be happy with). This also means when number of pools increases in Ocean Protocol more than 90% of snapshot labs will be overriden by Ocean datapools.

Another issue is each space (project) has their own config (e.g.) who can create a proposal, this works in projects like OceanDAO but for datapools where data provider might not even be majority LP, this setup becomes restrictive and not open to all to propose ideas.

There are other minor limitations as well but the above mentioned ones are major issues in our opinion.

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Ah, I did not get these details from reading the proposal. Those are some valid arguments.

But are you going to reuse Snapshot infrastructure to save time in development or are you going to write everything from scratch?
If you reuse you can benefit from their future features.
Maybe have a layer on top of it? I think they are offering some great baseline.

I think many datapools will not need this governance while others do e.g. of the >400 pools right now about 30% are still active and could benefit from governance.
But what would be fascinating is the option to also hand over control of the datapool to a DAO so that the funds of the datapool could be actively spend via a governance layer. But that might be something for a later expansion of your platform. I am definitely interested in that as this will ensure more trust of liquidity providers due to the inability to rug pull.

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Yes exactly. We were thinking on those terms as well. Start with proposals which trains pools to get organised and then later move to DAO part where Pool owners can stake their LPTs to ensure trust and no rug pulls.

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