To create a proposal in the DMD Diamond DAO governance system, you must first connect your wallet. Ensure that you have a MetaMask, Walletconnect, Brave or Coinbase account with coins to interact with the Diamond UI.
DMD Diamond DAO operates in two phases:
- Proposal Phase (12 hours) – DMD Diamond holders create proposals.
- Voting Phase (12 hours) – Validator Candidates vote on proposals. Please note that DMD Diamond coin holders indirectly influence voting results, as their staked DMD contributes to the validator candidate’s total DAO weight percentage. They can allocate their delegated stake to the validator candidate who aligns with their preferences.
Each proposal type has specific requirements:
1. Open Proposal Without Payout
Purpose
An open proposal without payout is the simplest proposal type. It is used for:
- Suggesting platform improvements
- Proposing community events or collaborations
- General governance discussions
Steps to Create
- Click “Create Proposal” during the proposal phase.
- Choose “Open Proposal” from the dropdown
- Enter Title and Description (Example title: “Collaboration with Project X”. For Description; provide detailed reasoning and supporting information.
- Add a Discussion Link (Optional) – Link to a forum, Discord, or external discussion source.
- Pay Proposal Fee (The proposal fee is 50 DMD on the Mainnet (10 DMD on Beta) for all proposal types. It can be changed by submitting an ecosystem parameter proposal)
- Submit Proposal (If the proposal is accepted and executed, the proposer gets their proposal fee refunded. If rejected, the fee remains in the governance pot)
2. Open Proposal With Payout
Purpose
- An open proposal with payout requests funds for a specific purpose.
- Rewarding a contributor
- Funding for a community project
- Development-related expenses
Steps to Create
- Click “Create Proposal”
- Choose “Open Proposal” from the dropdown
- Enter Title and Description (Example title: “Fund User A for the help with Website Development”. For description; provide detailed reasoning and supporting information)
- Specify Payout Details (Payout Address: Enter the recipient’s externally owned account (EOA) address. The funding for approved proposals comes from the governance pot. You can check the available balance of the pot on the DAO’s main page. For Amount: Specify the amount of DMD requested. You can optionally add multiple payout addresses.
- Pay Proposal Fee (Same as open proposal without payout)
- Submit Proposal (If approved, the requested amount is sent to the specified address upon execution. If the proposal is accepted and executed, the proposer gets their proposal fee refunded. If rejected, the fee remains in the governance pot)
3. Ecosystem Parameter Change Proposal
Purpose
This proposal type changes predefined governance parameters within Diamond DAO.
Existing parameters on DAO launch:
- Proposal fee
- Delegator minimum stake
- Minimum gas price
- Block gas limit
- Governance pot share
- Report disallowed period
The list will be updated with the new parameters once the community has the necessity in them.
Steps to Create
- Click “Create Proposal”
- Choose “Ecosystem Parameter Change Proposal” from the dropdown
- Select Parameter to Change – Choose from the predefined list.
- Set New Value (Must be within the allowed min-max range.)
- Enter Justification and Discussion Link (Optional) – Example: “Increase proposal fee to 20 DMD to prevent spam.”
- Pay Proposal Fee (The proposal fee is 50 DMD on the Mainnet (10 DMD on Beta) for all proposal types)
- Submit Proposal (If approved and executed, the new parameter value takes effect immediately. Changes to these parameters can be made within predefined limits by increasing or decreasing the values within the allowed threshold. See full details here
If the proposal is accepted and executed, the proposer gets their proposal fee refunded. If rejected, the fee remains in the governance pot.
Each parameter from the dropdown list can be changed only once a month. If there are multiple proposals to change the same parameter, all with enough “yes” votes and participation during the single DAO phase, the community will decide which proposal will be finalized and executed.
4. Contract Upgrade Proposal
Purpose
Initiatives to update or replace existing smart contracts within the platform. Contract upgrade proposals allow for updates to any contract owned by the DAO. To submit a proposal, you need to specify the target contract and provide the calldata for the upgrade.
Steps to Create
The technical guide explaining how to create the proposal type can be found here. This is the strongest type, which requires technical knowledge; it is tested on beta by the developer team only.
Additional Notes
- Proposal Dismissal: The proposer can cancel their proposal during the Proposal Phase, but the proposal fee remains in the governance pot.
- Voting Process for Open and Ecosystem parameters change proposals: 33% participation and 33% exceeding “Yes” votes to pass.
- Voting Process for Contract Upgrade proposals: 50% participation and 50% exceeding “Yes” votes to pass.
- Finalization and Execution: Approved proposals must be finalized and executed.
For more details, refer to the DMD Diamond DAO GitHub documentation.
After proposal creation phase, comes the Voting phase on proposals, stay tuned on the comprehensive guide on how to vote on proposals within the DMD Diamond DAO!
