Introduction
Our governance process on Mainnet follows a clear path transparently:
- Executive proposals are automatically published on Tally the moment they are pushed on-chain regardless of the entity that creates those proposal (core team; community members, etc.)
- The community can verify - in plain English and code - a proposal’s code and the changes it affects.
- The community can vote on a proposal with For/Against/Abstain.
- The community has a 2-day period to withdraw funds from the protocol, or sell their token holdings, in case an outcome of a given proposal is not desired. In other words, they can exit.
Since Silo Arbitrum is managed by the Core Team via a Safe wallet (3/5), this proposal aims to establish a transparent governance process for the protocol fork that provides a comparable transparency with that of Mainnet.
Please note that the Core Team Safe cannot upgrade contracts or take custody of user funds - those actions are impossible to perform by design.
Suggested process for affecting changes on Silo Finance Arbitrum
- Create a proposal in Proposal Discussion. Wait 24H before moving forward.
- Run a snapshot vote to gauge consensus and move proposal to execution.
- If a proposal passes, the Core Team publishes an executive proposal in Arbitrum Executive Proposals containing a link - or attachment - to an executable transaction in addition to a description of that the transaction executes.
- The executive proposal stays unexecuted for at least 24H before it is signed into affect. This is 1 day shorter from that on Mainnet. We can also use 2 days if the community prefers that.
Emergency exception
I suggest the community authorizes the core team to skip governance process in emergency situations. An emergency is an event that might lead to funds being lost.
Please note that the core team can only take actions when they are 1- aware of the issue, 2- can assemble 3 signatures to execute a transaction. This privilege should not constitute a liability on the team in the event it fails to take a timely action for any reason. Users assume the risk.
Executive proposal to migrate $ARB data feed to Chainlink
Please take a look at the transaction details on this link.
The transaction affects the following changes:
- Migrate $ARB oracle from Uniswap V3 to Chainlink ARB/USD
- Use Uniswap V3 ETH / ARB (0.3%) as a fallback oracle. The Silo protocol will only use the pool as an alternative liquidation path in case primary paths fail for any reason. In other words, the Uniswap pool is never used as an oracle.