Glossary

• Abstain – Opting not to vote on a proposal, often due to a conflict of interest or insufficient information.

• Active Delegation – A system where token holders actively monitor and reassign their voting power based on delegate performance.

• AI Governance – The use of artificial intelligence to analyze proposals, predict governance trends, and assist in decision-making.

• Automation – Smart contract-based execution of governance decisions without manual intervention.

• Burnout – The exhaustion experienced by delegates due to continuous governance participation without sustainable workload management.

• Collusion – Coordinated governance actions by multiple delegates or stakeholders that may compromise decentralization.

• Compensation Model – The structure defining how and when delegates are rewarded for governance contributions.

• Conflict of Interest – A situation where a delegate’s personal affiliations or financial interests could bias governance decisions.

• Cross-DAO Governance – The practice of participating in governance across multiple DAOs, applying insights and best practices from different ecosystems.

• Delegation Cap – A limit on how much voting power a single delegate can receive to prevent centralization.

• Delegation Lifecycle – The process of assigning, managing, and revoking delegated voting power over time.

• Delegation Transparency – The practice of publicly sharing voting decisions, participation metrics, and governance rationales.

• Dynamic Delegation – A governance model where voting power shifts based on delegate performance and engagement.

• Engagement Threshold – A minimum participation rate required for delegates to maintain their voting power or compensation.

• Governance Accountability – The responsibility of delegates to justify their voting decisions and governance actions.

• Governance Fatigue – The decline in participation due to excessive governance workload or overwhelming proposal activity.

• Governance Oversight – The mechanisms ensuring that delegates adhere to DAO rules, including audits and review committees.

• Governance Reputation Score – A ranking system that evaluates a delegate’s governance activity, consistency, and reliability.

• Hybrid Governance – A model combining decentralized decision-making with structured oversight from governance service providers.

• Impact-Based Delegation – Assigning voting power to delegates with a proven track record of meaningful contributions.

• Incentive Alignment – Ensuring that delegate compensation models promote active participation and long-term governance sustainability.

• Karma Score – A reputation system that measures delegate performance based on voting history, engagement, and governance contributions.

• Liquid Delegation – A flexible model allowing token holders to reassign their voting power at any time.

• Meta-Governance – A layer of governance overseeing the delegation and governance processes within DAOs.

• Multi-DAO Delegate – A delegate who represents voting power across multiple DAOs simultaneously.

• Partial Delegation – A system where token holders distribute their voting power among multiple delegates instead of a single representative.

• Performance-Based Compensation – A model where delegates receive rewards based on governance engagement and effectiveness.

• Proposal Evaluation – The process of analyzing and assessing governance proposals before voting.

• Protocol Governance – Decision-making processes that influence smart contract upgrades, security, and DAO operations.

• Redelegation Cycle – A scheduled period when token holders can review and reassign their delegated voting power.

• Reputation-Based Delegation – A governance model where delegation is based on a delegate’s past decision-making quality and governance track record.

• Retroactive Compensation – A funding mechanism where delegates are rewarded after proving governance impact.

• Scalable Governance – A governance system designed to function efficiently as a DAO grows in size and complexity.

• Service Provider Delegation – A delegation model where governance service providers (e.g., StableLab, DAOStewards) manage voting power on behalf of token holders.

• Snapshot Voting – An off-chain governance mechanism allowing token holders and delegates to vote without requiring on-chain transactions.

• Stake-Based Compensation – A system where delegates must stake part of their rewards as proof of commitment and accountability.

• Structured Delegation System – A governance framework outlining delegate requirements, compensation models, and performance tracking mechanisms.

• Tiered Incentive Model – A compensation structure categorizing delegates based on governance activity and impact.

• Token Holder Incentives – Programs designed to encourage active governance participation among token holders.

• Topical Delegation – A model allowing token holders to delegate voting power based on specific governance areas (e.g., treasury management, security, governance operations).

• Transparent Voting Rationales – Publicly shared explanations of voting decisions, ensuring accountability and trust.

• Undelegation – The process of removing or reassigning delegated voting power from an inactive or misaligned delegate.

• Voting Mechanism Optimization – Enhancing voting structures to improve efficiency, security, and governance participation.

• Voting Power Redistribution – Adjusting governance influence through redelegation cycles, voting caps, or dynamic delegation models.

• Whale Delegation Strategy – The practice where large token holders distribute voting power across multiple delegates to maintain governance balance and prevent centralization.