Dear MuesliSwap Community,
We have been working hard over the past few months to come up with a future-proof roadmap that will benefit all stakeholders in the MuesliSwap ecosystem. Our commitment to MuesliSwap’s future and its complete decentralization remains unwavering. Today, we want to propose a natural step in the evolution of the MuesliSwap DEX: transitioning MuesliSwap into a fully Decentralized Autonomous Organization (DAO), a pioneering move to establish MuesliSwap as Cardano’s first real DAO and a leader in DEX innovation. We share our outline for the DAO transition below and appreciate feedback from all community holders before moving to an official vote.
The core idea: Transition to a DAO Governed by MILK
Our vision is to evolve MuesliSwap into a DAO where governance and decision-making rest with the community, especially MILK token holders. This shift is aimed at reinforcing our dedication to decentralization and empowering our community. By removing central control over MuesliSwap DEX components, we aim to secure the project’s sustainability, governed through the MILK token.
Ensuring Community Governance:
On-Chain Voting System: Introducing an on-chain voting mechanism that allows MILK token holders to directly influence protocol decisions in a decentralized manner, with corresponding adjustments made on-chain. This requires updating all relevant contracts for compatibility with decentralized on-chain voting solutions. We have already started extensive development into this area in the past months and have already made the initial design choices of an on-chain voting protocol available: GitHub - MuesliSwapTeam/muesliswap-onchain-governance: An on-chain governance protocol with enforceable voting results.
MILK Token as a Governance Instrument: Elevating MILK tokens as a vital governance tool, granting holders substantial influence over the platform’s direction.
Community Tenders: These initiatives encourage innovation and development focus, inviting contributions from everyone, including the MuesliSwap team. The Muesli team’s role will shift to being one of many contributors, emphasizing the collective decentralized responsibility in steering MuesliSwap’s direction. This change ensures the DAO’s effective fund management, talent acquisition, and swift, reliable protocol progress. Our team will continue to offer expertise and guidance without holding a controlling stake, fostering a collaborative environment where every community member, including us, has a voice.
Financial Transparency and Control:
Establishing a transparent, community-driven on-chain treasury for financial oversight. The treasury, controlled by MILK token holders, will manage all protocol revenues and transparently fund development and expenses. Moreover, additional revenue sources on the protocol level could be introduced by the DAO once the structure has been established.
Matchmaker Governance Model:
Licenses Managed by the Community: Proposing a system where matchmaker licenses are introduced and overseen by the DAO, improving our market-making ecosystem and liquidity. DAO governance will ensure equitable matchmaker management, generating additional revenue for the DAO.
Empowering Community-Led Development:
Open-Sourcing for Collaboration: Making interface and analytics endpoint components publicly accessible for collaborative development. The interface should be hosted on IPFS for transparency, with backend components being additionally operated by various community members, incentivized by the DAO.
This post is an invitation for open discussion. Please share your thoughts, concerns, and suggestions. Together, we can facilitate a transition that truly reflects our collective vision for MuesliSwap. We understand that this transition is a major step and want to ensure that it is executed with the highest regard for security, efficiency, and community involvement