RFC: Raise OPEN’s proposal threshold and quorum

[0xJMG]

Recent malicious OPEN proposals sought administrative and rebalance permissions, forcing holders to organize repeated defensive votes. I propose raising the voting power needed to submit proposals and the participation required to meet quorum.

Across Basket governance, DTF governance, and DAO governance, this proposal would change:

• Proposal Threshold from 1% to 5%. A proposer would need 5% of the total staked voting power, held directly or delegated to them.
• Quorum from 10% to 15%. For and Abstain votes would need to represent 15% of total staked voting power. Against votes do not count toward quorum.

The current OPEN settings show 1% and 10% across all three governance areas.

Our review of nine proposals found that all six proposals meeting today’s quorum would also have met 15%. However, the Jan 20, 2026 voting-period proposal reached only 15.9%, so lower turnout could stall future decisions.

The higher proposal threshold would require smaller holders to gather delegations or find a proposer with enough voting power. These changes raise the requirements for an attack, but someone meeting the new threshold could still submit repeated proposals. Taylor’s separate spam-protection upgrade addresses that problem.

Please share suggestions, objections, and alternative thresholds during the five-day discussion ending Oct 23, 2026. We plan to incorporate that feedback and submit the onchain implementation proposal that day.

[0xJMG]

An update changing the recommendation to 4% proposal threshold:

@0xJMG

1. I suggest Basket, DTF and DAO governance to share a 2-day voting delay, 5-day voting period and 3-day execution delay, with a 4% proposal threshold and 15% quorum. The 2/5/3 schedule is easy to explain. I previously suggested 5%, but our Oct 21 snapshot tab #4 shows nine wallets currently control at least 4% of votes, versus five at 5%. The new 12-hour averaging rule would still apply. Can the final contracts use these settings?

[0xJMG]

This proposal in three parts has moved onchain.

1. Basket Settings → Raise proposal threshold from 1% to 4% and quorum from 10% to 15%. Governs assets, weights, and rebalancing.

2. DTF Settings → Raise proposal threshold from 1% to 4% and quorum from 10% to 15%. Governs fees, distributions, auctions, roles, and technical configuration.

3. DAO Settings → Raise proposal threshold from 1% to 4% and quorum from 10% to 15%. Governs voting, revenue tokens, and DAO roles.

Voting starts in 48hrs on Monday at 1:30pm PT.

These proposals cover only the proposal and quorum thresholds meant to disincentivize recent uptick in malicious proposals.

Separately there is an exploratory conversation on spam protection along with a new rewards vaults in this RFC: [RFC] Proposal-spam protection upgrade for OPEN - #2 by 0xJMG
This will be brought onchain separately as soon as a few more questions get clarified.

Thx to all vlSQUILL that are contributing ideas, concerns and votes.