Lido Governance Manual
The evolution of Lido DAO: a topographical business timeline from genesis to present.
Acknowledgments
We appreciate the feedback on this manual from Steakhouse, Nansen, the Delegate Oversight Committee, and individual Lido DAO contributors from governance and institutional workstreams.
Disclaimer: “Lido DAO contributors haven’t reviewed the document in full —feedback was provided only on specific sections. Contributors haven’t been able to fully verify its accuracy, and at this time, there are no allocated resources for a comprehensive review.” – Jenya_K
Introduction
The main objective of the governance manual is:
By collaborating with Lido DAO, Blockworks is taking its next step towards becoming a pillar of the community. To do just that, we made Lido DAO even more simple.
What Are The Potential Outcomes From The Governance Manual?
- Efficient resource allocation optimized for north star metrics
- Decreased operating costs
- Increased delegate/LDO-holder participation (in quality and throughput)
- Streamlined delegate onboarding
- Enhanced auditability for institutions and stakeholders
- Saving time for delegates and contributors
- Quickly diagnosing if Lido DAO is spending on areas of growth
- Increased accountability of DAO service providers
- Determining committee based efficacy to understand best practices for future market motions
- Better understanding cost drivers
- Managing governance capture and bloat
- Strategically positioning Lido DAO’s goal setting and committee expansion
We can use the Governance Manual to onboard stakeholders, streamline operations, determine efficacy, inform the community, track performance, and compare information across Lido DAO – all in one place.
How To Use The Governance Manual?
After Lido Governance Manual:
- Go to table of contents, or command F, to search
- Locate desired committee, KPI, framework, tooling, or governance topology
- Open drop down and read desired information
- Close Lido’s Governance Manual and take your next steps
Before Lido Governance Manual:
- Go to Lido Research Forum, Lido website, Lido medium, Lido Github, Google, and/or Twitter
- Search for desired information across all platforms
- Sift out pertinent information from all platforms
- Collect, collate, categorize all relevant information from all platforms
- After spending time on steps 1-4, read formatted information
- Be uncertain that you have all information
Why Is A Governance Manual Needed?
As a system of governance expands it becomes a challenge to observe, operate, and control. This report serves as a solution and a foundation: offering the Lido community – encompassing institutional/solo holders, lido contributors group, ethereum, and node operators – an objective, consolidated, and transparent view of its operational history, current structure, checks and balances, separations of power, critical milestones, major integrations, KPIs, and evolution.
After thorough analysis of hundreds of proposals, forum posts, github documents, and medium articles, we conclude that while information for Lido DAO is public, it is scattered. The result is that the Lido community stakeholders’ civic duty to ensure the integrity, efficiency, and efficacy of Lido DAO could be improved by collating, organizing, and imaging this information.
What is the Current Governance Onboarding flow missing?
- 16 committees/entities
- For each committee a list of checks and balances
- For each committee a list of separations of power
- Historical precedent of each committee including past success, failure, and topology
- Historical committee-based KPIs
- How power disseminates in Lido DAO
- An understanding of funding processes
- Historical campaign-based KPIs
What Are the Stakeholder struggles that a Governance Manual addresses?
Lido DAO can be greatly improved even from the solid position it is in today. We believe this report will address the following non-exhaustive list of stakeholders struggles:
- LDO Holders:
- Struggle with interpreting information
- Efficient and valuable participation
- Effective resource delegation
- Maintaining focus
- Enforcing accountability
- Navigating complexity of Lido DAO
- Disabling governance capture/bloat
- Knowing where to integrate automation
- Progressing towards decisive decision making
- Lido Contributors Group:
- Face difficulties in operational efficiency
- Maintaining information availability
- Facilitating cross-committee communication
- Institutional stETH Holders:
- Grapple with difficult auditability; by ensuring intuitive auditability —encompassing financial records, corporate structure, and demonstrated execution— a foundation of trust in Lido DAO necessary for broader institutional participation and long-term adoption of stETH can be established.
