Dear Bankless Nation 🏴,

A recent proposal to elect a new multisig signer is on the Forum. This will serve as a replacement for OxLucas on the Vault Multisig, as he has requested to step down. The proposal outlines the steps to elect a new member to maintain the seven-member structure of the multisig. If you're interested, visit the Forum for details on the requirements and the application process.

Meanwhile, the multisig rejected some OP token distribution transactions, leading to mixed reactions from the community. The multisig urges concerned community members to remain calm, as steps are being taken to resolve the issue as soon as possible.

In light of these events, this week’s editorial focuses on the core principles that shape our community: decentralization, transparency, and accountability. The Vault Multisig is a vital part of this system, and understanding the responsibilities and rights of the signers and the broader framework is key to ensuring effective governance.

As a community, we’re on a journey toward improvement, and the sooner we acknowledge that it’s a gradual process, the faster we can achieve collective success.

Contributors: Lucent, Tonytad, Angelspeaks, Boluwatife, Kornekt, WinVerse

This is an official newsletter of BanklessDAO. Please subscribe and share to help us grow our audience as we fulfill our mission to build user-friendly crypto onramps.

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🏃‍♀️ Catch up: Listen to this week's Community Call recording.

Proposals in Discussion

• Election of One New Vault Multisig Signer

Navigating Growth, Community, and Accountability

Author: Boluwatife

The DAO Vault multi-signature wallet, often called the Vault Multisig, is an important aspect of the DAO's financial security. It hosts the primary assets of the DAO and requires a quorum of four out of seven designated members to execute any transaction. This structure ensures that no single individual has complete control over the organization's funds, upholding the principles of decentralization and collective responsibility.

Recently, 0xLucas, one of the existing Multisig signers, has requested to step down from their role. This decision led to a carefully designed process to elect a new signer to maintain the seven-signer structure.

Rights and Responsibilities of Vault Multisig Signers

Being a Vault Multisig signer is a position of great trust and responsibility within the DAO. The role comes with specific rights and duties that are crucial for the DAO's operation and security:

Rights:

1. Creation of transactions for consideration by other signers.

2. Discretionary approval or rejection of proposed transactions.

3. Authority to post proposals to the DAO’s Snapshot space.

Responsibilities:

1. Ensuring the DAO's perpetuity in alignment with its mission, vision, and values.

2. Timely signing and execution of approved transactions.

3. Thorough vetting of transactions for alignment with agreed decisions.

4. Validation of individual transactions in mass payouts.

5. Continuous monitoring of the vault multisig's activity.

6. Management of access and permissions to the multisig.

7. Maintenance of secure and up-to-date personal software and hardware.

8. Vetting of Snapshot proposals for compliance with governance procedures.

9. Stewarding the process of moving proposals to Snapshot.

These responsibilities are very important as they highlight the critical role that Vault Multisig signers play in maintaining the integrity and security of the community’s financial operations.

The Application Process

For those interested in stepping into this crucial role, the application process is straightforward but well-detailed:

1. Eligibility Check: Candidates must meet specific criteria:

• Hold tlBANK tokens as of block height 18,652,139.

• Have previously held a leadership position in BanklessDAO.

• Possess experience as a signer on a multi-signature wallet.

2. Application Submission: Eligible individuals submit their applications by replying to the official announcement post on Forum, with details including:

• Their Discord handle.

• A statement explaining their motivation for applying.

• Qualifications that prove they meet the required criteria.

3. Review Process: The Transition Council reviews applications, potentially disqualifying candidates who don't meet the requirements. Any disqualification comes with a clear rationale.

4. Election: Following the submission period on Forum, an election is held using a tlBANK Snapshot, allowing the community to vote for their preferred candidate.

This process ensures that the new Vault Multisig signer is not only qualified but also enjoys the trust and support of the community.

The Power of Community in Web3

In web3, community isn't just important — it's everything. Unlike traditional centralized systems, web3 projects thrive on the active participation, shared vision, and collective efforts of community members. This sense of belonging and shared purpose is what drives innovation, adoption, and the overall success of blockchain-based initiatives.

While web3 operates primarily in the digital space, the importance of in-real-life (IRL) events is very important. These gatherings are crucial as they bring the virtual community into the physical world and build deeper connections among participants.

Transparency in Action: OP Intent Campaign Funds Review

The recent discussion about the funds review for the OP Intent Campaign during a community call highlights how transparency and accountability are very important in web3. The multisig team reviewed the deliverables and transactions but there were some questions about the quality of work eventually temporarily halting payouts. This led to contributors seeking a clear reason for this rejection. The Multisig assured that the rejections were not done out of malice and that every transaction that was rejected had a reason, and would still go through more review.

Understanding the Review Process

The multi-signature wallet team, responsible for managing and distributing funds implemented a thorough review process for transactions. This process ensures that:

1. Contributors who have completed quality work are fairly compensated.

2. Funds are not disbursed for subpar or incomplete work.

3. The DAO's resources are used efficiently and effectively.

However, they are not perfect. To address these rejected transactions, the Multisig calls on the recipients of these funds to help them properly go through this process. It's important to note that a rejected transaction doesn't necessarily mean the funds won't be distributed. The review process is designed to ensure accuracy and fairness, not to discourage contributors. The community emphasizes that giving up is not an option and encourages contributors to work through the process.

The Path Forward

This transparent review process serves multiple purposes:

1. It maintains the integrity of the DAO's financial operations.

2. It ensures that high-quality work is appropriately rewarded.

3. It provides an opportunity for contributors to understand and meet the DAO's standards.

4. It reinforces the community's commitment to responsible resource management.

By openly discussing these processes and challenges, the DAO continues to set a standard for transparency and accountability in the web3 ecosystem.

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