The design of Fraktal DAO creates a no-gas voting environment, where proposals are still executed on-chain.
snapshot - gasless voting
subgraph - records staked FRAK and determines voting power
gnosis safe - on-chain management of value
reality.eth - the bridge which ensures off-chain votes are executed correctly on-chain
How it works
Users stake FRAK into the rewards contract to begin earning protocol transaction fees (in ETH). This staked balance is logged in a subgraph and used to determine voting power on snapshot. Once a proposal finishes its voting period on snapshot, it is sent to reality.eth to bring the decision on-chain and execute it via the Fraktal Gnosis safe.
Let’s look at an example
- 1.Users Stake FRAK in Rewards Contract and they begin receiving protocol transaction fees (in ETH).
- 2.Using subgraphs, they are awarded voting power on snapshot for staked FRAK.
- 3.When a proposal has finished the voting period, i.e update the transaction fee on the Fraktal Marketplace from 5% to 2.5%, the proposal is relayed to reality.eth (via an oracle) and anyone can bond FRAK and verify the details on reality.eth match the snapshot proposal. If accepted and executed on-chain the bonded FRAK is returned to the user along with the reward amount (in FRAK) for processing the proposal.
- 4.During the next 24 hour period, anyone can change the initial decision by bonding more FRAK. If the initial decision is rejected by the community it goes to Kleros Court for resolution. If overturned, the bonded FRAK is slashed.
- 5.Once approved by reality.eth and finishing the 24 hour cool-down period (where anyone can challenge the decision), the proposal is executed via the Fraktal Gnosis safe and is now on-chain.