Proposal guidelines

Taiko DAO operates with two types of proposals: Emergency Proposals and Standard Proposals. Each type of proposal has specific guidelines that must be followed such that the Security Council cannot abuse their power, and the Token Holders are able to exercise their veto power effectively. This page outlines their characteristics.

Each proposal is composed of Actions. Actions are on-chain transactions bundled within a proposal. Once a proposal becomes executable, these actions can be triggered. A proposal may include zero, one, or multiple actions, and each action can target either Ethereum or Taiko L2.

Emergency Proposals

Emergency Proposals are those relating to: - The underlying security of the Taiko protocol - Modification(s) critical to the integrity of the Taiko protocol and the Security Council
Key characteristics:
- Encrypted content (not publicly visible until execution/expiration)
- Created by Security Council members
- Require a minimum of 6 votes for approval
- 14-day window for collecting approvals
- After receiving 6 approvals, any Security Council member can execute the proposal
- Auto-expire if not executed within 14 days
- No token holder approval required
- Become visible to the public only after execution or expiration
- Intended for urgent security matters

Standard Proposals

Standard Proposals cover any topics or issues that do not fall under the scope of Emergency Proposals.
Key characteristics:
- Public, unencrypted content (visible to all)
- Created by Security Council members
- Require a minimum of 5 Security Council approvals to move to the public stage
- Auto-expire if not approved within 14 days
- After Security Council approval, remain open for vetoing for 21 days. Any holder of TAIKO tokens from before the proposal creation can veto.
  - If veto rate is under 10% after 21 days, the proposal is ready for execution.
- A Security Council member must execute the proposal
- Used for non-urgent protocol improvements and governance