Summary
We propose adding oSnap, a governance tool developed by UMA, to the Radiant Safe to allow for automatic onchain execution after successful Snapshot votes.
Abstract
Adding oSnap streamlines the execution of governance decisions, and brings a new layer of efficiency and reliability to Radiant. This requires minimal effort and no disruption to existing DAO governance processes. UMA even covers the onchain execution costs for executing the transactions added to a Snapshot proposal.
oSnap secures over $650M for treasuries including CoW Protocol, Across, Connext and Shapeshift. A dashboard of all oSnap users can be viewed here. oSnap was built by UMA, an experienced leader in optimistic verification and UMA’s optimistic oracle currently secures over $1.4B of TVS across bridges, prediction markets and governance tools.
Goals & Review
Adding oSnap decentralizes the onchain execution for DAOs and empowers RDNT holders by enabling tokenholders to govern how the Radiant Safe funds are allocated. Due to Radiant funds being in a Safe and Radiant having an active Snapshot space, adding oSnap requires minimal effort and no disruption to existing DAO governance systems.
Specification
Once enabled, Snapshot proposals related to the distribution of funds from Radiant can include transaction data with the proposal. After a successful Snapshot vote, the transaction is proposed onchain and verified by UMA’s optimistic oracle before being executed by the Safe. There will be no changes to proposals that do not require onchain actions such as social votes relating to governance, temperature checks, etc.
The updated Snapshot flow for proposals that require onchain execution would be:
- An oSnap enabled Snapshot proposal is created. This process is the same as a normal Snapshot proposal with the addition of transaction data that will be verified and executed if the proposal passes. The Snapshot transaction builder is specifically designed to make it easy to create and verify transaction data for token transfers.
- RDNT holders vote on the proposal like any other Radiant Snapshot proposal (uses the same Snapshot strategy for voting power).
- If RDNT holders approve the proposal by vote, any address can post a bond (2 WETH) for a challenge period (1 to 3 days) and propose to execute the transactions onchain. UMA has implemented a bot that validates proposals (vote passed, meets min voting period/quorum) and posts the bond for DAOs along with covering gas costs for execution (there are no fees to use oSnap).
- If no dispute arises about the proposal’s accuracy during the challenge period, the transactions can then be executed.
- In case of a dispute, the proposal is not executed. UMA token holders vote to resolve the dispute, with the correct party rewarded from the opposing party’s bond. This bonding and dispute mechanism punishes incorrect proposers and disputers and incentivizes honest disputes. Any proposal that was incorrectly disputed can be re-proposed to the oracle for execution without requiring revoting. It is important to note, the dispute resolution decided by UMA token holder votes are not deciding if the transactions can be executed or not, only the bond allocation between the proposer and disputer.
UMA created and maintains oSnap as a public good with no implementation or usage fees because we believe decentralized governance tools are critical to the entire Web3 ecosystem. Since UMA is already running robust monitoring across all of our optimistic oracle integrations and can recycle the bonds posted, the additional costs associated with these services are negligible and it is sustainable to continue providing this service for DAOs. If any changes were to be made in the future, we are committed to having existing DAOs not face any changes (aka be “grandfathered in”).
Steps to Implement
The oSnap Safe app can be used to add oSnap to the Snapshot space and Safe in a few minutes with no developer time required. A video demonstration of the oSnap Safe App can be viewed here.
Benefits
The benefits of Radiant adopting oSnap are:
- oSnap enables RDNT voting to govern how Radiant funds are allocated and remove the reliance on the Safe multi-sig signers.
- Transaction payloads included in proposals that are approved by voters are trustlessly and permissionlessly executed which increases transparency and decentralization.
- Automatic transaction execution by UMA bots is faster than waiting for multi-sig signers along with the bot paying the gas costs for execution. The gas cost of the transaction execution is paid for by these bots instead of the multi-sig signers.
- The UMA team is continuously making frontend improvements as per user feedback and improving open source monitoring infrastructure for oSnap.
UMA has also focused significant resources on monitoring efforts:
- The same bot that proposes and executes transactions also automatically disputes inaccurate proposals if the following criteria are not met:
- The proposed onchain transactions match the transactions that were approved in the Snapshot proposal
- The Snapshot proposal passed with the minimum parameters specified (majority in favor, meets minimum voting period and quorum)
- The proposal follows the strategy specified in the Snapshot space.
- Proposals are included in the UMA Oracle UI (https://oracle.uma.xyz/) which is the same interface used by disputers verifying and disputing for other third-party integrations (Polymarket, Sherlock, Cozy, and other oSnap integrations).
- UMA sponsors a verification program, that pays UMA community members to verify all optimistic oracle assertions So when any transactions are proposed through oSnap, a Discord ticket is automatically created and an experienced verifier from the UMA community completes a multi-step verification process that focuses on areas such as the transaction payload matching the intent of the proposal, verifies transactions do not include interactions with malicious contracts, etc.
Timeline
Immediate as approved and implemented.
Overall Cost
Except for the gas cost to add oSnap, there is no cost to integrate or use oSnap. With UMA paying the gas costs associated with executing a proposal, governance decisions that go through oSnap become free for the DAO.