Neutara uses an on-chain governance mechanism for signaling, changing consensus parameters, and spending funds from the community pool.

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Proposal Process

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Proposal Process

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Neutara has an on-chain governance mechanism for signaling, changing consensus parameters, and spending funds from the community pool. The following types of proposals are supported:


  • Text: These proposals aim to secure agreement on strategies, plans, commitments, future upgrades, or other statements. Although text proposals themselves do not enact changes, they serve to document the community’s opinion or commitment towards future ideas.
    Community Pool Spend: These proposals seek to utilize funds from the community pool for specific projects.
  • Parameter Change: These proposals involve modifying core on-chain parameters.
  • Software Upgrade: These proposals entail upgrading the chain’s version.
  • IBC Client Update: These proposals revolve around updating an IBC client.
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Where to start

Before a proposal is recorded on the blockchain, it is crucial to allow sufficient time for off-chain deliberation, incorporating feedback, input, and edits. Only after this off-chain phase should the proposal be put on-chain to request votes.

The process of approving a proposal commences well before it is placed on the blockchain!

It is advised that the proposal is rasied directly with the voting community and actively seek their input

Active engagement is essential for the success of a proposal. The extent of your engagement with the Neutaro community should be proportional to the potential impact your proposal may have on stakeholders. It is recommended to post your idea into the Discord community.


Stage 1 – Your Idea

Expect differences of opinion regarding the value and strategy of your proposed actions. If you have thoroughly considered feedback from various perspectives and believe in the significance of your approach, along with a belief that others share this sentiment, it may be worthwhile to craft a proposal. However, bear in mind that the largest Neutaro stakers hold the greatest voting power, so a vocal minority does not necessarily reflect or predict the outcome of an on-chain vote.


Stage 2 – Your draft proposal

Initiate the process with a thoughtfully crafted preliminary proposal

It is advisable to initially submit the proposal in Markdown format on the forum, allowing for subsequent edits and enabling community comments. Maintaining a changelog is highly beneficial as it documents the evolution of the idea over time and in response to feedback.

The Markdown-formatted post can later serve as the description text for the proposal when it is eventually submitted on-chain.

Engage the community with your draft proposal


Stage 3: Your On-Chain Proposal

It is advisable for a significant portion of the voting community to be familiar with and have evaluated the proposal before it is officially presented on the blockchain. If you are adopting a cautious approach, it is important to have a reasonable level of confidence in the proposal’s likelihood of being approved before risking deposit contributions. It is recommended to make revisions to your draft proposal following each stage of engagement.


The Deposit Period

Currently, the deposit period extends for a duration of 14 days. If you have submitted your transaction with the minimum required deposit of XX Neutaro your proposal will promptly enter the voting phase. However, if you have not met the minimum deposit threshold, which stands at xx Neutaro, this presents an opportunity for others to demonstrate their support by contributing their Neutaro as a bond for your proposal, albeit at their own risk. You can openly request contributions and reach out to stakeholders directly, especially those who exhibit enthusiasm for your proposal. It’s important to note that each contributor assumes the risk of their own funds.


The Voting Period

The voting period is currently a fixed 14-day period. During the voting period, participants may select a vote of either ‘Yes’, ‘No’, ‘Abstain’, or ‘NoWithVeto’. Voters may change their vote at any time before the voting period ends.

At this stage, it is important to keep track of which validators have cast their votes and which ones haven’t. It is recommended to re-engage directly with the top stake-holders, particularly the highest-ranking validator operators, to ensure the following:

  • They are aware of your proposal.
  • They have the opportunity to ask any questions regarding your proposal.
  • They are prepared to submit their votes


What determines the success of a governance proposal?

  • Deposit Requirement: A minimum deposit of xx Neutara is necessary for the proposal to progress to the voting phase. Anyone in the network can contribute to this deposit, which must be fulfilled within a 14-day deposit period.
  • Quorum Threshold: At least 40% of the total voting power (staked Neutara) in the network must be actively involved in the voting process.
    • Simple Majority of ‘Yes’ Votes: By the end of the 14-day voting period, more than 50% of the participating voting power must support the ‘Yes’ vote.
  • Absence of Veto: The ‘NoWithVeto’ votes must not exceed 33.4% of the participating voting power at the conclusion of the 14-day voting period.


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