🏛️Governance & veH1

This document explains the role of governance on Haven1 and visualises how you as a network participant can decide the future of the Haven1 network

Important Note

Governance on the Haven1 Testnet is non-binding. This phase serves as an educational tool to familiarize the community with the governance processes expected on the mainnet. It's important to understand that votes cast during this phase are solely for learning and do not affect the live network.

Haven1 Governance Framework

1. Haven1 is committed to progressively expanding the rights of veH1 holders as the network stabilizes

2. Initially, the governing council, comprising seven validator partners, holds the veto power to override proposals deemed harmful. This council's composition may evolve, with positions becoming electable by veH1 holders.

Governance Participation

veH1 token holders actively shape the Haven network through the governance products. These include but not limited to

• Distribution incentives through the Governance Fund

• Grants provided to Builders of 3rd-party hApps on Haven1

• Compensation for core contributors

• Fee split between builders and the network

• Voting for core hApp (hSwap, hLend, hPerps, hNFTS, hDomains) updates

This transparent and fair decentralised governance model ensures the representation of $H1 token holders’ interests. Governance rights extend to core hApps such as: hSwap, hLend(borrowing and lending), hPerpetuals, NFT marketplace and hDomains.

How to get veH1 voting power

Step1: Obtain H1

• Post mainnet, you can obtain H1 via one of the DEXs or CEXs where it is listed

• Pre mainnet while voting on testnet, you can obtain H1 via the faucet or swap your hUSDT or hAVAX via hSwap.

Step2: Convert H1 to esH1 and Stake esH1

• You will have to convert H1 into esH1 to be able to lock your tokens for staking

• By Locking your esH1 tokens, in return you will receive veH1 voting power. Higher the ve power, longer the lock for the same amount of esH1.

Your voting power for any proposal is based off snapshot that is taken every Thursday. This means if you obtain veh1 today, you will only be able to participate in governance from the following Thursday onwards.

Reviewing Proposals

1. You can easily view all on-going and past proposal in the All Proposal section by going here

   
2. To review a proposal, simply click on the Proposal. You can vote only on proposals that have Status as ongoing. On this proposal, detail page, you will see proposal details as well as the voting options.

   
3. You should read through the proposal details. Governing the network comes with this responsibility. To cast your vote simple click on your desired selection.

   

   Quorom indicates the voting power that should be needed to implement the changes being proposed. Currently all proposal have a 30% quorom by default. As the governance matures, different quorom settings may be introduced depending upon criticality of the proposal

4. You will be prompted to sign a request to confirm your vote.

5. Whichever option has higher votes is the result of the proposal as long as proposal achieves quorom. This is called voting differential. In the beginnning, there is no minimum voting differential to execute a proposal. Simply having more votes is the winning option.

   1. As governance matures, more mature voting differentials options will be launched based upon criticality of proposal

Submitting a Proposal

1. Click on New Proposal

   
2. Carefully fill in the Title, Description and optional Discussion link

   1. As a proposer, you are responsible for explaining the proposal in detail and with complete clarity

   2. Note that any major changes will be required to be discussed with the community through the discussion forums before submitting a formal proposal. We will launch a forum where such discussions can be held in next few weeks.

3. You can then select the voting system Basic Voting or Single Choice Voting

   • Basic Voting (For vs Against) - The option with the highest number of votes is considered the winning option

     
   • Single Choice Voting - You can add custom options. The option with the highest number of votes is considered the winning option

     
4. Fill in the proposal choices and other info

   • Note that Start Period and End Period is not editable

   • Voting Period is currently fixed to 7 days. Over time, we will create a few different templates where urgent proposals don't need to wait 7 days. at the same time foundational changes have a longer voting period than relatively inconsequential ones

   • When you submit the proposal and you will need to sign a transaction and pay a 1$(paid in H1) application fee

Current Proposal prerequisites & timeline

1. Submit Proposal: Must have 1000 veH1 power

2. Review period: 3 days

3. Voting period: 7 days

4. If a Proposal achieves quorom, it goes to next stage

5. Next stage is 7 day challenger period

   • Council can veto during the challenger period if the proposal is malicious or harmful to the network as a whole.

6. After challenge period then the proposal is executed

Proposal timeline shows visually