User Manual for Staking and Governance

  1. Introduction 

This User Manual provides an overview of the staking and governance mechanisms within BlockEstateDAO, explaining how members participate in decision-making, stake tokens, and engage in decentralized governance. Members who stake tokens enhance governance security and validation while earning potential rewards based on participation.

  1. Overview of Staking

2.1 What is Staking? Staking involves locking BESD Tokens in the DAO’s smart contract to participate in governance, with potential incentives based on participation. Staked tokens are used for:

  • Governance validation through a randomized selection of stakers for proposal approvals.
  • Participation in DAO voting mechanisms.
  • Supporting the integrity of decentralized decision-making.

2.2 Who Can Stake?

  • Any BESD Token holder can stake their tokens.
  • Stakers must commit their tokens for a minimum staking period defined by the DAO.
  • Staking does not grant additional voting weight beyond the randomized validator selection model.

2.3 Steps to Stake BESD Tokens

  1. Go to the BlockEstateDAO Staking Dashboard.
  2. Connect your Ethereum-compatible wallet.
  3. Specify the number of BESD Tokens to stake.
  4. Confirm the staking transaction in your wallet.
  5. Upon on-chain confirmation, tokens are staked, making you eligible for randomized validator selection.

2.4 Unstaking Tokens

  • Staked tokens become available for withdrawal after the minimum staking period.
  • Navigate to the Staking Dashboard and select Unstake Tokens.
  • Approve the unstaking transaction in your wallet to regain access to your tokens.
  1. Governance Participation

3.1 What is DAO Governance? Governance in BlockEstateDAO allows token holders to influence key decisions, including:

  • Approval of real estate project proposals.
  • Allocation of funds from the DAO Treasury.
  • Protocol updates and modifications.
  • Emergency actions and overrides.

3.2 Governance Participation Methods

  • Any member can submit a DAO Improvement Proposal (DIP) for review by the community.
  • Proposals that pass board review are voted on by randomly selected stakers.
  • Snapshot elections decide general governance matters like rule amendments and platform upgrades.

3.3 Randomized Validator Selection

  • Four randomly selected stakers evaluate and vote on each approved proposal.
  • Each selected validator gets one vote, independent of the amount of tokens staked.
  • Validators review the proposal details and submit an Approve or Reject vote.
  1. Delegation of Voting Power

4.1 What is Delegation? Delegation allows token holders to assign their governance participation rights to a trusted representative who votes on their behalf.

4.2 How to Delegate Your Voting Power

  1. Go to the BlockEstateDAO Governance Dashboard.
  2. Select the Delegation option.
  3. Choose a Delegate from the list of registered participants or enter their wallet address.
  4. Authorize the delegation transaction in your wallet.

4.3 Delegation Rules

  • Delegates must be registered in the DAO and cannot self-delegate.
  • Delegation is not permanent and can be revoked by the original token holder at any time.
  1. Submitting and Approving Proposals

5.1 How to Submit a Proposal

  1. Navigate to the Proposal Submission Portal.
  2. Fill out the Proposal Form, providing:
    • Project details and budget.
    • Expected impact and feasibility study.
    • Governance considerations.
  3. Send the proposal to the Board for review.

5.2 Board Review Process

  • The Board of Directors evaluates the proposal based on feasibility, compliance, and alignment with DAO objectives.
  • Upon approval, the proposal advances to the validator voting phase.
  • Rejected proposals may be revised and resubmitted.

5.3 Voting and Execution

  • Four randomly selected stakers vote on the proposal.
  • Upon approval, funds are disbursed from the project vault.
  • If rejected, the proposal can be modified and resubmitted.
  1. Proposal Change Orders and Fund Adjustments

6.1 What is a Proposal Change Order? A Proposal Change Order (PCO) permits adjustments to an approved proposal. This is required when:

  • The budget needs to be increased or decreased.
  • The scope of work changes.
  • A request for a timeline extension is required.

6.2 How to Submit a Proposal Change Order

  1. Navigate to the PCO Submission Portal.
  2. Provide details of the requested change.
  3. Submit for Board Review.
  4. If approved, it moves to a validator vote.
  5. If approved, the budget adjustment is made.
  1. Treasury and Fund Management

7.1 How Treasury Funds Are Allocated

  • Treasury funds are reserved for approved proposals.
  • Funds are released based on smart contract conditions.
  • Requesting extra funds requires a Proposal Change Order and a new vote.

7.2 Earning from Staking Participation

  • Stakers may receive governance rewards per DAO revenue guidelines.
  • Rewards are distributed via smart contracts at predefined intervals.
  1. Security and Compliance

8.1 KYC and AML Requirements

  • Certain governance roles necessitate KYC verification.
  • BlockEstateDAO adheres to Delaware and global regulatory standards.

8.2 Smart Contract Security

  • Audited smart contracts handle all staking and governance transactions.
  • Multi-signature authentication secures DAO treasury transactions.
  1. Dispute Resolution and Governance Conflicts

9.1 How to Resolve Governance Disputes

  • Snapshot community reviews handle disputes over votes or proposal outcomes.
  • In fraud or governance breaches, the Board of Directors may intervene.

9.2 Treasury and Fund Disputes

  • Fund allocation disputes go to the DAO Governance Review Panel.
  1. Amendments and Future Updates
  • This User Manual for Staking and Governance may be updated through a DIP proposal and a majority vote.
  • Snapshot elections must approve major governance changes.