<aside> <img src="/icons/home_purple.svg" alt="/icons/home_purple.svg" width="40px" /> Home

Summary

Our Vision

Problem

Solution

The App

Customers

Competitors

Business

Roadmap

DAO

Tokenomics

About ICP

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<aside> <img src="/icons/conversation_purple.svg" alt="/icons/conversation_purple.svg" width="40px" /> Why a DAO

The concept of a Decentralized Autonomous Organization (DAO) is integral to Galaxy's vision of fostering a transparent, community-driven platform. A DAO ensures that decision-making processes are democratic, allowing all stakeholders to have a say in the direction of the platform.

This decentralization aligns with Galaxy’s core principles of data sovereignty and user empowerment, ensuring that the community retains control over important aspects of the platform.

• In our domain Galaxy.do, “do” stands for “decentralized organization” and the Galaxy DAO is being formed to operate and steer the direction of the app and can be considered a public good, owned by no-one.
• The Galaxy DAO and the Galaxy web-app service are mostly on-chain with only few direct dependencies on off-chain services, aiming to become 100% on-chain.
• The Galaxy DAO is operated using NNS blessed SNS canisters and SNS subnet.
• A proposal to the NNS will be made to ask for the approval necessary to create this DAO and associated public good. </aside>

<aside> <img src="/icons/following_purple.svg" alt="/icons/following_purple.svg" width="40px" /> How GalaxyDAO will work

GalaxyDAO will utilize the Service Nervous System (SNS) to manage and govern the platform through decentralized mechanisms. Here’s how it will operate:

1. Governance Tokens (STARS) Holders of STARS tokens will have voting rights within the DAO. These tokens can be staked into neurons, which participate in voting on proposals.

2. Proposals and Voting

   • Proposal Submission: Any community member can submit a proposal, which could include suggestions for platform improvements, new features, partnerships, or changes to the DAO’s governance structure.
   • Voting Process: Proposals will be voted on by the community using their staked neurons. The weight of each vote will depend on the number of STARS tokens staked and the dissolve delay set on the neuron.
   • Decision Implementation: Approved proposals will be implemented by the development team or relevant parties, ensuring that the community’s decisions are actioned promptly.

3. Incentives and Rewards

   • Voting Rewards: To incentivize participation, the SNS will generate a small percentage of the total supply of STARS tokens annually as voting rewards, which accumulate in participating neurons as maturity.
   • Community Bounties: The DAO will allocate funds to reward community contributions, such as code development, bug reporting, or other valuable activities.

4. Treasury Management

   • Fund Allocation: The DAO will manage the treasury, comprising STARS and ICP tokens, and allocate funds based on approved proposals. This includes providing liquidity for STARS trading, covering operational costs, and funding development and marketing initiatives.
   • Burning Mechanism: The DAO can also propose to burn STARS tokens to reduce the total supply, enhancing the token’s value over time.

5. Security and Compliance

   • Audits: Regular audits will be conducted to ensure the integrity and security of the DAO’s operations.
   • Legal Compliance: The DAO will ensure compliance with relevant regulations to protect the interests of all stakeholders.

By implementing a DAO, Galaxy aims to create a self-sustaining, community-driven ecosystem where users have direct influence over the platform’s evolution. This approach not only enhances trust and transparency but also leverages the collective intelligence and creativity of the community to drive innovation and growth.

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<aside> <img src="/icons/conversation_purple.svg" alt="/icons/conversation_purple.svg" width="40px" /> Decentralized Governance: more details

The GalaxyDAO is being established to govern and guide the development and direction of the Galaxy platform. This DAO embodies the principles of decentralization and community ownership, ensuring that Galaxy operates as a public good, free from centralized control. The GalaxyDAO and the Galaxy service are fully on-chain, eliminating dependencies on off-chain services. It is operated using NNS-blessed SNS canisters and the SNS subnet.

<aside> <img src="/icons/magic-wand_purple.svg" alt="/icons/magic-wand_purple.svg" width="40px" /> Creation of the DAO

The Galaxy SNS will be created using the latest NNS-blessed SNS canisters by the founding development team. The initial configuration of the SNS will be permanently held and publicly inspectable. Control of the existing Galaxy operating canisters will be transferred from the founding development team to the SNS, ensuring that only the SNS can make changes to Galaxy moving forward.

To initiate the creation of the GalaxyDAO, an NNS proposal will be submitted specifying the parameters of the decentralization sale and the initial token allocation. If the proposal is accepted, the NNS will begin a decentralization sale of STARS tokens, decentralizing governance control to the public and raising an endowment for ongoing development and growth.

Anyone can participate in the sale by depositing ICP into the SNS using the NNS launchpad. Once the sale is completed, each participant will receive STARS tokens proportionate to their share of the ICP deposited. The proceeds of the sale will be held in an ICP ledger account owned by the SNS governance canister.

At this point, the creation of the DAO is completed, and the running Galaxy service can be considered a public good.

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<aside> <img src="/icons/helm_purple.svg" alt="/icons/helm_purple.svg" width="40px" /> Control of the DAO

After the decentralization sale, the SNS will control the dapp, including its treasury of STARS and ICP. Only the SNS will have the ability to upgrade the Galaxy canisters and access the treasury.

The SNS is governed by the actions of proposals. Anyone can submit a proposal to the SNS, and STARS neuron holders can vote on these proposals. In exceptional circumstances, an NNS proposal could theoretically be used to sanction an SNS by stopping an SNS canister(s).

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<aside> <img src="/icons/hand_purple.svg" alt="/icons/hand_purple.svg" width="40px" /> Governance of the DAO

Proposals

SNS proposals can take several forms:

1. Motions: Statements of intent without automatic actions. Used for proposing new features or setting development priorities.
2. Canister Upgrade Proposals: Contain a canister ID and a WASM module to upgrade specified canister code.
3. SNS Config Change Proposals: Allow changes to various SNS parameters.
4. Token Transfer Proposals: Permit transfers of tokens to/from SNS-owned accounts.
5. Burn Token Proposals: Allow STARS to be burned to reduce total supply.
6. Custom Function Proposals: Enable calling arbitrary functions on a canister, allowing complex behaviors controlled by the Galaxy community DAO.

Key proposals to watch for soon after the decentralization sale include:

• Proposals to transfer ICP and STARS to DEXes to create initial liquidity pools for trading STARS.
• Proposals to allocate ICP to the Galaxy cycles dispenser for ongoing hosting costs.
• A motion proposal with a development roadmap for the next quarter, likely including new features and a user reward system.

Voting and Voting Rewards

Proposals govern all aspects of the Galaxy dapp. Token holders are rewarded for participating in votes, ensuring decisions are decentralized and reflect the community’s will.

Neurons have a dissolve delay property, the time it would take to dissolve the neuron into liquid tokens. Voting rewards increase with longer dissolve delays, aligning voters with Galaxy's long-term interests.

If STARS is staked in a neuron with at least a 1-month dissolve delay, the neuron can vote on proposals. Votes can be cast explicitly via the NNS Dapp or implicitly by following other neurons.

The development team will configure a "beacon" neuron to be followed on any topic. This beacon neuron will follow the neurons of each dev team member and will vote based on the majority decision. This setup allows followers to implicitly participate in every vote, maximizing their voting rewards.

Neurons have "voting power" calculated as the token value multiplied by the dissolve delay bonus and the age bonus. For a proposal to be adopted, the sum of the voting power of the "adopt" votes must exceed the sum of the "reject" votes after 4 days or a period of quiet, with at least 3% of the total voting power in "adopt" votes.

Voting rewards are generated by the SNS and accumulate in neurons as maturity. Maturity can be disbursed, staked, or auto-staked. Rewards are distributed daily, considering all votes that ended on that day. If there are no proposals, rewards carry over to the next day.

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<aside> <img src="/icons/battery-charging_purple.svg" alt="/icons/battery-charging_purple.svg" width="40px" /> The Power of the DAO

Several factors will influence Galaxy’s success:

• A skilled development team building an exceptional user experience.
• Features that meet and exceed user expectations.
• Innovative capabilities that differentiate Galaxy from competitors.

Tokenization is a crucial ingredient for Galaxy’s success:

• Growth: The system will reward users with STARS tokens for positive interactions and referrals, creating a viral growth loop.
• Trust: Operating on the Internet Computer with decentralized governance ensures that token holders can trust their investment is secure.

GalaxyDAO aims to leverage community engagement and tokenization to drive growth, trust, and long-term success, positioning Galaxy as a leading platform in the Web3 space.

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