DAO

The EtherCats Constitution

About

The EtherCats DAO is a polity founded as a distributed constitutional monarchy. Its governance is controlled via separated democratic chambers whose authority is delegated in the articles of this document. The primary mission of the EtherCats DAO is management of the intellectual property rights conferred to the DAO, revenues generated by these rights, and benevolent actions to protect the rights of animals and artists alike.


Structural Synopsis

A pure democratic process is debilitated by information asymmetry. Those who have the most information will make the best decisions. An infinite number of people all missing a key piece of information can never overcome a single person who possesses it. The famous chess event “Kasparov Versus the World” demonstrates the game theory of this phenomenon best. It is therefore necessary to check even indisputably fair democratic majority consensus with processes to catch suboptimal decisions.

Structure

EtherCats will use a bicameral system of governance to check rogue majority with a distributed monarch ensuring project integrity. The first chamber of is the House of Meows, which is composed of Founders Series and Noble Cats holders. These NFTs represent the voting power. The second, higher chamber, is the Royal Court. This distributed monarch consists of nine signatories to multi-signature contracts controlling the assets of the DAO. Only the Queen* may appoint or remove members, with restrictions on both, and rules of succession to replace the Queen. Beyond the ability to appoint and remove members of the Royal Court, and to veto proposals with less than 2/3rds majority support, the Queen is equal in authority to the rest of the distributed monarch.

At first, the job of the Royal Court is to supervise administrative procedure of the House of Meows. It will be in charge of proposal voting, and implementation. This power will continue until the House of Meows is organized to the point of administering itself, and this status is agreed upon by the Royal Court.

*The title Queen shall always apply to the person serving in the role, regardless of gender.

Governance

A pure democratic process is debilitated by information asymmetry. Those who have the most information will make the best decisions. An infinite number of people all missing a key piece of information can never overcome a single person who possesses it. The famous chess event “Kasparov Versus the World” demonstrates the game theory of this phenomenon best. It is therefore necessary to check even indisputably fair democratic majority consensus with processes to catch suboptimal decisions.

House of Meows

Membership in the House of Meows is open to all fans of EtherCats active in the community, and approved by DAO members with the power to add members. The House of Meows shall have wide autonomy to organize itself with elections, votes, and structure debate. Procedure shall evolve with this document via amendments approval by the Royal Court.

Proposals

Any House of Meows member shall have the right to table a proposal for discussion. If this is seconded by at least 10% of outstanding votes (a rough estimation only needed), the Queen, or two members of the Royal Court, the Royal Court shall schedule a vote within a reasonable timeframe. If a vote on a proposal has not taken place, for whatever reason, within 14 days of the proposal, then the proposal must be introduced, and seconded again.

 

Voting

Each Founders Series cat has a total score baked into the token ID with the Chainlink VRF generated rating and multiplier. While this total score served as an experimental proof of concept in the initial launch, it will function as votes in the House of Meows. This total score shall represent 1:1 the amount of votes the bearer is allocated. In cases of proposals with multiple options, all of the votes from a single cat must be assigned to the same selection. They cannot be split into different choices.

Noble Cats have been preemptively assigned an immutable vote value approved by the first Queen. They are as follows (for each):

  • Vangita – 250 Votes
  • Hungry – 15 Votes
  • Guilty – 250 Votes
  • Ulbricht – 80 Votes
  • Betty – 500 Votes
  • Captain Roberts – 1,000 Votes
  • Astaire – 8,888 Votes
  • Flamboyant Fanny (All Versions) – 1,500 Votes
  • Sakran – 500 Votes
  • Mr. Big – 5,000 Votes

A simple majority is required to send proposals through to the Royal Court for approval and adoption. Votes must be allocated all or none unless the DAO adopts multi-choice proposals.

Venue

The House of Meows shall convene and meet publicly in the venue decreed by a majority of the Royal Court. This venue will initially be the EtherCats Discord.

 

Minutes

There is no requirement to keep minutes. The results of all proposal votes shall be permanently recorded using decentralized file storage. 

 

Royal Court

The Royal Court serves as the higher chamber of governance, and manages the multi signature contracts of the DAO initially. It is composed of a minimum of seven signatories appointed at first by the Queen. These signatories can and shall include House of Meows members.

Proposals

Any Royal Court member shall have the right to table a proposal for discussion. If any other member of the Royal Court seconds the proposal, then it shall be brought to a vote of the full Royal Court.

Voting

Each member of the Royal Court receives one vote. A simple majority is required to send proposal through to the House of Meows for a confirmation vote. If a Royal Court proposal is not confirmed by a majority of the House of Meows, then the proposal fails.

Failed Proposal Override

In the event of a failed proposal in the House of Meows that was introduced by the Royal Court, the Royal Court may override the House of Meows with at least a three quarters majority. The override must have the support of the Queen to be adopted.

Venue

The Royal Court shall convene and meet publicly in the venue decreed by the Queen. 

Minutes

There is no requirement to keep minutes. The results of all proposal votes shall be permanently recorded using decentralized file storage.

Membership

Members of the Royal Court serve for life with certain limitation in regards to removal. Membership is by appointment of the Queen only unless this power is divested or delegated by the Queen themselves.

Members of the Royal Court may resign unilaterally at any time.

Removal

The Queen may remove one member every 7,800,000 seconds unilaterally. The Queen, along with a simple majority of the Royal Court, may remove Royal Court members without time limitation.

Appointments

The Queen may appoint one Royal Court member every 7,800,000 seconds unilaterally. The Queen, along with a simple majority of the Royal Court, may appoint Royal Court members without time limitation.

The Queen

Purpose

The Queen’s role is to lead the project artistically, aesthetically, and morally until full decentralized autonomy becomes possible, prudent, and secure. The position shall be held by the person with the most to lose. It is not limited to insiders.

Powers

The Queen’s powers are limited to those defined in the constitution.

Removal

The Queen cannot be removed democratically, only automatically. If the Queen has not transacted in 15,600,000 seconds, then the position becomes automatically open for replacement by a majority of the Royal Court.

Succession

A majority vote of the Royal Court shall replace the Queen. No proposals may take place without a Queen.

Split Powers

Multiple contracts may be used for purposes of the DAO. It is possible for the Queen to be removed automatically from one contract before another. Therefore, it is possible for there to be multiple Queens entered into the contracts.

In this case, the Queen replaced by the DAO shall be considered Queen for purposes of administration. If the split powers become of hinderance, the Queen has the ability to workout the problem as best they see fit with the Royal Court, including, but not limited to replacing contracts to allow the DAO to be continued as efficiently as possible.

Disaster Recovery

In the event the Royal Court is incapacitated, the House of Meows is bestowed the right to appoint a new Queen and reorganize the DAO after one year of total inactivity. The multi-signature contracts managed by the Royal Court should consider the value of adding fallbacks for trusted members of the House of Meows when appropriate.

Contract Evolution

Ad hoc functions pertaining to timeouts shall be implemented when appropriate. Contract development takes time, and security should always be viewed as paramount. It is not necessary for every feature to be implemented for the DAO to operate.

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