Multichain management has arrived in Aragon OSx! The new plugin leverages the LayerZero protocol for cross-chain messaging and the zkSync Era suite for low-cost and secure voting. The code is still under review but you can already explore it here.
This plugin enables DAOs to control assets and permissions across EVM chains from a DAO smart contract on a single mainnet. This is a big step forward in terms of managing cross-chain protocols.
Here's how governance works in multi-chain DAOs from proposal to implementation:
- Create a custom census using cross-chain tokens: Create custom statistics with governance tokens across multiple chains using LayerZero's Omnichain Fungible Token (OFT) standard.
- Cast low-cost votes on zkSync: Once the census is created, members will be able to vote on whether to settle on zkSync for a fraction of the cost.
- Execute the action across strings simultaneously: After voting, users can leverage the Aragon OSx permissions management system to execute the action programmed into the proposal on multiple DAO chains simultaneously on your mainnet.
The architecture is drawn here:
The plugin code is open source and is currently audited. If you are interested in using this design, Inquire here About custom build. The plugin will launch on the Aragon no-code app in the new year.
This specific cross-chain governance design would not be possible without Aragon OSx's modular permissions management system, which makes it easy to grant and revoke permissions to contracts external to DAO nodes.
Here's what you can do with the plugin and why it's exciting for the future of onchain governance.
Perform actions on any string simultaneously
You can perform actions not only on the mainnet, but on any chain on which the DAO master has a DAO agent deployed. This gives you absolute governance flexibility to adjust parameters and dispatch assets on the exact chain you need.
If you want to perform multiple actions at once, you don't have to create multiple action proposals. You can perform all actions with a single proposal, saving the DAO's time and resources. This is thanks to the permissions management system built into the Aragon OSx core.
Create a stat using tokens from any chain
With the multi-chain management plugin, voting rights are no longer fragmented. DAO members can hold governance tokens across any EVM chain and can be counted in the same voting count as zkSync.
The plugin leverages LayerZero's Omnichain Fungible Token Standard (OFT) to expand token governance capabilities, enabling token holders to cast votes on zkSync, regardless of the chain their token originated on.
You're not limited to just fungible tokens either. You can also use different tokens in your voting tally, such as NFTs. This gives you more membership options, because your members can hold different tokens on different chains and still count toward their voting power. As long as the symbols follow the phonics standard, they can be used in the cover.
Vote on zkSync to save gas costs and increase token participation
With this plugin, you can save DAO members from having to cast expensive votes on the mainnet. All votes are cast on zkSync, so it's just a fraction of the cost of voting on the mainnet.
This saves token holders significant gas costs when they vote. It can also increase symbolic participation, because members may be more likely to cast ballots if they do not have to pay for them. Higher token stake can improve the DAO's resistance to takeover, because it is more difficult for a single entity to buy the token and pass proposals unilaterally.
Enjoy the benefits of security and liquidity in the first layer, while increasing voter participation through scalability in the second layer
Multichain governance gives you the best of both Layer 1 and Layer 2 blockchains. Your DAO will have the security and liquidity benefits of being published on the Ethereum mainnet, with the ability to scale to low-cost voting on Layer 2.
“It's clear now that Ethereum is scaling through blockchains, but we've left behind the part about connecting accounts and managing them across them. By working on cross-chain governance, we're enabling Ethereum to scale by helping distribute liquidity and offloading some transactions to L2s, while the protocols will remain Able to live on the mainnet.
— Carlos, Technical Director
We're proud to integrate with zkSync and LayerZero to make multi-chain governance a reality. Here's how it all fits together:
zkSync: Future-proof zkEVM is on a mission to expand freedom for all
All votes in the new multi-thread management plugin will be done on zkSync, which is a backlog that takes advantage of zero-knowledge proofs.
zkSync is highly scalable, being the second tier with the highest total number of transactions, and is secure as it inherits 100% of the security of Ethereum. zkSync's low-cost transactions and focus on security make it an ideal place to conduct your DAO votes.
zkSync technology also supports payers, allowing decentralized autonomous organizations (DAOs) to pay gas fees to their voting members.
LayerZero: Omnichain interoperability protocol
LayerZero powers cross-chain messaging that is leveraged by our multi-chain governance plugin to provide new and unparalleled ease of cross-chain governance in a gas-efficient manner. This is done using the widely adopted Omnichain Fungible Token (OFT) standard.
LayerZero's Omnichain Fungible Token (OFT) standard makes native multi-chain assets possible. You can encapsulate any token into an OFT, making it usable on any EVM chain. Instead of sending your assets to a bridge, receiving a new asset minted from that bridge, and then trusting the security of that bridge to keep your assets safe, OFTs are native assets.
Here's how it works: When you want to stake your token, the token on the original chain is burned and the new token is minted on the destination chain, with LayerZero relaying messages across the chain to complete this action. When you want to send tokens back to the original chain, the process is done in reverse: they are burned and then minted back on the original chain.
These two industry-leading technologies, when paired with Aragon OSx's modular permissions management system, make multi-chain governance possible.
Aragon OSx: A DAO framework with security and modularity at its core
At the heart of the multi-chain design is Aragon OSx, a modular and scalable protocol that enables you to manage permissions for external contracts and addresses. Here are some reasons why Aragon OSx is a great fit for building multi-chain governance:
- Flexible permissions management system: The permissions management system at the heart of the protocol is flexible enough to add a condition across the chain using LayerZero.
- Unstudied protocol design: The design of the Aragon OSx does not interfere with the different choices of the different L2 levels. OSx is simple and straightforward, so it's easier to plug and play with different EVM threads.
- Repeatable plugin system: The plugins you create are repeatable across threads, so you don't have to redevelop.
- Powerful core plugin contracts: Basic contracts handle the majority of the logic, making development easier.
You can learn more about Aragon OSx here.
We live in a multi-chain world. A thriving ecosystem of pools has emerged as a solution to Ethereum's scalability, so protocols need a way to control assets and permissions across chains.
Multi-chain organizations now have an answer to control the entire chain. The multi-chain governance plugin will allow seamless management of protocols deployed across chains without the security risks of deploying multiple autonomous DAOs or fragmenting the voting rights of their members. With lower gas fees for voters incentivizing participation, token holders will have no barriers to participation.
With robust cross-chain governance, organizations will be able to run their end-to-end governance stack on-chain, while leveraging the benefits of building on trustless, permissionless, and censorship-resistant technology.
Cross-chain governance for multi-chain protocols will change the way we govern chains, forever.
The multi-thread management plugin is currently undergoing audits, but you can check out the codebase here. If you are interested in implementing this plugin for your DAO, fill out this form and we will get back to you! Or, if you're going to be at Devconnect, be sure to find our team members to chat! We will have a booth at Stake Summit and attend the events listed here.
