Across Protocol and ShapeShift have integrated oSnap
Tldr; Across Protocol and ShapeShift, two of the Web3 ecosystem’s core projects, have integrated optimistic governance via oSnap. With this update, the two DAOs are showing their commitment to decentralization by handing governance execution to their communities.
Key takeaways:
Across Protocol and ShapeShift are now using optimistic governance execution with oSnap.
The updates allow the projects to execute governance decisions on-chain in an efficient and trustless manner.
oSnap helps DAOs maintain decentralization, removing trust in central teams and empowering communities to execute on-chain decisions.
Across Protocol and ShapeShift are now using oSnap for optimistic governance execution.
After successfully passing through Snapshot governance voting rounds, the two projects have integrated the UMA-powered solution. With oSnap, the Across and ShapeShift DAOs can now execute on-chain governance decisions optimistically based on off-chain Snapshot votes.
Across, an UMA-powered cross-chain bridge, and ShapeShift, a permissionless decentralized exchange for cross-chain swaps, are two of the Web3 ecosystem’s staple projects. This update highlights their commitment to maintaining decentralization. oSnap will empower their communities to govern their projects without relying on individuals to get governance done.
The two oSnap integrations mark a step forward for Across and ShapeShift while reinforcing one of our core beliefs: Web3 needs to be decentralized, and oSnap can help make it happen.
How it works
Launched in February 2023, oSnap is a solution to help DAOs propose and execute governance proposals on-chain without relying on trusted parties. It combines Snapshot’s voting mechanism with Safe (formerly Gnosis Safe)’s multi-sig wallet infrastructure and leverages UMA’s optimistic oracle to verify transaction data.
With oSnap, when a DAO’s proposal passes a Snapshot voting round, UMA’s OO validates and processes the approved transactions. If a proposal doesn’t pass, it gets rejected. If a dispute arises, UMA’s tokenholders are responsible for resolving the proposer’s and disputer’s bonds through on-chain voting.
This means DAOs can let their communities execute on-chain governance decisions without waiting on central teams to ship updates. It helps projects maintain decentralization and get governance done in an efficient manner.
oSnap is a flexible tool that can help projects ship trustlessly and efficiently according to their needs. Across and ShapeShift will both add their own customizations, highlighting oSnap’s broad scope.
Across is launching with a number of customizations, including flexible quorum rules, select contract exclusions to prevent protocol upgrades, and an extended five-day dispute window.
ShapeShift, meanwhile, will require members to post a bond of $FOX tokens when they submit a proposal. This will ensure all proposers have a stake in the ShapeShift DAO. For governance proposals that pass, UMA’s OO will accept them and the update will ship.
Though Across and ShapeShift slightly differ in their oSnap integrations, both projects are pushing for the same goal: allowing their communities to handle governance from proposal through execution in a trustless manner.
Why this matters
Many DAOs use Snapshot to vote on governance proposals today. While Snapshot helps communities vote on proposals in a decentralized manner, prior to oSnap it did not offer an easy way to execute proposals because the votes are off-chain.
To overcome this issue, DAOs typically rely on project teams to push through updates once a vote passes. Most teams use multi-sig wallets controlled by a handful of trusted individuals, which means they rely on centralized points of failure. While the DAO ecosystem has shown progress, many projects fall short on decentralization because they rely on trust.
oSnap offers a solution to the multi-sig problem. It’s designed to help DAOs stay decentralized and operate efficiently. With two of the space’s major projects integrating the solution, the DAO ecosystem is moving closer to Web3’s decentralized vision.
Web3’s optimistic future
Crypto’s end goal is to create an alternative value system that empowers billions of people worldwide. It’s a movement that aims to enable decentralized coordination at scale, redefining our understanding of value and eliminating trust in third party entities.
While there are many challenges that come with building the trustless world, we believe that decentralization must remain at the foundation of everything we do. The DAO ecosystem forms a key part of this world, but it is not yet trustless. Optimistic governance execution solves this issue and allows DAOs to thrive.
oSnap is free to integrate and only takes a few minutes to turn on. It’s been audited by OpenZeppelin. To learn more about integrating the solution into your project, please DM us on Twitter, join the UMA Discord server, or reach out at integrations@umaproject.org.
Words by @dreamsofdefi
