Chances are if you’ve spent any amount of time in the Metis ecosystem you’ve come across projects talking about “CEG”. At the time of writing VestaDAO is getting ready for its own CEG vote.
CEG stands for Community Ecosystem Governance; and it is one of the ways in which Metis has looked to decentralize itself. CEG proposals are essentially a vote a project needs to get past before the Metis marketing team will acknowledge or promote their project.
As a holder you can vote using both Metis as well as select LSDs. Read on to find out how or use the table of contents to get to where you want to go.
How it works
CEG works by allowing projects to put forward their proposals for the community to review. If the community decides the proposal should go to a vote and they pass that vote the project becomes a CVP – “Community Verified Project”.
Metis actually outline the process super well in this handy graphic (which they subsequently hid in docs):
How to take part
Taking part in CEG is super easy and we encourage you to do so. The project you’re looking to vote for (or against) will likely have provided a link to follow but if you want to check out all the current metis proposals you can do so here.
Once you click on a project page you can read through their proposal and decide what you think about them becoming a CVP. You’ll need to connect your wallet in order to vote; always double check you are actually on snapshot.org before doing so.
Further down the page you’ll find the voting box, it looks like this.
As we mentioned before you are unlikely to want to vote for multiple options by splitting your vote. It’s worth noting that the numbers next to yes, no, and abstain represent percentages rather than tokens. So even if you have 1,000 metis, if you want to vote all of it for “yes”, then all you need to do is put a 1 in the yes box. Select whichever you wish and press the vote button.
You’ll get a popup like the one below.
Hit sign (it’s free, no gas cost) and your vote will be cast.
LSDs and voting
Many Metis users may actually hold very little Metis themselves; this is because the Metis ecosystem offers some fantastic staking incentives. Metis has therefore allowed select LSDs to take part in the voting process as well; allowing more users to take part. If you don’t know what a LSD is; its the token you receive when staking your Metis within, for instance, a sequencer pool.
Currently the list of eligible LSDs providers: Artemis, Enki, Velix, Stake Link.
Passing a vote
For a project to pass two things need to happen. They need a majority of yeses – 80% of all votes must be in favour. Secondly they need to have at least 10,000 Metis of yes votes and at least 500 wallets need to take part (these can vote either way) – this is known as meeting “quorum”.
Practice Voting (For Us)
If you’re looking to put your new skills to the test then we have amazing news for you. VestaDAO are currently looking to become a CVP and our CEG vote is currently live. If you like what we’re doing and agree web3 needs more of it we’d appreciate it if you could find the time to vote.
You can find it here.
How votes are counted:
Metis uses what is called “Quadratic Voting” (henceforth QV). This is quite complicated for some types of votes as quadratic voting allows users to assign their tokens to multiple outcomes. For instance, let’s say you wanted to run a vote on how much funding to assign to different aspects of a business; a user might want to put 75% of their tokens towards one outcome and the rest towards another.
In the case of CEG it is less complicated as the options are simply “yes”, “no”, or “abstain” – you are unlikely to want to split your vote in this case. What QV does is weight the individual slightly more than the tokens. Instead of counting each token as one vote it counts the square root of tokens instead. So lets say wallet A has 16 Metis and wallet B has 100 Metis. Using QV wallet A would have a vote strength of 4 and wallet B would have a vote strength of 10.
This empowers the little guy as instead of needing 7 wallets A’s to outvote wallet B, you only need 3.
Our astute readers will have noticed that QV has a problem in that one could simply create multiple wallets. Metis looks to mitigate this by a) having the 10k minimum token requirement and b) only allowing wallets to vote if they were created before the snapshot. Currently it has not proved an issue though it is worth noting that more robust measures might be required in future.
