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chore(docs): update minimum deposit amount (evmos#1238)
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* chore(docs): update docs to reflect new deposit params

* Update process.md

* fix: markdown format
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LPX55 authored Jan 14, 2023
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4 changes: 2 additions & 2 deletions docs/users/governance/best_practices.md
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Expand Up @@ -155,7 +155,7 @@ Remember to provide links to the relevant [Commonwealth Evmos community](https:/

### Begin with a well-considered draft proposal

The ideal format for a proposal is as a Markdown file (ie. `.md`) in a Github repo or [HackMd](https://hackmd.io/). Markdown
The ideal format for a proposal is as a Markdown file (ie. `.md`) in a Github repo or [HackMD](https://hackmd.io/). Markdown
is a simple and accessible format for writing plain text files that is easy to
<!-- markdown-link-check-disable-next-line -->
learn. See the [Github Markdown Guide](https://docs.github.com/en/get-started/writing-on-github/getting-started-with-writing-and-formatting-on-github/basic-writing-and-formatting-syntax) for details on
Expand Down Expand Up @@ -187,7 +187,7 @@ See the [submitting guide](./submitting.md) for more on submitting proposals.

### The Deposit Period

The deposit period currently lasts 3 days. If you submitted your transaction with the minimum deposit (192 EVMOS), your proposal will immediately enter the voting period. If you didn't submit the minimum deposit amount (currently 192 EVMOS), then this may be an opportunity for others to show their support by contributing (and risking) their EVMOS as a bond for your proposal. You can request contributions openly and also contact stakeholders directly (particularly stakeholders who are enthusiastic about your proposal). Remember that each contributor is risking their funds, and you can [read more about the conditions for burning deposits here](./process.md#burned-deposits).
The deposit period currently lasts 3 days. If you submitted your transaction with the minimum deposit (3500 EVMOS), your proposal will immediately enter the voting period. If you didn't submit the minimum deposit amount (currently 3500 EVMOS), then this may be an opportunity for others to show their support by contributing (and risking) their EVMOS as a bond for your proposal. You can request contributions openly and also contact stakeholders directly (particularly stakeholders who are enthusiastic about your proposal). Remember that each contributor is risking their funds, and you can [read more about the conditions for burning deposits here](./process.md#burned-deposits).

This is a stage where proposals may begin to get broader attention. Most popular explorers currently display proposals that are in the deposit period, but due to proposal spamming, this may change.

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12 changes: 7 additions & 5 deletions docs/users/governance/process.md
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Expand Up @@ -6,19 +6,19 @@ order: 2

## Deposit Period

The deposit period lasts either 3 days or until the proposal deposit totals 192 EVMOS, whichever happens first.
The deposit period lasts either 3 days or until the proposal deposit totals 3500 EVMOS, whichever happens first.

### Deposits

Deposit amounts are at risk of being burned. Prior to a governance proposal entering the voting period (ie. for the proposal to be voted upon), there must be at least a minimum number of EVMOS deposited (192). Anyone may contribute to this deposit. Deposits of passed and failed proposals are returned to the contributors.
Deposit amounts are at risk of being burned. Prior to a governance proposal entering the voting period (ie. for the proposal to be voted upon), there must be at least a minimum number of EVMOS deposited (3500). Anyone may contribute to this deposit. Deposits of passed and failed proposals are returned to the contributors.

In the past, different people have considered contributions amounts differently. There is some consensus that this should be a personal choice. There is also some consensus that this can be an opportunity for supporters to signal their support by adding to the deposit amount, so a proposer may choose to leave contribution room (ie. a deposit below 192 EVMOS) so that others may participate. It is important to remember that any contributed EVMOS are at risk of being burned.
In the past, different people have considered contributions amounts differently. There is some consensus that this should be a personal choice. There is also some consensus that this can be an opportunity for supporters to signal their support by adding to the deposit amount, so a proposer may choose to leave contribution room (ie. a deposit below 3500 EVMOS) so that others may participate. It is important to remember that any contributed EVMOS are at risk of being burned.

### Burned deposits

Deposits are burned when proposals:

1. **Expire** - deposits will be burned if the deposit period ends before reaching the minimum deposit (192 EVMOS)
1. **Expire** - deposits will be burned if the deposit period ends before reaching the minimum deposit (3500 EVMOS)
2. **Fail to reach quorum** - deposits will be burned for proposals that do not reach quorum ie. 33.4% of all staked EVMOS must vote
3. **Are vetoed** - deposits for proposals with 33.4% of voting power backing the `NoWithVeto` option are also burned

Expand All @@ -37,11 +37,13 @@ As accepted by the community in [Proposal 6](https://www.mintscan.io/cosmos/prop

Voting `NoWithVeto` provides a mechanism for a minority group representing a *third* of the participating voting power to reject a proposal that would otherwise pass. This makes explicit an aspect of the consensus protocol: it works as long as only up to [a third of nodes fail](https://docs.tendermint.com/v0.35/introduction/what-is-tendermint.html). In other words, greater than a third of validators are always in a position to cause a proposal to fail outside the formalized governance process and the network's norms, such as by censoring transactions. The purpose of internalizing this aspect of the consensus protocol into the governance process is to discourage validators from relying on collusion and censorship tactics to influence voting outcomes.

[Proposal #103](https://www.mintscan.io/evmos/proposals/103) was passed in January 2023 by the Evmos network to formally define and adopt the meanings of each voting options aforementioned.

## What determines whether or not a governance proposal passes?

There are four criteria:

1. A minimum deposit of 192 EVMOS is required for the proposal to enter the voting period
1. A minimum deposit of 3500 EVMOS is required for the proposal to enter the voting period
- anyone may contribute to this deposit
- the deposit must be reached within 3 days (this is the deposit period)
2. A minimum of 33.4% of the network's voting power (quorum) is required to participate to make the proposal valid
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8 changes: 4 additions & 4 deletions docs/users/governance/submitting.md
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Expand Up @@ -71,7 +71,7 @@ In this simple example (below), a network explorer will list the governance prop

The `amount` is `1000000000000000000aevmos`. This is equal to 1 EVMOS, so `recipient` address `evmos1mx9nqk5agvlsvt2yc8259nwztmxq7zjq50mxkp` will receive 1 EVMOS if this proposal is passed.

The `deposit` of `192000000000000000000aevmos` results in 192 EVMOS being used from the proposal submitter's account. A minimum deposit is required for a proposal to enter the voting period, and anyone may contribute to this deposit within 3 days. If the minimum deposit isn't reached before this time, the deposit amounts will be burned. Deposit amounts will also be burned if the quorum isn't met in the vote or the proposal is vetoed.
The `deposit` of `3500000000000000000000aevmos` results in 3500 EVMOS being used from the proposal submitter's account. A minimum deposit is required for a proposal to enter the voting period, and anyone may contribute to this deposit within 3 days. If the minimum deposit isn't reached before this time, the deposit amounts will be burned. Deposit amounts will also be burned if the quorum isn't met in the vote or the proposal is vetoed.

```json
{
Expand Down Expand Up @@ -145,20 +145,20 @@ Users can query the proposal details with the evmosd command-line interface usin
```json
{
"title": "Increase the minimum deposit for governance proposals",
"description": "If successful, this parameter-change governance proposal will change the minimum deposit for future proposals from 10 evmos tokens to 64.",
"description": "If successful, this parameter-change governance proposal will change the minimum deposit for future proposals from 10 evmos tokens to 3500.",
"changes": [
{
"subspace": "gov",
"key": "depositparams",
"value": {"mindeposit":[{"denom":"aevmos","amount":"64000000000000000000"}],
"value": {"mindeposit":[{"denom":"aevmos","amount":"3500000000000000000000"}],
"max_deposit_period":"1209600000000000"}
}
],
"deposit": "20100000000000000000aevmos"
}
```

The deposit `denom` is `aevmos` and `amount` is `20100000000000000000`. Therefore, a deposit of 20.1 EVMOS will be included with this proposal. At the time, the EVMOS mainnet had a 10 EVMOS minimum deposit, so this proposal was put directly into the voting period (and subsequently passed). The minimum deposit amount is currently 192 EVMOS. There is a minimum deposit required for a proposal to enter the voting period, and anyone may contribute to this deposit within a 3-day period. If the minimum deposit isn't reached before this time, the deposit amounts will be burned.
The deposit `denom` is `aevmos` and `amount` is `20100000000000000000`. Therefore, a deposit of 20.1 EVMOS will be included with this proposal. At the time, the EVMOS mainnet had a 10 EVMOS minimum deposit, so this proposal was put directly into the voting period (and subsequently passed). The minimum deposit amount is currently 3500 EVMOS. There is a minimum deposit required for a proposal to enter the voting period, and anyone may contribute to this deposit within a 3-day period. If the minimum deposit isn't reached before this time, the deposit amounts will be burned.

## Sending the transaction that submits your governance proposal

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