Simply put, when you delegate WELL or MFAM you are activating it’s voting power and assigning it to an erc-20 address. You are able to delegate tokens to your own address, or to that of another who will represent you in governance. Unless delegated, these tokens will not be able to be used for voting.
Vote delegation functions similarly to that of voter registration in a democracy. In this system of governance, one has the option of either choosing direct democracy (delegating votes to oneself, so that one may vote on proposals directly) or representative democracy (delegating votes to another person or entity who advocates for one’s shared values and can vote on their behalf).
Participating in governance is a serious time commitment. Delegation is recommended for community members who may not have time to vote regularly or stay informed on all of the latest proposals and protocol developments, but still care about the health and development of the protocol. For those wishing to delegate their WELL/MFAM, please use the Delegation Pitch section of the Governance Forum to find a Delegate who aligns with your shared values and vision for the protocol.
Yes. Following delegation, you retain full ownership and custody of your tokens. You are only assigning the token’s inherent voting power, not transferring the actual token itself. Delegates have no ability to access the WELL or MFAM delegated to them.
Yes. WELL and MFAM holders and WELL token sale participants are able to modify to whom their tokens are delegated to at any time. Note that once a proposal has been submitted to the DAO, any further actions one takes (acquiring tokens, delegating tokens to a different address, etc.) will have no effect on their voting power for that specific proposal.
Yes! Staked WELL/MFAM tokens, or stkWELL/stkMFAM, carry the same governance rights as their native counterparts. Staked WELL and MFAM are automatically delegated to oneself. These staked tokens can not be delegated to other addresses besides your own
Yes they will, though you must first delegate your tokens to be able to vote with them. Upon visiting the claims site, you will see a notice if you have un-delegated WELL and a prompt to “activate” them (which simply delegates them to oneself).
Anything really. On-chain governance allows the DAO to govern specific aspects of the protocol, alter risk parameters, and perform actions like sending funds on-chain.
Additionally there's off-chain voting via Snapshot where people can propose more abstract ideas like "The DAO should hire $ORGANIZATION to fulfill a certain need”. These can be voted on in the same way as on-chain proposals, but require less WELL to submit and no GLMR to vote!
DAO proposals require a simple majority to pass, but with the caveat that there is also a minimum participation threshold required (quorum) in order for a proposal to pass successfully. For example, if the quorum is set at 10 WELL and 5 voters with 1 WELL each end up voting 3 WELL for and 2 WELL against, the proposal will still fail as it did not achieve quorum.