We’re entering a new phase of protocol governance where token utility is not only possible, but necessary. As we begin seeing an uptick in forum proposals calling to share value with token holders, protocols should lean into this opportunity and take intentional steps towards returning value in exchange for the work of governance. Tally is building an open source standard that enables protocols to return value that we call Governance Staking.

Governance participation is still too low.

Tally is excited to support the launch of ZKsync Governance, the onchain governing body of the ZKsync protocol. Since the launch of ZK Sync Era on mainnet, the protocol has experienced incredible success scaling Ethereum with over 6 million wallet addresses created & 350 million+ transactions, all while maintaining incredibly low fees.¹

This post is published in partnership with Areta. To learn more follow @areta\_io or visit areta.io.

This is a republished PR wire from August 29, 2024 at 12PM EST.

This post is part of The Tally Protocol education series. Each week we dive deep into different aspects of The Protocol’s mechanics, incentive & mechanism design, and hear from ecosystem partners.

On June 20th, 2024 we announced the The Tally Protocol: the next step forward in onchain governance that fully actualizes the value of the systems which token holders own and participate in.

Separating voting power from financial utility with the Tally Protocol and Symbiotic

The incentives for participating in DAOs are broken. Token holders are asked to actively manage and govern multi-billion dollar protocols at their own expense. Large delegates fund their critical research and operations via inconsistent grants or retroactive funding. Token holders hold illiquid unproductive assets with little or no incentive to participate.