Graphite is built upon a smart contract that implements Quadratic Voting. Unlike many other projects, we do not utilize or issue a separate governance token, instead we will utilize the CARBON token. When you vote on issues within Graphite, you will be rewarded for doing so.
Quadratic Voting is a method of collective decision making in which a participant votes not just for or against a proposal, but also expresses how strongly they feel about it. It can help protect the interests of small groups of voters that care deeply about particular proposals.
Typically, in Quadratic Voting, each participant is given a number of credits that can be used to vote with. However, the cost of casting more than one vote is quadratic, not linear. So, the marginal cost of each additional vote is far higher than that of the previous vote. With Graphite, instead of credits, each participant can vote up to the amount of $CARB they have (typically most voters would vote with the minimum 1 $CARB).
To cast 1 vote costs you 1 CARB, 2 votes would cost 4 CARB, 3 votes 9 CARB. So, while you are increasing the chances of victory for your proposal with each additional vote, the quadratic nature of the voting ensures that only those who care deeply about certain proposals will cast additional votes for them.
Cost to the voter = (Number of votes)^2
It is important to understand that you will not lose any $CARB if you vote with only 1 $CARB - this is explained below in the Tokenomics Of A Proposal.
To cast 1 vote costs you 1 CARB, 2 votes would cost 4 CARB, 3 votes 9 CARB. So, while you are increasing the chances of victory for your issue with each additional vote, the quadratic nature of the voting ensures that only those who care deeply about issues will cast additional votes for them.
99 people vote in favour of a proposal with 1 CARB each. A whale wants to vote against the 99 people. Because of the way quadratic voting works, the whale will have to vote with 10k CARB. The whale gets what he wants and the funds are distributed. So 10099 CARB are distributed amongst 100 people. So each person receives around 101 CARB. A huge loss for the whale and a huge gain for the other voters.
Even though the whale got what they wanted, they had to distribute wealth to get it. And now, those passionate voters can put forward a new proposal and use their newly rewarded CARB to vote with. Using the same example but with the 99 voters voting with 101 CARB would mean that the whale is going to have to vote with 100million CARB (more than exists). This is how we get fair community governance. True representation of what the community wants.
Unlike other governance models around, we are taking a different approach. For starters, we are not using a separate governance token. $CARB is our governance token.
Anyone can make a proposal, but they must pay a certain amount in $CARB to submit the proposal. This is so we are not flooded with proposals where people are simply trying to gain voting rewards.
The cost is included into the pool of funds that are distributed at the end of voting period. This guarantees that each voter will be rewarded for voting.
At the end of the proposal, the pool of funds (proposal fee and $CARB used for voting) is equally distributed amongst all voters. Please read through the example above to understand this more.
Anyone that is willing to pay the proposal fee is allowed to add a proposal.
There will be a vetting process, we are not for example going to allow proposals that relate to giving away $CARB or that come with an expectation of creating a completely new service or feature.
Because there is the opportunity to earn $CARB from voting, we need to ensure that people do not create new addresses for the purpose of voting only. Therefore, you will have had to register an Avatar Name to be able to vote.
Because your vote will be done by transferring $CARB , it is viewable on the blockchain.
At this stage we have decided that we will have 3 time periods - 3days, 7days and 14days.
Yes, we think that it is important for you to have control over your vote. So at anytime you will be able to remove your vote. If you want to change your vote then there will be a way to do this as well.