Establishing a Zenate for ZIP Governance and Managing ZCAP

[GGuy]

@daira @str4d @teor thanks so much for your feedback !!!

@daira

Speaking as a ZIP Editor, it seems to me that the relationship between the proposed Zenate and the ZIP Editors would have to be clarified in order for the proposal to progress, because at the moment it seems to muddy the responsibilities between them.

Amongst making the other adjustments I’ve done my best to clarify this by being more concrete about when the Zenate should trigger community polling for the Network Upgrades, Major ZIP changes, and Advisory Polling.

---

ZIP: TBD
Title: Establishing a Zenate for Community-Driven Governance and Managing ZCAP
Owners: TBD
Original-Authors: Matthew Green (@GGuy)
Credits: Josh Swihart (@JoshS)
Status: Draft
Category: Process
Created: 2023-09-12
License: MIT

Terminology

Terms capitalized such as “MUST”, “MUST NOT”, “SHALL”, “SHALL NOT”, “SHOULD”, “SHOULD NOT”, and “MAY” in this document are to be understood as described in RFC 2119. [#RFC2119]_

The term “network upgrade” in this document refers to the explanation in ZIP 200 [#zip-0200]_ and the Zcash Trademark Donation and License Agreement ([#trademark]_ or successor agreement).

“Zenate” denotes the elected governing body by the Zcash community through the ZCAP process proposed in this ZIP.

“ZCAP” is the Zcash Community Advisory Panel, as outlined at [#zf-community]_.

Abstract

This ZIP proposes the creation of the Zenate, a crucial body aimed at amplifying the voice and influence of the Zcash community. The Zenate’s central objective is to redefine and democratize the mechanisms of community consensus. To realize this, it will commence its role by assuming stewardship of ZCAP, enhancing its voting procedures to ensure broader transparency and a true representation of community sentiment. In addition to governance, the Zenate is poised to cultivate collaboration among development fund recipients through regular meetings, facilitating a transparent flow of information and shared innovations. By consistently engaging with the community through structured polling, the Zenate aims to shape a future for Zcash that resonates with its users’ aspirations, thereby serving as a dynamic bridge between community desires and the ongoing evolution of Zcash.

Motivation

The inception of the Zenate marks a profound shift, empowering the Zcash community with amplified authority over the direction of their blockchain. At its core, the Zenate aims to recalibrate and democratize the way community consensus is gauged. This mission commences with the Zenate assuming control of ZCAP and refining its voting processes, ensuring transparency, inclusiveness, and a genuine reflection of the community’s voice.

Beyond its governance role, the Zenate seeks to promote collaboration, particularly among recipients of the development fund. Through orchestrating monthly meetings, it seeks to streamline communication, encourage shared innovations, and expedite common goals. These interactions not only enhance collective output but also keep the community informed about ongoing progress, milestones achieved, and challenges encountered.

Moreover, the Zenate will continually tap into the community’s sentiments, leveraging regular polling to ensure the Zcash journey is genuinely community-driven. This ongoing dialogue, facilitated by the Zenate, aims to crystallize a collective vision for Zcash’s future - one sculpted by the very users it serves. Through these initiatives, the Zenate positions itself as a vital conduit between the community’s aspirations and the blockchain’s evolution, striving to manifest a future that aligns with the shared dreams and ideals of the Zcash community.

Specification

Zenate Composition

A Zenate SHOULD consist of 5-7 active members, chosen via the ZCAP process. Members are expected to commit approximately one day weekly to Zenate tasks. Membership tenure is annual with opportunities for reelection.

To avoid conflicts of interest, members of the Bootstrap board, ZF board members with decision-making authority under the Zcash trademark agreement, and ZIP editors cannot be Zenate members. Their dual role could create a conflict of interest where they may have undue influence on both the proposal and the decision-making processes. Ensuring they are not part of the Zenate helps in maintaining the integrity of the voting process, ensuring that the Zenate remains free from undue influence, and upholding a fair representation of the community.

Zenate members SHALL receive compensation consistent with the allotted 35 hours per month, at a rate of $100US per hour. Changes to this compensation MUST be proposed via a ZIP amendment.

Zenate Governance

The Zenate makes decisions by majority vote. In cases of tied votes, a community-wide ZCAP poll determines the outcome. The Zenate MUST duly consider concerns brought forward by any body.

Zenate Conflict of Interest Declarations

Zenate members have an essential responsibility to represent the interests of the Zcash community without any bias. Given their influential position, it is imperative that their decisions are free from personal or financial influences that might compromise the integrity of their roles.

1. Declaration Requirement:

   • Upon being elected and before assuming their roles, each Zenate member MUST declare any potential or perceived conflict of interest they might have relating to their responsibilities as Zenate members. This declaration should be made publicly to ensure transparency.

2. Annual Review:

   • Zenate members SHALL review and update their conflict of interest declaration annually or sooner if any significant changes occur in their circumstances that might lead to a new conflict.

3. Abstaining from Decisions:

   • If a specific decision or discussion arises where a Zenate member has a declared conflict of interest, they SHOULD abstain from participating in that particular decision or discussion.

4. Public Access:

   • All declarations of conflicts of interest SHALL be accessible to the public, ensuring the Zcash community is informed and can hold Zenate members accountable.

5. Review by Fellow Zenate Members:

   • The Zenate, as a collective body, SHALL periodically review the declared conflicts of interest to ensure all Zenate members are adhering to the expected standards of transparency and integrity. If any issues arise, they MUST be addressed promptly to maintain the Zenate’s credibility.

ZCAP Management

Upon its formation, the Zenate will take over ZCAP management. The Zcash Foundation will oversee the first Zenate election through ZCAP. Subsequent elections and ZCAP management falls under the Zenate’s jurisdiction.

ZCAP Polling for ZIPs

ZCAP MUST be used for polling to clearly determine community consensus on specific ZIP state transitions. The polling process for these transitions is as follows:

1. Reserved to Draft:

   • No poll is required for this transition, as it represents the initial creation of a ZIP draft after reserving a number.

2. Draft to Proposed:

   • ZIP Editors have the authority to transition a ZIP from ‘Draft’ to ‘Proposed’ without a ZCAP poll.

3. Draft or Proposed to Withdrawn:

   • The owner can transition the ZIP to ‘Withdrawn’ without requiring a ZCAP poll.
   • The Zenate SHOULD inform the community of the withdrawal and its reasons.

4. Draft/Proposed to Rejected:

   • If no progress is made on a ZIP for a year, a ZCAP poll SHALL be conducted.
   • The poll presents two choices: move to ‘Rejected’ or remain in the current state. Users can select one option or withhold their vote by not making a selection.

5. Rejected to Draft:

   • A ZIP that was marked ‘Rejected’ can be revived to ‘Draft’ without a ZCAP poll.

6. Proposed to Active (For Process/Informational ZIPs):

   • A ZCAP poll is required.
   • The poll presents two options: move to ‘Active’ or remain as ‘Proposed’. Users can select one option or withhold their vote by not making a selection.

7. Proposed to Implemented (For Consensus/Standards ZIPs):

   • A ZCAP poll SHALL be conducted.
   • The poll offers two choices: transition to ‘Implemented’ or remain as ‘Proposed’. Users can select one or withhold their vote by not making a selection.

8. Implemented to Final:

   • ZIP Editors have the discretion to transition a ZIP from ‘Implemented’ to ‘Final’ without requiring a ZCAP poll.

9. Any Status to Obsolete:

   • ZIP Editors can transition a ZIP to ‘Obsolete’ without requiring a ZCAP poll.

In all ZCAP polls, if no clear majority is achieved, the ZIP remains in its existing state. Detailed procedures for ZIP polling will be delineated by the Zenate, ensuring all operations align with the spirit and intent of ZCAP.

ZCAP Polling for Trademark Decision

ZCAP polling MAY be invoked for decisions related to the Zcash trademark agreement and its role in Network Upgrades when ZIP consensus alone isn’t sufficient to establish community consensus. Specifically, the Zcash community may wish to use ZCAP polling to ensure that the upgraded chain can bear the Zcash trademark, maintaining the network’s continuity and the trust associated with the name.

The polling process for such decisions SHOULD be as follows:

1. Trademark Agreement Decisions (When Required):

   • When ZIP consensus is deemed insufficient to establish a community agreement on trademark-related decisions, ZCAP polling can be initiated.
   • The polling process for these decisions should be similar to that of ZIP polling, with options for approval, rejection, and withholding of vote. The Zenate SHALL strive to ensure that decisions related to the trademark agreement are grounded on clear community consensus as determined through ZCAP Trademark Decision polls when invoked.

2. Network Upgrade Decisions (When Required):

   • If ZIP consensus does not clearly ascertain community agreement on whether the upgraded chain can use the Zcash trademark, a ZCAP poll can be conducted.
   • This poll presents options for agreement, disagreement, or withholding a vote. The Zenate SHALL ensure that the decision to allow the upgraded chain to use the Zcash trademark is based on clear community consensus as determined through this ZCAP poll when invoked.

Detailed mechanisms for both trademark agreement and network upgrade decision polling, when necessary, will be provided by the Zenate.

ZCAP Advisory Polling

The Zenate can use ZCAP for more than just ZIP state transitions and trademark decisions; it can also gather advice and feedback on critical Zcash-related matters. Such matters may encompass but are not limited to:

1. Proposed Changes to the Development Fund:

   • Before any formal decisions or modifications to the development fund, the Zenate can poll ZCAP to gauge the community’s sentiment regarding the proposed changes.
   • This poll can act as a preliminary measure to understand the feasibility and acceptance of such changes within the community.

2. Assessment of Zenate Performance:

   • Periodically, the Zenate may wish to gather feedback on its own performance to ensure alignment with community expectations and to identify areas of improvement.
   • A structured poll can be presented to ZCAP to assess areas such as transparency, effectiveness, representation, and responsiveness.

3. Soliciting Suggestions:

   • Zenate can engage ZCAP to seek suggestions on various subjects like governance enhancements, community outreach initiatives, or on potential collaborations.
   • This acts as a means to continuously gather fresh ideas and perspectives from a diverse panel, ensuring community-driven innovation.

4. Prioritization of Initiatives:

   • In situations where multiple potential initiatives or projects are under consideration, the Zenate can use ZCAP polling to determine which ones are deemed the most important or impactful by the community.

The process for advisory polling is as follows:

• The Zenate drafts a clear set of questions or proposals to be presented to ZCAP.
• A defined timeframe is set for ZCAP members to cast their votes or provide feedback.
• After the polling period, the results are compiled, analyzed, and shared with both the Zenate and the wider Zcash community.
• The Zenate uses the insights from these polls to guide their actions, always ensuring that the Zcash community’s voice is at the heart of decision-making.

It’s vital to note that the Zenate remains the advisory body and, while these polls provide critical insights, the final decisions rest with the Zenate after duly considering all aspects, including the ZCAP’s advice.

Modifications to Active ZIPs

ZIP Editors have the capability to refine active ZIPs to align better with the original intent of the ZIP. This capability does not extend to significant modifications that alter the core purpose or philosophy of the ZIP. Changes of this nature need to be supported by a community-wide consensus through a ZCAP poll.

However, minor adjustments such as updating incorrect links, fixing typographical errors or language, or adding additional information that does not change the ZIP’s original objective can be approved by ZIP Editors without resorting to a ZCAP poll.

Major changes that fundamentally alter the ZIP’s objective or strategy, or propose new features or definitions not included in the original ZIP, need to be proposed as a new ZIP or an amendment. Such amendments require approval via a ZCAP poll. These measures ensure a balance between the ZIP’s constant improvement and its adherence to the original intention.

Transitioning an active ZIP to the superseded status when a replacement ZIP becomes active can be done by ZIP Editors without a ZCAP Poll.

This clear delineation between minor modifications and significant changes ensures that pivotal decisions around the Zcash protocol are always based on broad community consensus through ZCAP polls. This mechanism gives ZIP Editors the ability to adapt to improvements while preserving the integrity of the ZIP’s original intent.

ZCAP Diversity

The Zenate aims for a diverse ZCAP, including developers, leaders, ecosystem partners, and users. Efforts to include both English and non-English participants are encouraged. The Zenate SHALL actively strive to achieve the diverse ZCAP representation.

Community Involvement

The Zenate serves as an advisory body to the Zcash community, supporting the community through education, hosting AMAs, and other initiatives. The Zenate SHALL aim to ensure transparency and accountability among development fund recipients by conducting monthly meetings and encouraging open discussions. The Zenate’s decisions MUST resonate with the Zcash community consensus, with ZCAP polling being the primary determinant of the consensus. Each decision’s alignment with the community consensus, through ZCAP polls, needs documentation. Convincing on-going efforts to improve community polling mechanisms shall be made by the Zenate.

Role in ZIP Governance

The Zenate upholds community consensus as the foundation of ZIP governance. It mediates community consensus on ZIPs, as measured through polling overseen by the Zenate. Community consensus remains the cornerstone of ZIP governance supported by the Zenate.

ZIP Editors

Working hand-in-hand with the Zenate, ZIP Editors play a crucial role in the maintenance and governance of ZIPs. They have the authority to move ZIPs across most status transitions, including the ability to activate or finalize ZIPs and propose ZIPs for ZCAP polling. They are also responsible for managing ZIP Amendments, ensuring only necessary changes are made preserving the original intent of the ZIP.

ZIP Amendments

Amendments to ZIPs can be proposed by anyone in the Zcash Community and are reviewed, approved, and edited by the ZIP Editors. Minor edits and corrections can be approved by the ZIP Editors, but major changes require a new ZIP or a ZCAP Poll.

In all cases, changes must align with the original intent of the ZIP. This approach ensures that the ZIP remains true to its original goals and objectives while allowing for necessary updates and improvements.

Development Fund Management

The Zenate supervises the allocation of block rewards stipulated in ZIP1014 for the development fund. Any modifications to ZIP1014 or successors, once agreed upon by the ECC and ZF, will be incorporated into consensus rules. Actions, decisions, or modifications pertaining to ZIPs need grounding on clear objectives or comprehensive business plans. By approving this ZIP, ECC and ZF recognize the Zenate and ZCAP as representatives of community consensus, consistent with the trademark agreement, solidifying their decision-making roles related to the agreement.

Transparency and Accountability

The Zenate SHALL strive for transparency and accountability by regularly divulging its intended goals and operations. Meeting minutes should be reviewed and, after necessary redactions and corrections, publicized.

Administrative Support for Zenate

The Zenate MAY employ part-time staff for administrative tasks like transcription of meeting minutes. Such staff shall receive compensation at market rates.

Compensation Payments

Initially, the Zcash Foundation (ZF) will provide compensation to Zenate members and staff using funds from its operational budget. An annual review of the compensation rates and overall compensation structure should occur. Any adjustments must be proposed by the Zenate, approved by majority vote, and ratified by ZF.

Integrating with Existing Structures

The Zenate SHALL function in harmony with existing panels, committees, and procedures within Zcash, bringing an enhanced layer of representation and advisory support.

References

… [#RFC2119] RFC 2119: Key words for use in RFCs to Indicate Requirement Levels <https://www.rfc-editor.org/rfc/rfc2119.html>_
… [#zip-0200] ZIP 200: Network Upgrade Mechanism <zip-0200.rst>_
… [#trademark] Zcash Trademark Donation and License Agreement <https://electriccoin.co/wp-content/uploads/2019/11/Final-Consolidated-Version-ECC-Zcash-Trademark-Transfer-Documents-1.pdf>_
… [#zf-community] ZF Community Advisory Panel <https://www.zfnd.org/governance/community-advisory-panel/>_