Like Polkadot and Kusama, KILT has conviction voting. This means if you feel very strongly about a proposal, you can lock up coins for longer periods to increase your voting power up to a maximum factor of 6. The longer you lock your coins, the stronger your vote will be weighted.
The times range from no lockup to a period of around 224 days, with the lockup time beginning after the voting period ends. Coins used for voting will always be locked until the end of the voting period, no matter what conviction you vote with. Of note: the lock time is based on the standard block time of 12 seconds per block and hence may vary due to differences in the real block time.
0.1x voting balance, no lockup period
1x voting balance, locked for 1x enactment (7 days)
2x voting balance, locked for 2x enactment (14 days)
3x voting balance, locked for 4x enactment (28 days)
4x voting balance, locked for 8x enactment (56 days)
5x voting balance, locked for 16x enactment (112 days)
6x voting balance, locked for 32x enactment (224 days)
Example 1 – minimum
If you choose not to lock any coins, your vote only counts as 10% of the coins that you commit to the voting (vote value), while the maximum lock up of around 224 days means you can make your vote count for 600% of the vote value. You can choose to lock all or some of your coins for any range between 0.1x and 6x, with a lockup time as outlined above.
As an example, you have a wallet with 1,001 KILT Coins. This could include staked or vested coins.
- You want to vote but don’t want to lock any coins.
- You enter 1,000 into the “vote value”
- You choose “0.1 x voting balance, no lockup period”
- This gives you a voting power of 100 KILT Coins
- Note that all your 1,000 coins are locked for the time of the voting period (7 days).
- In this example, you have 1 KILT left to pay the fees. Currently the transaction fee is around 0.017 KILT.
Example 2 – maximum
- You strongly believe in the referendum and want to vote with your full balance and maximum conviction
- You also enter 1,000 in the “vote value” and leave one KILT to cover the fees
- Choose “6 x voting balance, locked for 32x vote locking period (224.00 days)”
- This will give you a voting power of 6,000 KILT Coins, if you use your full amount, or 6 times the voting power of the amount you chose. The chosen amount will be locked for a period of around 224 days after the voting period ends (7 days).
While coins locked for staking can be simultaneously used for voting, the transaction fee needs to be from a usable, unlocked balance.
Conviction voting allows users with a small amount of coins to increase their voting power, and deters a token holder from creating and voting on a malicious proposal and then leaving the network.If the referendum is successful, your voting coins will remain locked for the time specified (which means that although you can use them for staking, you will be unable to transfer them during that time). If unsuccessful, your coins will be unlocked after the referendum has finished.
KILT also uses an algorithm to adapt the amount of “aye” (yes/agree) votes needed to pass depending on voter turnout: the greater the number of voters, the lower the threshold required to pass. Therefore, when voter turnout is low a supermajority is generally required; with a high turnout a simple majority is sufficient.
Of note, BOTLabs GmbH, the initial developers of KILT Protocol, currently owns around one third of the existing KILT Coins as outlined in KILT’s updated tokenomics. To ensure democracy and decentralization, BOTLabs will abstain from voting on all proposals and referenda. The only exception to this would be a critical situation where a malicious proposal threatens the technical security of the network. Due to features built into the governance mechanism, such as the need to lock coins to create a proposal, this is unlikely to happen. The percentage of coins owned by BOTLabs is designed to decrease over time, due to inflation in the network.
How to Follow Active Votes
Before voting on any proposal or referendum, you are advised to read more about it and join the discussion in Polkassembly (under the “On-chain” section). Polkassembly is an open source platform for providing information, context, and a discussion forum for proposals and referenda in the Polkadot ecosystem.