During the market collapse, the Governance Security Module (GSM) delay was decreased to 4 hours from 24 hours. A lot of discussion has occurred on the trade-offs between a short and long delay, so I’ll just do a quick summary below.
A shorter delay allows for governance votes to cast faster. However, it also allows a shorter timeframe to defend against governance attacks. The 4 hour delay was helpful during the market collapse when the ETH price was fluctuating wildly.
A longer delay helps protect the protocol against governance attacks. There is simply more time allotted to respond to adverse governance actions. During the market collapse, the 24 hour delay presented a risk as the mitigating changes we used to stabilize the protocol could not be applied with urgency.
This signal is requested to gauge an appropriate GSM delay based on recent experiences. Should you favor a longer delay than listed, please select other and provide your rationale in the discussion.
Things to consider (not exhaustive!) as we search for the right balance:
- Are we stabilized or should we expect more volatile market activity prompting another GSM decrease?
- If we keep the delay low, what kind of governance attacks are we subject to?
- If we set the delay high, how will we respond if we enter another volatile period?
Resources to help inform your choice:
- https://mkr.fyi/ (mkr liquidity section) to see available MKR liquidity on various pools
- Dark Fix Mechanism: A Proposal for Handling Critical Vulnerabilities in the Maker Protocol
- Revisiting GSM Delay & Dark Spell Social Layer Discussion
Thank you kindly for your attention.
- 4 hours (current)
- 8 hours
- 12 hours
- 24 hours (previous)