Dynamic Quorum Mechanisms: Enhancing Governance Performance and Stability in the Tezos Ecosystem
Blockchain technology is widely spreading and is being used for its transparency, security, and decentralization. Blockchain evolves through its governance process, either off-chain or on-chain. The on-chain governance employs the dynamic quorum concept. The Dynamic quorum is a game changer for blockchain scalability. It marks a pivot toward the autonomous evolution of the chain. It is an important but often ignored aspect of blockchain governance. This research analyzes the behavior of dynamic quorum in on-chain governance of blockchains in general and the Tezos blockchain in particular. The objective is to improve the quorum formula for better responsiveness and quorum stability. The study uses empirical governance participation data from the Tezos blockchain. In this paper, we proposed six improvements to the Tezos quorum formula. For the proposed improvements, many experiments are performed using the empirical dataset. The findings reveal that the momentum-based formula that uses participation trends resulted in better responsiveness and stability. This research contributes to the ongoing improvement of on-chain governance, demonstrates important insights into dynamic quorum design, and how it influences governance dynamics. It is different from traditional reviews in that the empirical quorum dataset is assessed for its quorum prediction ability.