What is the Question?🚨

Props 114, 196 & 337 were all passed in an effort to promote decentralization within the ecosystem. After these proposals, how was governance impacted by this effort?

Analyze the participation of the new validators on the governance proposals after the active set increases. Did new validators vote more or less than the original top 66% of validators? Did time play a factor? Analyze changes in governance participation t+30,+60,+90 days after these proposals.

Analyzed Topics:

1. Votes & Voters Comparison
2. Osmosis Voting Power by validator Address
3. Osmosis Voting Power
4. Validators Activity
5. Osmosis Decentralization

Introduction🚩

What is Osmosis?

Osmosis is a DEX protocol, which means it uses smart contracts to determine the price of digital assets, to produce liquidity via a peer-to-peer (P2P) methodology, and to exact trades between users. This approach to an exchange platform is known as an AMM — a DEX protocol that prices crypto assets in liquidity pools.

What is Osmosis Governance?

Osmosis has an on-chain governance mechanism for passing text proposals, changing consensus parameters, spending funds from the community pool, and for updating Osmosis pool incentives.

More Info

Method⚡

In this dashboard Im going to explore Proposal 114, 196 and 337 Votes & Voters comparison and how they affected on Osmosis decentralization and take a look at osmosis voting power by validators over time, then see what does its Nakamoto coefficient doing?

I extracted data from ==Osmosis.core== database provided by Flipsidecrypto and used these 3 tables from it:

1. osmosis.core.fact_governance_votes
2. osmosis.core.dim_vote_options
3. osmosis.core.fact_staking

Also i only considered successful votes with tx_status = 'SUCCEEDED'

Dashboard made on ==2022-11-09==

Findings👀

• In overall, Proposal 196 had more votes especially YES than the other 2
• Proposal 114 had the most number of NO votes between these proposals
• Users loved Proposal 337 more than other proposals and more percentage of users voted YES to that proposal when we compare it to proposal 114 and 196

1. Votes & Voters Comparison

2. Osmosis Voting Power by validator Address

3. Osmosis Voting Power

Credit to ==adriaparcerisas== for this section

Findings👀

• In the three charts above, we can see the difference of the voting power change of the top 66% during the next 30, 60 and 90 days after the proposals ends. We can see how for all of them the voting power is growing fast.
• In general, Osmosis voting power is increasing over time after each proposal.
• As we see, most of the voting power is for top 10 validators but their power is decreasing over time.
• In terms of voting power, top 10-50 validators and +50 validators will place in the second and third place respectively.

4. Validators Activity

Findings👀

• In this section i showed Osmosis old and new validators activity.
• We see that proposal 225 has the highest number of active voters by type of validator (Old & New).
• If we consider the average number of votes per validator over time, we can see how in this case the activity of new validators is similar to the old validators. Then, we can assume that when a new validator joined the network rapidly is adapted.
• Number of total validators is increasing very slowly over time.
• May 13th had the highest number of votes and voters in terms of validator type.

Conclusion💡

• In overall, Proposal 196 had more votes especially YES than the other 2.
• Proposal 114 had the most number of NO votes between these proposals.
• Users loved Proposal 337 more than other proposals and more percentage of users voted YES to that proposal when we compare it to proposal 114 and 196.
• In general, Osmosis voting power is increasing over time after each proposal.
• As we see, most of the voting power is for top 10 validators but their power is decreasing over time.
• We see that proposal 225 has the highest number of active voters by type of validator (Old & New).
• If we consider the average number of votes per validator over time, we can see how in this case the activity of new validators is similar to the old validators. Then, we can assume that when a new validator joined the network rapidly is adapted.
• Currently, Osmosis has a Nakamoto coefficient of 7.
• After proposal 196 there has been a dramatic increase in decentralization on osmosis.

Author: Sbhn_NP

Discord : Sbhn_NP#8717

Twitter : Sbhn_np

Instagram : Sbhn_NP

Thanks for your time!

5. Osmosis Decentralization