Conviction Voting Minimum Threshold
What is the Minimum Threshold in CV??
Minimum Threshold sets the minimum percent of tokens that are used for calculating the threshold to pass any proposal.
It is very similar to the Minimum Quorum needed in Dandelion Voting.
Because proposals in Conviction Voting are token weighted and are a part of “continuous proposals” or dynamic average consensus the Minimum Threshold is the minimum conviction needed to pass a proposal.
The threshold calculation is dependent on the amount of funds being asked for. The minimum threshold stops people from asking for a very small amount of funds many times and using very few tokens to get the votes to pass.
The Minimum threshold makes it so that any requests for funding under a certain % of the funding pool all take the same amount of conviction to pass.
If the Minimum Threshold is set to 1
And there are 100,000 tokens actively voting on proposals in CV
Then the minimum number of tokens needed to vote on a proposal for it to pass would be: 100,000*.01 = 1000
So if there is $1 million in the funding pool and someone is asking for $1 in their proposal or $100, even though from the normal threshold calculation it might only take a very small amount of voting power it will still take a minimum of 1000 tokens to pass the proposal.
However, because of how CV works, this is a theoretical minimum that would take an infinite amount of time to reach… 1001 tokens would probably pass it eventually tho
Where in the code is this handled?
The minimum threshold is applied in this function:
And the function above it is where the threshold is calculated.
Questions we need to consider in this thread.
What other factors should we consider when choosing the minimum threshold?