Refund Module

The Refund Mechanism is designed to alleviate the financial burden on users participating in on-chain governance by reimbursing transaction and bridge fees. This feature ensures seamless governance participation from all users, without additional cost barriers, enhancing user engagement and accessibility.

Purpose:

  • To eliminate transaction costs for users contributing to governance processes, ensuring equitable participation across chains.

  • Encourages active participation in governance without financial disincentives.

How It Works:

  1. Users pay transaction or bridge fees when submitting governance-related actions (e.g., proposals or votes) on-chain.

  2. Once the transaction is processed, the project’s treasury automatically reimburses the user with the equivalent amount on the same chain.

Examples of Usage:

  1. A user pays $5 in fees to submit a governance proposal from an L2 chain (e.g., Arbitrum) to Ethereum L1.

  2. The treasury detects the expense and refunds the user the same amount (e.g., $5 worth of ETH) on the chain where the transaction occurred.

Multi-Chain Support:

  • When deploying Multi-Vote across different chains, users might incur additional bridge expenses.

  • The refund mechanism ensures these costs are reimbursed, further streamlining cross-chain governance.

Activation of the Refund Mechanism:

  1. The refund mechanism can be enabled within the governance modules during configuration.

  2. Once activated, it operates automatically to refund eligible expenses, reducing manual intervention.

This feature ensures a fair and cost-effective experience for users participating in governance while reinforcing the project’s commitment to inclusivity and decentralization.

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