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GovernanceStakingOn-chainDeFi
Levana Finance: Governance Portal
On-chain voting system for a DeFi perpetuals protocol with time-weighted staking
The Challenge
As the protocol scaled to $4.3B+ trade volume, governance proposals increasingly influenced trading incentives and token economics. Poorly structured proposals, ambiguous reward logic, and short-term staking behaviour led to contentious debates, user confusion, and potential sell pressure from opportunistic stakers — risking protocol health and community trust.
Approach & Solution
- Validated every governance proposal before publication for technical accuracy, on-chain execution correctness, and user-friendly language
- Monitored Telegram and Discord channels daily, collecting and structuring user feedback into clear, prioritised documentation shared with the core team
- Identified the core issue of short-term staking dominance and proposed time-weighted staking — where voting power and rewards scaled with staking duration (6 months, 1 year, 2 years) to reward long-term alignment
- Wrote detailed test scenarios, acceptance criteria, and validation plans for the new staking logic across testnet and mainnet
- Facilitated cross-team reviews and helped shepherd the proposal through community discussion to successful on-chain adoption
Results
01Time-weighted staking proposal passed with strong community support and was successfully implemented on-chain
02Reduced contentious governance discussions by approximately 50% (measured via reduced comment volume and sentiment improvement in Discord)
03Improved long-term holder participation and contributed to more stable token economics during volatile market periods
04All executed governance votes ran without technical errors or need for reversions
05Increased overall user confidence in protocol fairness and incentive alignment