ENS DAO Reform Next Steps

ENS DAO Reform Next Steps

As has been discussed in a number of forum posts, working group calls and temp checks; ENS DAO needs to evolve alongside its contributors and the wider Ethereum ecosystem. Initially we had hoped that more of this feedback and next steps would have culminated in the ENS DAO into 2026 post. Today’s post hopes to outline what FireEyes sees as a clear path forward based on proposals and feedback gather to date across the ENS forum, community calls and DAO retrospective.

Core Topics Covered In This Post:

  • Retro references, learnings, and considerations
  • ENS Contributor Structures;
  • ENS Governance Structures
    • ENS Governor Contract
    • Token based governance

Retro references, learnings and considerations

Given the results of the retro and subsequent discussion, it’s prudent for us as ENS DAO contributors to come together and develop a wide-reaching path forward which addresses the key concerns that we currently face.

As recently highlighted by Mike from metagov.org and formalised in Estmcmxci’s recent Advisory body post, there’s an argument here that spending more time and energy on forming an advisory board to come up with clear next steps and proposals for the DAO is in our best interest - This is something we would be generally supportive of.

However we’re also conscious that this process has been ongoing since December and that many WG leads, Service Providers and ENS Labs team members are keen to see specific proposals progress rather than further ideation. This pre-proposal post chooses not to be opinionated about a post-retro advisory body and instead aims to prepare proposals/outcomes that could be considered with or without a advisory board as the next step.

Regardless, the Retro has produced a set of clear considerations about ENS DAO;

  1. The breakdown in communication and accountability between contributors. We see this in the explicit call outs around the lack of comms between working groups, Labs and delegates. Accountability is often placed second behind political or funding-based agendas, which leads to sub-optimal outcomes for the DAO and its contributors.

  2. The concentration in voting power, decision making and influence within the DAO. This is clearly exemplified in the retro research with the top 10 delegates holding >70% of active voting power, and >50% of those having been delegates since the inception of the DAO. The retro also found that a significant proportion of the ‘decision makers’ around funding are also the recipients of that same funding - contributing to an inherently biased process.

  3. Contributor fatigue caused by the lack of ongoing improvements to our structural governance processes. This is a major factor in why the above issues haven’t been addressed or resolved. Especially clear when we realise that our organisational structures have remained largely unchanged since the launch of the DAO 3+ years ago.

This proposal aims to address these issues in a pragmatic and open manner by:

  1. Creating more streamlined communication and accountability within different DAO structures. Proposing an empowered ENS Foundation, a clear SPP committee structure and a public facing working group with hopes of creating new contribution and accountability mechanisms within the DAO.
  2. Starting research and ideation on what a new governor contract for ENS DAO would look like, with aims of reducing/changing the concentration of voting power and influence over the DAO. By introducing new governance weights, metrics and systems outside of strictly token voting (our stance is not that token voting is universally bad, just that other metrics should also be considered by a governor contract).

By introducing these new structures to ENS DAO our hope is we breed a new wave of contribution and empower the current contributors with a series of clear paths forward. Obviously this post isn’t all encompassing and we welcome any and all references to the DAOs past structures, successes, failures and retro research.

ENS Contributor Structures

ENS Foundation

As outlined in Katherine’s temp check, creating more structure and accountability mechanisms within the DAO makes sense. Empowering the ENS Foundation with financial and human capital to make key decisions around spending, direction and protocol growth is a net positive for the DAO. This foundation would be responsible for logistics including proposal structures, continuity and timing, high level funding allocation and accountability, and other operational action currently managed by working groups. All of these functions would be carried out in public, with accountability to the DAO, and subject to veto by the DAO if delegates feel a significant wrongful direction has been taken.

This post supports the empowerment of the ENS Foundation, as long as it remains a neutral and capture-resistant organisation. Cc our reply in the thread and subsequent discussion, the primary adjustment we would propose is that the foundation board be expanded to 7 people, made up as follows:

  • Two truly independent parties with minimal political or financial connection to ENS, we’re imagining someone like a traditional management consultant or academic, who’s livelihood isn’t tied whatsoever to ENS’ success.
  • One ENS-aligned independent party, someone from the Ethereum Foundation or similar, that understands ENS, it’s impact and wants ENS to succeed at an industry level.
  • Two DAO-voted directors, where delegates are able to vote in directors they that they believe will have the DAOs best interests in mind.
  • Two ENS Labs team members to be the through line between Foundation and Labs.

This board structure would have a majority of ENS focused directors to ensure operational expertise with a 50/50 breakdown between DAO and Labs, as well as a minority of external directors to maintain accountability to the DAO as a whole.

This would give the foundation the ability to move quickly and take a lot of operational strain off delegates, stewards, and other contributors. Whilst ensuring that the Foundation remains credibly neutral and representative of the wider ENS community.

Working Groups

There is broad agreement that the current WG structure needs adjustment. As outlined at the end of 2025 with Limes’ proposal to move away from the Working Group model, and further reinforced by Katherines recent temp check which aims to roll Working Groups into an ENS Foundation, there is support for dissolving working groups entirely. However, there is also support for the idea that some kind of public facing ENS working group / ecosystem support should be offered by the DAO (CC comments from Arnold, Estmcmxci and others in this post).

We would propose winding down of the current structure, handing over the majority of operational work to the foundation, while establishing one public facing Working Group, in order to provide an approachable entry point for people and orgs outside of ENS to interact with.

This working group would be responsible for activities including:

  • Hosting ~weekly community calls where new contributors and community members can interface with the DAO.
  • Contribute to the public awareness of ENS, the organisation and logistics of events, community engagement, and other public-facing ENS DAO activities.
  • Have the ability to distribute small grants (sub $10k) to fund community contributions, experimentation, events, etc without needing explicit approval from either delegates or the foundation.

The working group would be made up of 3 self-nominated and elected stewards (following existing WG rules for steward selection), and they would be compensated at a reduced rate from the current WG compensation at a rate of ~$2,500 USD / month plus ~$1,000 in ENS tokens vested using the same structure outlined in the latest steward compensation proposal.

Service Provider Program

There has been clear agreement within delegates, ENS Labs team members and service providers that the SPP program needs to change - As has been recently addressed by Brantly & Coltron’s proposal outlining a committee model for the SPP. Although we would ideally like to see further experimentation around how teams receive funding in an ongoing way, we also realise the time crunch here with service providers needing clarity in order to move forward.

We propose taking the existing proposal and only making edits to the structure of the committee. The majority of the proposal would remain unchanged and we support the splitting of the Program authorisation and the committee model in order to:

  1. Give the SPP program further scope
  2. Define and vote on the committee

The existing proposal defines the selection process as a ranked-choice vote of self selecting ENS community members, that are then voted on by delegates. In our view, this selection process would likely lead to nearly as many political tradeoffs as the current structure of delegates voting on SPP providers.

Instead we propose a committee structure where not ALL of the committee members are voted on by delegates.

Instead - a committee structure as follows:

  • 5 committee members total with one chairperson.
    • Two DAO voted committee members
      • Self elected, voted on in ranked-choice structure by delegates.
    • One AI agent/reviewer
      • This would be managed by the chair of the committee with strong accountability and controls in place.
      • The model, prompts, context windows and chat logs would all be made public.
    • One ENS Labs team member
      • ENS Labs are the largest single contributor to ENS and ensuring there is visibility and considerations from ENS Labs within the Service provider program is important.
      • Although some service providers may view this as competitive (in the sense that SPP recipients and ENS Labs both receive funding from the DAO), we believe that the inclusion of Labs is important to develop a maximumly impactful SPP program.
    • On independent reviewer
      • An independent review from either:
        • A fully disconnected reviewer from a traditional management organisation like EY, PWC, Deloitte, or similar.
        • A less disconnected but still independent reviewer from an org like the Ethereum Foundation, Metagov.org or similar.
      • This part of the committee will certainly require tradeoffs, however making sure there is some level of unbiased review of service providers and their outputs is something we think is worth prioritising.

These roles would be compensated as described in the original proposal.

ENS Governance Structures

ENS Governor Contract

ENS DAO has operated using same governor contract since the DAO launched in 2021, while it has been a dependable and secure approach, we believe that this is now overdue for re-examination.

This section is not a proposed path forward, and instead, aims to open discussion up in parallel with the wider restructure. We think exploring potential paths forward for the ENS governor contract to be upgraded to allow more flexibility in voting, delegation, badges and other features is a clear need for the DAO.

Over the past 6 years since the Governor contract was introduced, the token and DAO landscape has shifted dramatically. FireEyes has been a defender of this industry standard contract for ENS DAO to not introduce unnecessary risk to the DAO, however we believe now is the right time to begin research into alternative governor contracts, delegation structures, badges/multipliers, alternative weighting, endorsements, etc.

Issues that we’re looking to address via research into alternative governor contract implementations:

Strict token voting structures

  • With the current governor contract only strict token voting can be enforced, we view token voting as an important part of ‘skin in the game governance’. However we also think evolving this governance structure into one where other characteristics and metrics could be used to impact vote outcomes is an important evolution of onchain governance.
    • Exploring novel voting mechanism like:
      • Token based endorsement structure
      • Badgeholder systems
      • Liquid democracy experimentation / split delegation for different proposal types.
      • etc

Large amounts of ENS tokens delegated to inactive addresses.

  • Millions of ENS tokens are currently delegated to addresses which have very low / no governance participation:
    • Coinbase.eth
    • imtoken.eth
    • rainbowwallet.eth
    • and others
  • Updating the governor will allow us to unlock that voting power, and close potential attack vectors.

Delegates unable to update their address

  • Several delegates over the years (ourselves included) have expressed the want to update their delegate address.
  • This could be for a number of reasons:
    • Compromised keys
    • General opsec / cleanliness
    • Old safe versions
    • etc

Broader governor based experimentation

  • ENS is one of the largest functional DAOs and tokens in the Ethereum ecosystem. Thinking about how we can experiment with governor contract changes that empower both ENS and the wider Ethereum ecosystem.

Conclusion

This post breaks down a number of key ideas and next steps for ENS DAO without being formally structured as a proposal in itself. This post aims to cumulate discussion on a number of different fronts and lead to the development of three key executable proposals.

  • Firstly, the empowerment of the ENS Foundation; Katherine’s existing proposal with key amendments to the directorship structure and increased separation between ENS Labs and the Foundation.
  • Secondly, changes to the existing working group model, reducing from 3 working groups to 1 and implementing a WG scope to be one of the most public facing structures of ENS DAO. Distributing small grants, running public calls and generally being an open and accessible part of ENS DAO.
  • Thirdly, a moving from a strictly delegate-voted SPP program to a committee based program where service providers will have a clearer understanding of why their proposal was accepted/rejected and more clear accountability structures can exist.
  • Finally, starting research and investigation around what we as a DAO would like to see done with the current governor contract - Exploring what re-delegation, novel voting mechanics, and other changes may look like.

We imagine each of the proposals detailed above will be developed into an executable-ready state, either:

  • Independently by the original authors, incorporating feedback.
  • By FireEyes with the proposed edits to each proposal.
  • Together as one defined set of changes from an advisory board (cc Estmcmcxi and Metagov posts).

The goal here is to drive outcomes that delegates, service providers and ENS DAO contributors want to see happen. If each proposal author is happy with the discussion and edits both here and in their respective threads, we encourage them to formalise their proposal into a publishable state and progress towards ratification, otherwise FireEyes is also happy to develop each one of these temp checks into a fully fledged proposal.

ENS DAO has the broadest set of contribution and potential impact to the Ethereum ecosystem, we view ALL discussion happening across the forum and community calls as an important and necessary step in our journey towards a more effective DAO.

2 Likes

As the author of the Foundation board expansion, I plan to author the formal version of it. I won’t speak for others (such as those working to improve the SPP program) but I certainly hope to see the same from them.

I’ve noted feedback from the community since the temp check went live and I’ll be incorporating only what I think strengthens the substance of the proposal & to the extent it furthers the stated goals as it move towards to formal submission. To reiterate: I do not endorse the proposed amendments to the board composition and my position on that hasn’t changed. I will continue to be responsive to feedback in this thread: [Temp Check] Expanding the ENS Foundation Board to Strengthen Operational Accountability for ENS DAO - #28 by katherine.eth .

3 Likes

Trying to create a though line between ongoing DAO reform iniaitives wasn’t meant to be an attack on proposal authors (as your reply reads) :frowning:

Will cross post the proposal feedback, however the statement “To reiterate: I do not endorse the proposed amendments to the board composition and my position on that hasn’t changed” after the significant amount of community feedback around the board composition speaks volumes about your intention to engage with this proposal.

May I add that one of the most important funnels of developers and builders to our ecosystem (besides Hackathons) are grants. Just for clarification, will grants (Ecosystems ones) be under the this group or under foundation? Secondly, it will also have to address the current PG grants that are in place, as much as we need a fresh start, transition from current initiatives and acknowledging who does who is important too.

What is the rationale of this? I feel it only adds a level of complexity and need of oversight for a newly stablished committee. It would be great for a second term, but for a first term, I wouldn’t add more strains to an already complex process.

For similar political reasons, will it be reasonable that this person remains unnamed?

I’d suggest an stablished grant manager from web3 ethereum ecosystem or similar (rather than leave it so broad)

I feel this was widely experimented a few years back with very little impact and documented success outcomes. We even had at the beginning a project called otterspace in our ecosystem that didn’t work.

May I ask, how this won’t be viewed as a centralised/ownership problematic situation? I support this idea, don’t get me wrong, I am just curious about the precedent we may be establishing.

For the rest of the proposal, thank you for putting all them together.

P.S: Can we add some form of DEI at least one woman part of all this committee, boards and whatever other form of organisation we choose to go? I am tired of all men making decisions here hahaha.

1 Like

To be honest most of the responses so far have primarily addressed the foundation composition and some light positions on protocol vs operational decentralisation.

The majority of structural, procedural, sequencing and community representation questions remain largely unanswered.

Happy to address specific questions as they’re raised (as I have been doing). If there are structural or procedural points you feel haven’t been addressed, please name them and I’ll respond directly.

Speaking on behalf of the Retro Evaluation team, we applaud the effort and commitment to reform. We hope the Retro has been and will continue to be helpful in this, we are very committed to helping ENS achieve success and are open to thoughts on how to do better. We want to:

1 Acknowledge that the Retro research strongly confirms the need for serious long term reform and investment to address immediate execution gaps and put ENS on a path to long‑term sustainability.

2 Clarify how the upcoming dashboard and Phase 3 work can materially support any structural direction the DAO chooses, including the proposed expanded Foundation Board.

3 Explain why we believe an Advisory Body, with a clear mandate and pathway for decision‑making, is the best way to maximize ENS’ return on the remaining Retro work.

What the Retro is already telling us

The preliminary recommendations and evidence synthesis are not neutral about whether “something needs to change”—they very clearly show that ENS has:

• Persistent gaps in accountability (for delegates, working groups, and large allocations).

• Fragmented, non‑standardized transparency and reporting, which makes it hard to connect money to outcomes or compare options.

• Material treasury and liability risks if current practices continue.

• A pattern where significant governance decisions are repeatedly deferred or left unresolved, contributing to the current sense of crisis.

The dashboard we are releasing on Friday is designed to make this visible in a concrete way, not just as narrative: it will highlight where delegate behavior, working group performance, and treasury oversight are misaligned with ENS’ stated goals. That in turn reinforces the central point of the Retro work: ENS needs governance infrastructure that can support both urgent decision‑making now and deliberate, evidence‑based choices over the next several years.

How the Retro can support structural reform (and why a pathway matters)

The Retro Evaluation is generally agnostic on the exact structural model (expanded Foundation Board, operating company, continuation or consolidation of WGs, etc.) given that a formal evidnece driven assesmment of the feasibility, risks, etc. of specified strutural options is not within our current scope. That said, we’ve heard and recognize there is broad support emerging around the idea of an expanded Foundation Board with a clearer and broader capital allocation remit. Where opinions seem to diverge is around additional design features (e.g., further layers, delegation of specific authorities, composition and selection) and the pace and sequencing of change.

Where there is variance in opinion, there is a need for evidence. That is exactly where the remaining Retro tasks—especially Phase 3—can add value, if there is a formal pathway for their outputs to be considered, adopted, or explicitly rejected.

Without such a pathway, ENS risks commissioning serious evaluative work and then leaving the resulting recommendations in the “nice report, no follow‑up” bucket. Given how much of the current crisis stems from important questions being left undecided, repeating that pattern would be a missed opportunity.

Possible Options

From the Retro team’s perspective, there are several ways to proceed:

1 Advisory Body approved (recommended).

· The Advisory Body works with the Retro team to produce a summary readiness assessment focused on the proposed expanded Foundation Board: key gaps, enabling conditions, and required actions to make it capable of solving the challenges identified in the Retro.

· Phase 3 then incorporates the full results of this readiness assessment and produces a focused set of prioritized recommendations explicitly designed to “set up” the new Board (and the wider governance system) for success.

· After delivery and discussion of the final report, the Advisory Body has a clear mandate to propose which recommendations should be approved, adapted, or formally rejected, creating a concrete decision pathway.

2 No Advisory Body; Phase 3 proceeds as planned but assumes an expanded Foundation Board.

· The Retro team produces final recommendations, including a readiness‑style analysis for the Board, but without the benefit of Advisory Body input and without a clear route for those recommendations to move into implementation.

· This still improves ENS’ understanding of its governance risks and needs, but the ROI is limited by the absence of a structured adoption process.

3 No Advisory Body; Phase 3 proceeds without assuming any particular structure.

The Retro team delivers final recommendations focused on accountability, transparency, treasury oversight, and sanctions that are compatible with multiple structural options, given that the Foundation Board is still a proposal and current WGs expire in June.

This keeps the work maximally flexible, but leaves ENS to redo much of the “readiness” and implementation planning on its own later.

We strongly recommend Option 1.

The reason is simple: any governance reform of the scale currently being discussed will need, at minimum, a readiness assessment, reform monitoring framework, risk management baseline, and a way to track whether new structures are actually solving the core problems. If we do as much of this as possible in Phase 3—linked to a concrete Advisory Body with a clear remit—ENS can “import” that work directly into implementation instead of commissioning this work as part of the eventual term investments require to enable reform success.

Option 1 therefore:

• Improves the focus and usefulness of the Phase 3 report.

• Completes a meaningful portion of the work ENS will have to do anyway if it proceeds with major structural reform.

• Provides a formal pathway for recommendations to be considered and adopted, instead of relying on ad‑hoc follow‑through.

Why this needs to be a long‑term investment, not a one‑off fix (the ICANN precedent)

A useful, if imperfect, analogue is ICANN during the IANA stewardship transition ( we were considering a full case study as part of the Retro but wanted to bring in some of the relevant findings we did find not as a perfect comparison but as a useful demonstration of the need for longer term thinking/investment to make reforms successful and not a one off). ICANN could not simply “announce” a new structure and expect legitimacy; the transition included multistakeholder community designing and adopting a robust accountability and transparency packages that required years of monitoring and sustained investment hat included:

• New community powers to challenge or block board decisions.

• Stronger independent review and reconsideration mechanisms.

• Clearer separation of policy development, implementation, and oversight functions.

• Formalized bylaws and documentation of how core decisions would be made and challenged.

Crucially, this was not handled as a cosmetic or one‑cycle patch. It was a multi‑year process that combined:

• A defined, independent accountability workstream.

• Structured community advisory and review mechanisms.

• Iterative refinement and monitoring of the new arrangements over time.

The result is that the IANA transition and associated reforms are now widely seen as a governance upgrade that made ICANN more resilient, legitimate, and fit for purpose—not just a response to a one‑off crisis.

ENS is obviously a different system, but the lesson is similar: when an institution stewards critical naming and routing infrastructure for the internet, “light‑touch” governance tweaks are rarely enough. The institutions that succeed treat governance reform as a multi‑year, resourced commitment, backed by advisory structures, clear accountability mechanisms, and a willingness to measure and adjust.

Option 1 moves ENS in that direction. It ties structural reform discussions to:

• A concrete, time‑bound evaluation (Phase 3).

• A readiness and risk assessment oriented around the new Board.

• A defined Advisory Body mandate to move from “diagnosis” to actual decisions.

In Summary:

To summarize our position from the Retro side:

• The research clearly supports the view that ENS needs serious governance reform and longer term thinking , not one off adjustments.

• The dashboard and Phase 3 work can materially support the design and implementation of any chosen structure, including an expanded Foundation Board.

• The DAO will get the highest ROI on the remaining Retro tasks if there is a formal pathway—via an Advisory Body—for those recommendations to be refined with community input and then brought to a decision.

We are committed to making the Phase 3 work as directly useful to ENS as possible. We are happy to iterate on the details of the Advisory Body’s scope and composition in this thread, but we would strongly encourage ENS to treat this as the starting point of a long‑term investment in governance capacity, not an isolated clean‑up exercise.

The Retro team is here to help. Let us know how we can best to so.