Governance Overview

Notice: OP Airdrop #1 is now available to claim

Click here to claim (opens new window)

Airdrop #1 does not require payment. Stay safe!

The Optimism Collective is a large-scale experiment in decentralized governance. Our Vision (opens new window) is to sustainably fund public goods that improve upon the well-being of the Collective and beyond.

The form and function of this governance is intentionally open-ended, and will evolve with community participation, growth, and learning.

Certain governance rights are granted via OP, an ERC20 token. The Optimism Foundation will work alongside the Collective to shape how the rules of governance evolve over time.

Today we plant a seed. Together we cultivate its growth towards a healthy and resilient commons.

# How is Optimism governed?

Optimism is governed by a collaboration between the Optimism Foundation and the members of the Optimism Collective.

The core governing structure of the Optimism Collective is established as two co-equal chambers: the Token House and the Citizens’ House. These two houses are tasked with balancing short-term incentives with long-term vision in the pursuit of the Optimistic Vision (opens new window).

Venn diagram

The upcoming Airdrop #1 establishes the Token House by distributing OP to thousands of addresses that have engaged in positive-sum, community-oriented behavior. Token holders will be able to vote on the distribution of project incentives as a part of a Governance Fund, protocol upgrades, and more.

Next, the Collective will establish a Citizens’ House to facilitate and govern a process to distribute retroactive public goods funding. Citizenship will be conferred by “soulbound (opens new window)” non-transferrable NFTs, and the set of citizens will grow over time. The mechanism for distributing Citizenships will be determined by the Foundation with input from the Token House.

What is described here is an initial experiment. The specifics of this system will evolve as the Collective grows.

For more information on governance, see the Working Constitution (opens new window).

# How is OP distributed?

19% of initial OP token supply is reserved for user airdrops. 5% of initial supply will be distributed in Airdrop #1, and 14% will be distributed in future drops. We’re just getting started!

25% of initial OP token supply is allocated for Proactive Project Funding. This will be distributed via community governance, KPI-driven incentives, grants programs, and other mechanisms.

20% of initial OP token supply plus inflation is allocated for Retroactive Public Goods Funding. The mechanics of this distribution will be an area of ongoing experimentation.

19% of initial OP token supply is allocated to core contributors.

17% of initial OP token supply is allocated to OP sugar xaddies (aka investors).

For a full breakdown of OP distribution, see the Allocations Overview.

# How does public goods funding fit in?

Today, the Optimism network generates millions in revenue from the small fees users pay to submit transactions. In the future, this income will be supplemented by auctioning off blockspace to non-malicious sequencers.

Instead of all that value being captured by private actors, Optimism treats it as a source of funding for public goods that support the ecosystem.

This provides ongoing funding for public goods beyond the portion of initial token supply allocated as such.

These funds will initially be distributed in keeping with Optimism’s previous rounds of Retroactive Public Goods Funding (opens new window). The Citizens’ House (described above) will be responsible for determining the allocation of these funds.

For details on the dynamics of OP and RetroPGF, see the Economics Overview.

# How do I get involved?

To check your eligibility for Airdrop #1 and claim your tokens visit the airdrop app (opens new window).

Remember, this is the first drop of many. To improve your odds for future drops, get involved:

As always: stay safe and stay Optimistic.