Dolomite Governance

Overview

Dolomite's governance system empowers veDOLO holders to shape the protocol's future. Governance decisions are structured around defined proposal types, which are the key areas the DAO can vote on:

Asset Listing/Delisting
Tokenomics Changes
Risk Parameter Updates
Treasury Allocations
Incentive Program Changes

The DAO is represented as a legal entity in the Marshall Islands, with Dolomite Ltd (BVI) as the token issuer, and the Dolomite Foundation (Cayman Islands) serving as a steward. Leavitt Innovations is an entity contracted by the Dolomite Foundation for development and maintenance of the protocol.

While asset listings and risk parameter updates can be voted on through the DAO, the operators of the protocol can also perform these tasks for the purpose of managing the protocol. The DAO is best utilized for larger tasks such as updates to tokenomics, treasury, and incentives.

Voting Process

Dolomite governance flows from community discussion to formal execution, with veDOLO vote weight determining participation rights at each stage.

Proposal Drafting – Community members or DAO participants with enough veDOLO vote weight prepare a proposal.
Discussion – Proposal is posted in the Governance Forum on Discord for community feedback. Role-based permissions (from veDOLO holdings) determine whether you can propose, comment, or react.
Temp Check on Discord – A system will be designed to run temperature checks on proposals within the Governance Forum. This may be gated to veDOLO holders or open to all for feedback.
Quarterly Proposal Compilation – All proposals from the prior three months that pass the temp check are bundled together for a single quarterly vote. veDOLO holders can then vote yes/no on each proposal in the bundle.
Quarterly On-Chain Vote (BeraVote) – Voting takes place once per quarter on BeraVote. This ensures veDOLO holders only need to concentrate on voting four times per year, while still enabling active participation in proposal development year-round.
Execution – Passed proposals are implemented by Leavitt Innovations, LLC, the operating company that manages the Dolomite protocol.

Launch parameters:

Voting period: ~7 days
Quorum: 5% veDOLO supply
Proposal threshold: pass temp check on Discord

Governance Forum Access & Roles

The Dolomite Governance Forum is hosted on Discord and integrated with Galxe for wallet verification. Your veDOLO balance determines your role and permissions:

1M+ veDOLO → Can create proposals.
10k+ veDOLO → Can comment on proposals.
1k+ veDOLO → Can upvote/react to proposals.
No veDOLO → Read-only access.

How to link your wallet & get a role:

Join the Dolomite Discord
Verify your humanness
Link your Galxe account in the Bot Commands channel
1. Verification of wallet ownership for wallet linking is performed through Galxe
Your role updates automatically based on veDOLO holdings in your Galxe linked address

Your exact voting weight can be viewed anytime on the veDOLO page.

Proposal Templates

Template with details of each section: Template

If your proposal is too long to fit into a Discord forum post, split it into two pieces and put the second piece in the first reply to your post

Formatted for Discord:

# Title

[DIP-X] List ARB as a Collateral Asset on Arbitrum

# Author(s)

Include name(s), role(s), and affiliation (e.g., team member, community member, partner)

# Date

YYYY-MM-DD

# Related Discussions

Link to any relevant forum posts, Discord threads, or Temp Check discussions

# Simple Summary

A brief TL;DR (2-3 sentences) describing what this proposal intends to do and why it matters to Dolomite.

# Abstract

A high-level, non-technical overview of the proposal. Should provide context for the reader, outline the intended change, and summarize the benefits to the Dolomite protocol and community.

# Motivation & Background

Why is this proposal being made?

* What problem does it solve or what opportunity does it capture?
* Why now?
* Include any relevant historical context or community discussions.
* If this affects user experience, security, liquidity, market expansion, or growth, explain how.

# Proposal Type - Asset Listing

# Specification

* Name of asset or assets
* Token address or addresses
* Chains
* Protocol name
* Project website
* Project documentation
* Project security audits
* Project X/Twitter account
* Price oracles that support the asset(s)
* Link to media kit for the asset(s)

# Asset Details

* Is there a lending market that currently supports the asset(s)?
* Is there built-in functionality that you’d like supported? (vesting/staking/voting/rewards/PoL)
* What are the assets? What do they do? Are they yield bearing? How are people using them?
* If the asset(s) are yield bearing, what is the API endpoint where the yield can be retrieved?
* If applicable, do the asset(s) have a redemption mechanism within the protocol? For example, a redemption that can be used in the case of liquidation to convert the asset(s) into a different or more liquid asset in order to repay lenders, in place of using a DEX?
* If applicable, are there any DEXs that list the asset(s)? If so, which ones, and how much liquidity?
* Are there any rewards programs or incentives to drive initial usage to Dolomite?
* How do you see the asset(s) effectively launching and growing in usage on Dolomite?
  * Dolomite will be the first/only lending market for the asset(s)
  * The asset(s) are generally high yielding, and will be of interest for users to hold and use for looping strategies
  * The asset(s) fit well with existing assets on Dolomite, enabling new or more efficient borrowing, lending, looping, and/or strategies
  * The listing will be paired with incentives to build up initial liquidity, enabling more borrowing, after which the interest earned on lending will draw suppliers
  * A strong co-marketing campaign will effectively drive users to supply
  * The initial liquidity will be seeded by your protocol/DAO, which will enable borrowing and strategies, after which the interest earned on lending will draw suppliers
* Additional details and information

# Suggested Risk Parameters

* Max LTV %
* Liquidation Threshold %
* Liquidation Bonus %
* Supply Cap x units
* Borrow Cap x units

# Market Information

* Market cap
* Daily trade volume
* Top trading venues
* Historical volatility
* Holder concentration

# Additional Information & References

* [Dolomite DOLO Mechanics Documentation](https://docs.dolomite.io/dolo/token-mechanics)

Template with details of each section: Template

If your proposal is too long to fit into a Discord forum post, split it into two pieces and put the second piece in the first reply to your post

Example proposal, formatted for Discord:

# Title

[DIP-02] Adjust oDOLO Emissions Distribution Across Chains & Assets

# Author(s)

Dolomite Team

# Date

2025-08-13

# Related Discussions

None

# Simple Summary

This proposal updates the chain-level and asset-level distribution of oDOLO emissions. It reallocates emissions to account for the launch of Botanix and adjusts existing weights to balance incentives across chains and assets.

# Abstract

Currently, oDOLO emissions are allocated across Arbitrum, Berachain, and Ethereum. This proposal modifies the chain distribution to add Botanix and adjust weights on the existing chains. It also updates the internal asset distribution on Berachain to include BYUSD and rebalance existing asset weights.

# Motivation & Background

* Support the launch and growth of Botanix by allocating a portion of emissions to its assets.
* Give greater support to the growth of liquidity on Abitrum.
* Introduce BYUSD to the Berachain rewards mix to deepen stablecoin liquidity.
* Maintain a diversified allocation to reduce reliance on any single asset or chain.

# Specification

**Chain-Level Distribution**

**Old:**
* Arbitrum - 20%
* Berachain - 45%
* Ethereum - 35%

**New:**
* Arbitrum - 30%
* Berachain - 35%
* Ethereum - 30%
* Botanix - 5%

**Botanix Sub-Allocation**
* BTC - 66.66% of Botanix emissions
* USDC.e - 33.33% of Botanix emissions

**Berachain Sub-Allocation**

**Old:**
* HONEY - 22.22%
* USDC - 22.22%
* BERA - 22.22%
* WBTC - 16.66%
* ETH - 16.66%

**New:**
* HONEY - 20%
* USDC - 20%
* BERA - 20%
* WBTC - 15%
* ETH - 15%
* BYUSD - 10%

# Economic & Market Impact

* **Botanix Growth:** Allocation will bootstrap liquidity and trading activity on Botanix.
* **Stablecoin Depth:** BYUSD inclusion strengthens Berachain’s stablecoin market.
* **Liquidity Shifts:** Arbitrum had been receiving a lower share of oDOLO incentives, but with continued strong activity around GM assets, this update seeks to deepen borrowing liquidity and protocol growth on Arbitrum.

# Risks & Considerations

* Reduced emissions to Berachain and Ethereum may affect growth and liquidity.
* Botanix is a newer and less proven chain, so utilizing incentives there has the risk of less return in TVL.
* BYUSD market depth and stability should be monitored to avoid concentration risk.

# Implementation Plan

* Update emissions distribution in rewards smart contracts.
* Update the UI to reflect the incentives available on Botanix.
* Announce the changes to the community with effective date.

# Success Criteria & Metrics

* Change in TVL of affected assets and chains

# Additional Information & References

* [Dolomite DOLO Mechanics Documentation](https://docs.dolomite.io/dolo/token-mechanics)

Template with details of each section: Template

If your proposal is too long to fit into a Discord forum post, split it into two pieces and put the second piece in the first reply to your post

Example formatted for Discord:

# Title

[DIP-03] Use Treasury as Collateral to Borrow $500k of WBTC on Berachain, Then Supply on Arbitrum

# Author(s)

Dolomite Team

# Date

2025-08-29

# Related Discussions

N/A

# Simple Summary

This proposal would use treasury USDC.e on Berachain as collateral to borrow WBTC, then bridge that WBTC to Arbitrum to supply on Dolomite. The goals are to arbitrage the rates (low to borrow on Berachain, high to supply on Arbitrum) and increase available borrow liquidity on Arbitrum to support further gmBTC and gmBTC-USD looping.

# Abstract

Dolomite’s treasury currently holds several million dollars of stablecoins on Berachain, accumulated from the options airdrop and oDOLO execution. This proposal would utilize those stablecoins from the treasury that are already on Dolomite on Berachain as collateral to borrow $500k of WBTC, which would then be bridged to Arbitrum to be supplied on Dolomite there.

This will arbitrage the rates across chains, borrowing where rates are cheap on Berachain (0.27% APR at time of writing) and supplying where rates are high on Arbitrum (3.13% APR at time of writing), earning yield for the protocol. Additionally, this will increase lending yield for WBTC suppliers on Berachain, and by boosting the supply of WBTC on Arbitrum, borrow rates will decrease, allowing for more borrowing to perform gmBTC and gmBTC-USD looping strategies. This increases protocol activity, grows TVL, and strengthens Dolomite’s positioning as the premier protocol on Arbitrum for those interested in BTC.

# Motivation & Background

**Why is this proposal being made?**
* The difference in the rates between Berachain and Arbitrum currently present an opportunity.
* Current WBTC supply on Arbitrum is constrained, resulting in higher borrow rates, and limiting the amount of gmBTC and gmBTC-USD looping that can be performed.
* High borrow rates reduce the attractiveness of gmBTC and gmBTC-USD looping, limiting user activity and protocol growth.
* Higher WBTC lending yield on Berachain benefits users there and encourages further deposits.

**Why now?**
* Borrow demand for BTC on Arbitrum is consistently high.
* Dolomite is positioning as a leading protocol on Arbitrum, and much of that usage and growth comes from enabling GMX GM asset looping. Further enabling these loops will help Dolomite maintain and grow its position even as other lending protocols deploy on Arbitrum.
* The treasury has sufficient USDC.e reserves on Berachain to support this move, and it presents an opportunity for the treasury to earn WBTC yield.

# Proposal Type — Treasury Management & Allocations

**Scope of Change**
* Borrow WBTC on Berachain
* Move WBTC to Arbitrum
* Deploy liquidity into Dolomite

**Specification**
* **Current Treasury Assets & Location:** USDC.e on Berachain
* **Target Allocation:**
  * Amount: $500k WBTC
  * Destination Chain: Arbitrum
  * Deployment: Supply WBTC into Dolomite Arbitrum WBTC market
* **Execution Method:**
  * Borrow $500k WBTC on Berachain
  * Bridge $500k WBTC from Berachain → Arbitrum (trusted bridging solution TBD)
  * Deposit WBTC into Dolomite Arbitrum
* **Operational Requirements:**
  * Treasury multisig executes bridge, swap, and deposit
* **Parameters:**
  * Allocation Size: $500k
  * Deployment: Ongoing until governance decides to unwind or reallocate

# Economic & Market Impact

* **Lower Borrow Rates:** Increased WBTC supply directly reduces borrow rates, making gmBTC and gmBTC-USD looping more attractive (likely temporary, as usage of the WBTC for looping would bring the rate back up).
* **TVL Growth:** In the long run, boosted user activity drives higher deposits and borrows.
* **Treasury Growth:** Arbitrages the lending and borrow rates across Berachain and Arbitrum, earning WBTC yield.

# Risks & Considerations

* **Bridge Risk:** Cross-chain transfers inherently carry bridge security risks.
* **Market Risk:** If rates deviate, the yield arbitrage may become no longer profitable.
* **Liquidation Risk:** If the WBTC price spikes, the value of the debt could become too high relative to the USDC.e collateral.
  * This could be mitigated by making a special exception for the treasury to make it exempt from liquidation. This could be done safely due to the assurance that there is WBTC to pay the debt held by the treasury, just located on Arbitrum.

# Implementation Plan

**Timeline**
* Week 1: Governance approval
* Week 2: Borrow WBTC on Berachain
* Week 2: Bridge WBTC to Arbitrum
* Week 2: Deposit WBTC into Dolomite Arbitrum

**Deployment Steps**
* Treasury multisig borrows $500k WBTC
* Execute bridge to Arbitrum
* Supply WBTC into Dolomite

**Responsible Parties:** Treasury multisig signers, Dolomite core contributors  
**Required Approvals:** Governance vote

# Success Criteria & Metrics

* Reduction in WBTC borrow rate on Arbitrum in the short term
* Increase in WBTC supply rate on Berachain in the short term
* Increase in gmBTC and gmBTC-USD looping activity in the long term
* Growth in Dolomite Arbitrum TVL
* Growth in Dolomite Berachain TVL
* Long-term ROI of treasury allocation (WBTC yield from arbitrage)

# Additional Information & References

* [Dolomite Documentation](https://docs.dolomite.io)  
* [Dolomite market stats dashboards](https://dune.com/dolomite_io/dolomite-analytics)

Governance Tools

Discord Governance Forum – Primary discussion hub
Bera Vote – Quarterly on-chain proposal voting

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# Title [DIP-X] List ARB as a Collateral Asset on Arbitrum # Author(s) Include name(s), role(s), and affiliation (e.g., team member, community member, partner) # Date YYYY-MM-DD # Related Discussions Link to any relevant forum posts, Discord threads, or Temp Check discussions # Simple Summary A brief TL;DR (2-3 sentences) describing what this proposal intends to do and why it matters to Dolomite. # Abstract A high-level, non-technical overview of the proposal. Should provide context for the reader, outline the intended change, and summarize the benefits to the Dolomite protocol and community. # Motivation & Background Why is this proposal being made? * What problem does it solve or what opportunity does it capture? * Why now? * Include any relevant historical context or community discussions. * If this affects user experience, security, liquidity, market expansion, or growth, explain how. # Proposal Type - Asset Listing # Specification * Name of asset or assets * Token address or addresses * Chains * Protocol name * Project website * Project documentation * Project security audits * Project X/Twitter account * Price oracles that support the asset(s) * Link to media kit for the asset(s) # Asset Details * Is there a lending market that currently supports the asset(s)? * Is there built-in functionality that you’d like supported? (vesting/staking/voting/rewards/PoL) * What are the assets? What do they do? Are they yield bearing? How are people using them? * If the asset(s) are yield bearing, what is the API endpoint where the yield can be retrieved? * If applicable, do the asset(s) have a redemption mechanism within the protocol? For example, a redemption that can be used in the case of liquidation to convert the asset(s) into a different or more liquid asset in order to repay lenders, in place of using a DEX? * If applicable, are there any DEXs that list the asset(s)? If so, which ones, and how much liquidity? * Are there any rewards programs or incentives to drive initial usage to Dolomite? * How do you see the asset(s) effectively launching and growing in usage on Dolomite? * Dolomite will be the first/only lending market for the asset(s) * The asset(s) are generally high yielding, and will be of interest for users to hold and use for looping strategies * The asset(s) fit well with existing assets on Dolomite, enabling new or more efficient borrowing, lending, looping, and/or strategies * The listing will be paired with incentives to build up initial liquidity, enabling more borrowing, after which the interest earned on lending will draw suppliers * A strong co-marketing campaign will effectively drive users to supply * The initial liquidity will be seeded by your protocol/DAO, which will enable borrowing and strategies, after which the interest earned on lending will draw suppliers * Additional details and information # Suggested Risk Parameters * Max LTV % * Liquidation Threshold % * Liquidation Bonus % * Supply Cap x units * Borrow Cap x units # Market Information * Market cap * Daily trade volume * Top trading venues * Historical volatility * Holder concentration # Additional Information & References * [Dolomite DOLO Mechanics Documentation](https://docs.dolomite.io/dolo/token-mechanics)

# Title [DIP-02] Adjust oDOLO Emissions Distribution Across Chains & Assets # Author(s) Dolomite Team # Date 2025-08-13 # Related Discussions None # Simple Summary This proposal updates the chain-level and asset-level distribution of oDOLO emissions. It reallocates emissions to account for the launch of Botanix and adjusts existing weights to balance incentives across chains and assets. # Abstract Currently, oDOLO emissions are allocated across Arbitrum, Berachain, and Ethereum. This proposal modifies the chain distribution to add Botanix and adjust weights on the existing chains. It also updates the internal asset distribution on Berachain to include BYUSD and rebalance existing asset weights. # Motivation & Background * Support the launch and growth of Botanix by allocating a portion of emissions to its assets. * Give greater support to the growth of liquidity on Abitrum. * Introduce BYUSD to the Berachain rewards mix to deepen stablecoin liquidity. * Maintain a diversified allocation to reduce reliance on any single asset or chain. # Specification **Chain-Level Distribution** **Old:** * Arbitrum - 20% * Berachain - 45% * Ethereum - 35% **New:** * Arbitrum - 30% * Berachain - 35% * Ethereum - 30% * Botanix - 5% **Botanix Sub-Allocation** * BTC - 66.66% of Botanix emissions * USDC.e - 33.33% of Botanix emissions **Berachain Sub-Allocation** **Old:** * HONEY - 22.22% * USDC - 22.22% * BERA - 22.22% * WBTC - 16.66% * ETH - 16.66% **New:** * HONEY - 20% * USDC - 20% * BERA - 20% * WBTC - 15% * ETH - 15% * BYUSD - 10% # Economic & Market Impact * **Botanix Growth:** Allocation will bootstrap liquidity and trading activity on Botanix. * **Stablecoin Depth:** BYUSD inclusion strengthens Berachain’s stablecoin market. * **Liquidity Shifts:** Arbitrum had been receiving a lower share of oDOLO incentives, but with continued strong activity around GM assets, this update seeks to deepen borrowing liquidity and protocol growth on Arbitrum. # Risks & Considerations * Reduced emissions to Berachain and Ethereum may affect growth and liquidity. * Botanix is a newer and less proven chain, so utilizing incentives there has the risk of less return in TVL. * BYUSD market depth and stability should be monitored to avoid concentration risk. # Implementation Plan * Update emissions distribution in rewards smart contracts. * Update the UI to reflect the incentives available on Botanix. * Announce the changes to the community with effective date. # Success Criteria & Metrics * Change in TVL of affected assets and chains # Additional Information & References * [Dolomite DOLO Mechanics Documentation](https://docs.dolomite.io/dolo/token-mechanics)

# Title [DIP-03] Use Treasury as Collateral to Borrow $500k of WBTC on Berachain, Then Supply on Arbitrum # Author(s) Dolomite Team # Date 2025-08-29 # Related Discussions N/A # Simple Summary This proposal would use treasury USDC.e on Berachain as collateral to borrow WBTC, then bridge that WBTC to Arbitrum to supply on Dolomite. The goals are to arbitrage the rates (low to borrow on Berachain, high to supply on Arbitrum) and increase available borrow liquidity on Arbitrum to support further gmBTC and gmBTC-USD looping. # Abstract Dolomite’s treasury currently holds several million dollars of stablecoins on Berachain, accumulated from the options airdrop and oDOLO execution. This proposal would utilize those stablecoins from the treasury that are already on Dolomite on Berachain as collateral to borrow $500k of WBTC, which would then be bridged to Arbitrum to be supplied on Dolomite there. This will arbitrage the rates across chains, borrowing where rates are cheap on Berachain (0.27% APR at time of writing) and supplying where rates are high on Arbitrum (3.13% APR at time of writing), earning yield for the protocol. Additionally, this will increase lending yield for WBTC suppliers on Berachain, and by boosting the supply of WBTC on Arbitrum, borrow rates will decrease, allowing for more borrowing to perform gmBTC and gmBTC-USD looping strategies. This increases protocol activity, grows TVL, and strengthens Dolomite’s positioning as the premier protocol on Arbitrum for those interested in BTC. # Motivation & Background **Why is this proposal being made?** * The difference in the rates between Berachain and Arbitrum currently present an opportunity. * Current WBTC supply on Arbitrum is constrained, resulting in higher borrow rates, and limiting the amount of gmBTC and gmBTC-USD looping that can be performed. * High borrow rates reduce the attractiveness of gmBTC and gmBTC-USD looping, limiting user activity and protocol growth. * Higher WBTC lending yield on Berachain benefits users there and encourages further deposits. **Why now?** * Borrow demand for BTC on Arbitrum is consistently high. * Dolomite is positioning as a leading protocol on Arbitrum, and much of that usage and growth comes from enabling GMX GM asset looping. Further enabling these loops will help Dolomite maintain and grow its position even as other lending protocols deploy on Arbitrum. * The treasury has sufficient USDC.e reserves on Berachain to support this move, and it presents an opportunity for the treasury to earn WBTC yield. # Proposal Type — Treasury Management & Allocations **Scope of Change** * Borrow WBTC on Berachain * Move WBTC to Arbitrum * Deploy liquidity into Dolomite **Specification** * **Current Treasury Assets & Location:** USDC.e on Berachain * **Target Allocation:** * Amount: $500k WBTC * Destination Chain: Arbitrum * Deployment: Supply WBTC into Dolomite Arbitrum WBTC market * **Execution Method:** * Borrow $500k WBTC on Berachain * Bridge $500k WBTC from Berachain → Arbitrum (trusted bridging solution TBD) * Deposit WBTC into Dolomite Arbitrum * **Operational Requirements:** * Treasury multisig executes bridge, swap, and deposit * **Parameters:** * Allocation Size: $500k * Deployment: Ongoing until governance decides to unwind or reallocate # Economic & Market Impact * **Lower Borrow Rates:** Increased WBTC supply directly reduces borrow rates, making gmBTC and gmBTC-USD looping more attractive (likely temporary, as usage of the WBTC for looping would bring the rate back up). * **TVL Growth:** In the long run, boosted user activity drives higher deposits and borrows. * **Treasury Growth:** Arbitrages the lending and borrow rates across Berachain and Arbitrum, earning WBTC yield. # Risks & Considerations * **Bridge Risk:** Cross-chain transfers inherently carry bridge security risks. * **Market Risk:** If rates deviate, the yield arbitrage may become no longer profitable. * **Liquidation Risk:** If the WBTC price spikes, the value of the debt could become too high relative to the USDC.e collateral. * This could be mitigated by making a special exception for the treasury to make it exempt from liquidation. This could be done safely due to the assurance that there is WBTC to pay the debt held by the treasury, just located on Arbitrum. # Implementation Plan **Timeline** * Week 1: Governance approval * Week 2: Borrow WBTC on Berachain * Week 2: Bridge WBTC to Arbitrum * Week 2: Deposit WBTC into Dolomite Arbitrum **Deployment Steps** * Treasury multisig borrows $500k WBTC * Execute bridge to Arbitrum * Supply WBTC into Dolomite **Responsible Parties:** Treasury multisig signers, Dolomite core contributors **Required Approvals:** Governance vote # Success Criteria & Metrics * Reduction in WBTC borrow rate on Arbitrum in the short term * Increase in WBTC supply rate on Berachain in the short term * Increase in gmBTC and gmBTC-USD looping activity in the long term * Growth in Dolomite Arbitrum TVL * Growth in Dolomite Berachain TVL * Long-term ROI of treasury allocation (WBTC yield from arbitrage) # Additional Information & References * [Dolomite Documentation](https://docs.dolomite.io) * [Dolomite market stats dashboards](https://dune.com/dolomite_io/dolomite-analytics)