KEY TAKEAWAYS
- Radix launches a community consultation to decide which assets should be included in governance snapshots.
- The initiative aims to define membership eligibility for future community governance processes.
- Participants can vote on various XRD uses, including staking, liquidity provision, and lending.
- Options with over 60% support will be adopted for future governance snapshots.
Radix, a decentralized finance (DeFi) protocol, has launched a community consultation to determine which assets should be included in governance snapshots. This initiative aims to define membership eligibility for potential future community governance processes. The consultation process is detailed here.
Historically, governance votes have primarily considered tokens held in accounts. However, Radix acknowledges that a significant portion of its native token, XRD, is actively used within the ecosystem. This includes staking, providing liquidity in decentralized exchanges (DEXs), lending in markets like Weft or Root, and being locked in time-release contracts.
Currently, Radix includes all these XRD uses in consultations, allowing users to participate without withdrawing liquidity or ceasing DeFi activities. Nonetheless, discussions have emerged about simplifying this approach or ensuring that only long-term holdings, such as staking, are counted. As a result, Radix is conducting a consultation to confirm which assets should be included in future governance snapshots.
Community Input on Asset Eligibility
The consultation seeks to establish a “Safe List” of assets that represent valid voting power. Participants can select any or all of the following options:
1. XRD staked on a top 100 validator, which actively secures the network.
2. XRD staked on any validator, including those outside the top 100, which signals support for specific node runners.
3. Liquid XRD held in an account, not staked or engaged in DeFi.
4. XRD or Liquidity Supply Units (LSUs) in supported DEX pools, where capital provides liquidity.
5. Lent XRD/LSUs, capital supplied to lending markets like Weft or Root.
6. XRD/LSUs in time-lock contracts, such as RadLock, for a fixed period.
For options involving DEX pools, lending, and time-lock contracts, only monitored pools are considered, as there is no default method to capture all positions in all pools or dapps.
Consultation Process and Timeline
The consultation is not a “winner takes all” vote. Instead, it aims to gauge broad community support. Any option receiving over 60% acceptance will be adopted as the standard for future consultations. Options with less than 60% support will be excluded from future snapshots until further notice.
The consultation began immediately and will conclude on Wednesday, February 4th, 2026, at 23:59 UTC. This process allows the community to provide input on what should be considered in vote weight, ensuring that governance reflects the interests of active DeFi users while mitigating the risk of gamification.
Why This Matters: Impact, Industry Trends & Expert Insights
Radix has initiated a community consultation to determine eligible assets for governance snapshots, aiming to refine its decentralized governance processes. This move seeks to balance the inclusion of active DeFi participants without compromising the integrity of governance decisions.
Recent industry reports indicate that institutional participation in DeFi governance is increasing, with traditional finance integrating digital assets into their operations. This trend is evident as Radix explores governance models that incorporate diverse asset uses, aligning with the broader industry shift towards formalized governance structures.
A Zodia Custody report highlights that evolving governance structures in DeFi are crucial for supporting institutional adoption by enhancing risk management and compliance. This supports Radix’s initiative to refine governance asset eligibility, ensuring that governance processes remain robust and reflective of active ecosystem participants.
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