ByAUJay
Creating Your Own DAO: Technical Stack and Governance Templates
A Hands-On Guide for Decision-Makers
Ready to Dive into the World of DAOs?
Let’s get you all set up with a solid architecture, hook up the right modules, and kick things off with some secure defaults. Below, you’ll find some great stacks, essential parameters, and templates that actual teams are using on the mainnet right now.
Summary
In this post, we're getting into the nitty-gritty of three awesome DAO templates you can check out: the on-chain Governor, Snapshot+Safe, and a Nouns-style method. We're going to break down all the essential details like parameters, modules, and how to get things up and running. Plus, we’ll cover some important stuff like identity/Sybil resistance, treasury streaming, choosing the right L2, security practices, and legal wrappers. With all this info at your fingertips, you’ll be all set to launch your DAO in just 90 days, feeling confident every step of the way!
Before You Start: Chain, Accounts, and Risk Envelope
- When it comes to governance execution, it’s usually better to go with an L2 unless you really need that solid L1 security for every single vote. With Ethereum’s Dencun (EIP‑4844) set to launch in March 2024, the cost of typical L2 votes has dropped to just a few cents, making on-chain voting super affordable for most DAOs. After digging through industry trackers and analyses post-Dencun, it looks like standard L2 transaction fees are typically under $0.10, though you might see some spikes when things get busy. (beincrypto.com)
- Be sure to take a look at your target L2's decentralization stage and how it manages exits. According to L2BEAT’s Stages Framework (with updates for 2025), for Stage 1, there should be at least a 7-day challenge period for optimistic rollups, along with clearly defined constraints for the Security Council. This info will give you a better sense of the governance and treasury risks, plus help you establish realistic timelines for withdrawals. Check it out here: (forum.l2beat.com)
- Jump into the world of Safe smart accounts for your treasury and operational wallets, and don’t forget to add some cool modules to enhance your experience:
- Check out the Zodiac Roles Modifier to give you finer control with parameter-based permissions. You can set up things like rate limits, function-level access, and even condition trees. And if you’re looking to audit everything, there’s an SDK/subgraph available. (zodiac.wiki)
- Optional: Think about handing over day-to-day tasks to an execution account or role that has a lower threshold, while keeping a higher-threshold “root” Safe for those important updates. (docs.roles.gnosisguild.org)
Template 1 -- Full On‑Chain Token Voting (OpenZeppelin Governor + Timelock + Tally)
Check this out when you need on-chain governance that's not just enforceable but also transparent and adjustable.
- Core contracts
- You'll be working with OpenZeppelin's Governor and Votes (either ERC20Votes or ERC721Votes), along with a Timelock. You can also throw in some handy modules like PreventLateQuorum, Settings, and Proposal Guardian. With the latest release of OZ v5, you've got the option to use counting modules (both fractional and overridable) and the ERC‑6372 clock for those timepoint-based snapshots. For all the nitty-gritty details, check this out: (docs.openzeppelin.com)
- Frontend/indexer
- Tally takes care of indexing the OZ Governor state automatically, keeping tabs on parameter changes and quorum issues. Plus, it’s got your back with PreventLateQuorum and ProposalExtended events. To make everything easier, you can use Tally’s open-source governor deployer for deployment. Check out more details here: (docs.tally.xyz)
- Suggested starting parameters (feel free to tweak based on your token distribution)
- Voting delay: Aim for around 1-3 days. This gives everyone a chance to make those last-minute delegations.
- Voting period: Set it for about 5-7 days to really encourage more people to join in.
- Quorum: You might want to kick off with a smaller quorum, like 2-5% of the eligible voting power. You can always adjust this as delegation grows. Just for some context, the OZ docs mention that a typical quorum fraction is around 4%. (docs.openzeppelin.com)
- Proposal threshold: Keep this between 0.1-1% to help minimize spam; if your treasury gets bigger, you might want to think about raising this.
- Timelock delay: A window of 2-3 days usually works well, giving enough time to monitor and respond to any vetoes or guardian actions.
- Live Parameter Example
- Take a look at Scroll’s public Governor (supported by Agora). It operates with a Voting Delay of 3 days, a Voting Period of 7 days, a Timelock of 3 days, and a proposal threshold set at 5%. It also makes a clear distinction between standard and supermajority thresholds. This is a great reference to check out! (scroll.io)
- 2025 Upgrade Notes (Emerging Best Practice)
- Lately, some DAOs have been opting to exclude Abstain votes from their quorum calculations. This move aims to tackle those tricky situations where too many abstentions mess with the passing thresholds. Agora has put forth some suggestions for Optimism’s governor regarding this. Check out the details here: (gov.optimism.io)
- Flexible Voting (ScopeLift): This feature allows delegates (including smart contracts) to distribute their voting power across For, Against, and Abstain. It’s pretty useful for tokens that generate yield or come from bridged assets. You can find it as an extension path in OZ, and it's gaining traction in major governor upgrades throughout different ecosystems. Dive deeper into it here: (scopelift.co)
- Concrete Deployment Checklist
- Kick things off by deploying your ERC20Votes token with checkpoints. After that, it’s time to roll out the Governor, including Settings, PreventLateQuorum, and TimelockControl. Don't forget to link your Treasury Safe as the Timelock executor! Once you've got that sorted, go ahead and publish your parameters and guardian policies. And hey, before you wrap things up, make sure to double-check Tally compatibility--think events and clock mode. For all the important details, check out the full scoop here: (docs.openzeppelin.com)
When to Choose This Template
This template is just right for Protocol DAOs and any projects that really want to make sure everything runs smoothly. It offers enforceable execution, on-chain auditability, and strong, upgradeable rules that you can count on.
Template 2 -- Off‑Chain Voting + On‑Chain Execution (Snapshot + Reality/“SafeSnap”)
Use this when you want a smooth gasless voting experience and need to guarantee that on-chain execution is safe with a multisig or Smart Account.
- Components
- Snapshot makes it super simple to vote without gas fees! You’ve got over 400 strategies to pick from, and if you're feeling adventurous, you can mix and match up to 8 of them. And if you’re a Pro user, you get to play around with up to 10 strategies! Plus, there are some optional delegation strategies if you want to take it up a notch. Check it out here.
- The Zodiac Reality Module, often called SafeSnap, lets you convert approved Snapshot proposals into Safe transactions once the oracle gives its thumbs up and after a little cooldown. You can adjust stuff like bonds, liveness, and set a post-resolution cooldown (usually about 24 hours). If you want to dive deeper, learn more here.
- Strategy Tips
- Consider mixing things up with erc20-votes, erc20-balance-of, NFT balances, or even a combo of weighted multi-strategies. Setting up proposer/voter allowlists and minimum scores with Snapshot validators is also a savvy move.
- If you're relying on delegation, ensure your space is using a delegation-aware strategy; otherwise, your delegation efforts might not get the recognition they deserve. You can find more info here.
- Operations Guardrails
- It's super important to ensure that the “transactions” payloads in Snapshot match up with the multisend bundle that the Reality module is about to run. Setting up some solid bonds can help keep those silly claims at bay, and having a playbook on hand to invalidate any sketchy Reality answers through the Safe is definitely a smart move. If you're looking for more details, check it out here.
When to Choose This Template
Check out this template if your project is all about:
- User Experience (UX): It's all about crafting a seamless and enjoyable experience for your users.
- Regular Off-Chain Polling: Your ecosystem depends on consistent off-chain polling to collect valuable insights and feedback.
- Progressive Decentralization: You’re on a journey toward gradually embracing decentralization while maintaining a good balance.
- Safe-Backed Treasury: Your treasury is backed by a trustworthy Safe system, ensuring security and reliability.
This template might be exactly what you're looking for!
Template 3 -- Nouns‑Style On‑Chain Auction DAO (Builder)
When you're on the hunt for ongoing membership issuance through auctions, keep an eye out for a simple 1‑NFT‑1‑vote system. Plus, you'll want a proposal process that gives off vibes similar to a constitution.
- Basics
- Continuous auctions take place every day, which is a great way to support the treasury. Every dollar from these sales goes directly to the DAO. Plus, there’s a cool option for founders to get distributions on regular schedules. The builder provides no-code launch flows and governance scaffolding to make things easier. Give it a look at (nouns.com)!
- Safety Valve (V3 Fork/Ragequit Pattern)
- So, with Nouns V3, there’s this cool new fork mechanism. If 20% of a group decides to fork, the DAO will hit pause on spending for about a week. After that, those who fork create a brand new DAO, and the assets get split up based on ownership. Plus, anyone in the forked DAO has the option to “rage quit” and take their funds with them. This really changes the game when it comes to governance risks for holders. If you want to dive deeper into this, check out the full story on (coindesk.com).
When to Choose This Template
This template is just right for community-driven brands or public goods DAOs that want a dependable way to issue tokens, straightforward governance, and a little safety net to lean on.
Identity, Eligibility, and Sybil Resistance
- The Human Passport, which you might remember as Gitcoin Passport and is now part of the human.tech suite, offers a cool Sybil scoring system built on robust models. It's already making waves across 120+ projects, safeguarding over $430 million in capital flow! It's an awesome tool for managing proposal rights or adding extra weight to votes. Take a look here.
- MACI, which stands for Minimum Anti-Collusion Infrastructure, focuses on keeping voting private and making it tough to bribe voters. It's starting to catch on in grant programs and retroactive funding rounds, particularly for those crucial elections. Check out the details on GitHub.
- With EAS (Ethereum Attestation Service), you can put “eligibilities” right on the blockchain. Imagine tags like “KYC‑verified contributor,” “Badgeholder,” or “meets program criteria”--pretty cool, right? This feature is super useful for managing who can create proposals or giving extra weight to votes. There are already some live deployments on mainnets and L2s, and you can even check them out using public explorers. Want to dive deeper? Find out more here.
- So, Snapshot strategies and validators can tap into ERC20 balances, NFTs, EAS attestations, and whitelists. If you combine these with Passport scoring, you can build some pretty cool filters. For more details, check out the official docs.
Emerging Practice: Publish Attestations for Roles
Think about putting out attestations for different roles, like being a “Budget Board member,” and automating rights with Hats or Zodiac Roles. Once a role runs out, it's super easy to revoke access, which means you can promptly take away any proposal or voting powers linked to that role. For more info, dive into the Hats documentation.
Roles and Execution: Programmatic Permissions That Scale
- Zodiac Roles Modifier on a Safe: This handy tool lets you set up roles and tweak function parameters. For example, you can limit spending approvals to amounts below a certain threshold or direct calls to specific targets using a designated selector. Plus, you can manage rate limits and allowances, too. Everything is easy to handle via the SDK, subgraph, and the Roles app. It’s a great way to reduce signer fatigue while maintaining strong control measures. Take a look here.
- Hats Protocol: Think of this as your go-to solution for managing roles through non-transferable ERC-1155 “hats.” It comes loaded with handy features like automated eligibility checks and revocation modules, which are perfect for things like elections, EAS attestations, and keeping tabs on token balances. There’s even a smart account per role (ERC-6551) that gives you auditable and revocable powers. You can easily associate roles like “Committee,” “Program Manager,” or “Signer” with these hats, allowing you to connect permissions seamlessly across both on-chain and off-chain systems. If you're curious and want to dive deeper, check it out here.
The “Routine Ops” role is all about keeping things running smoothly. It can take care of rebalancing stablecoins, managing payroll streams, and topping up program wallets. If anything steps out of line or goes over the set limits, it’ll be bumped up to the core Safe for review. Want to dive deeper? Check it out here: (docs.roles.gnosisguild.org)
Treasury Ops: Streaming, Vesting, and Payments
- Sablier v2/v3 for vesting and scheduled distribution:
Sablier's got some pretty cool features like their non-linear “Lockup Dynamic” curves, cliffs, tranched unlocks, and those nifty per-stream NFTs (ERC-721). It really simplifies grants, making them easy to understand, transfer, and even use as collateral. They've put together some solid gas benchmarks and documented stream shapes for you. Plus, their bulk creation tool can manage hundreds of recipients at once! Want to dive deeper? Check it out here. - Superfluid for real-time, per-second streaming:
If you’re on the hunt for a way to handle salaries, rewards, or subscriptions, Superfluid might just be your new best friend! It leverages Super Tokens and forwarders to allow for one-to-many distributions. And the best part? It’s all about that composability with contracts, making it a great fit for ongoing contributor payments and DAO-native DCA programs. Check out all the juicy details here.
Practical Split
When it comes to handling your funds, you might want to check out Sablier for vesting and one-off cliffs. It's pretty handy! On the other hand, Superfluid is a solid choice for continuous payroll and rewards--it just makes life easier. Just remember to keep both of them under role-gated Safe control. And hey, don’t overlook the importance of indexing those streams to stay on top of everything!
Data and Observability
- You can keep an eye on governance events and treasury activities with The Graph. Back in 2025, they wrapped up their “Sunrise” phase and successfully transitioned all subgraphs to a decentralized indexer network. Now, there are thousands of subgraphs churning through hundreds of millions of queries every month across more than 55 chains. This makes it super easy to handle proposals, votes, delegates, role grants, and payment streams. Take a look at the details over on The Block.
- Interested in creating subgraphs with AssemblyScript? You can totally set that up for your Governor, Timelock, Snapshot mirrors, and streaming contracts. And the best part? You can deploy and query everything using GraphQL right from your governance portal. Check it all out on The Graph's blog.
Security and Runtime Operations
- Timelock Roles: It's important to limit the roles of proposer, executor, and admin according to OpenZeppelin's guidelines. Designate the Timelock as the executor for the Governor, and make sure the admin is self-owned. And hey, remember to renounce any temporary deployer admin rights right away! (docs.openzeppelin.com)
- Monitoring and Transaction Operations
- OpenZeppelin Defender is still going strong with its relayers and monitors. Just a quick note: they stopped accepting new sign-ups on June 30, 2025, and they’ve got plans to close it down by July 1, 2026. So, it’s definitely worth starting to think about migrating to OSS relayers/monitors or checking out other vendors during 2025-2026. You can find more info here.
- Don’t forget to check out the Forta Scam Detector and its related bots. They're great for getting some real threat intel on EOAs and contracts. It’s a smart idea to integrate this into your operations so you can catch any shady players before making treasury moves. More details can be found here.
- Late-Quorum Griefing: Turn on PreventLateQuorum to keep the voting period open if quorum is reached right at the end. This way, everyone has the opportunity to respond in time. (docs.openzeppelin.com)
- Multisig Hygiene: Create separate “root” and “ops” Safes with a 3/5 and 2/5 setup, and don’t forget to use role constraints. It's crucial to set spending limits and define conditions for every transaction. For better tracking, log your batched transactions using Zodiac Pilot. Check out the details here: (zodiac.wiki)
Legal Wrappers That Align With DAO Mechanics (not legal advice)
- Wyoming DAO LLC: This one’s pretty neat--it lays down specific rules just for DAOs, so you can actually use terms like “DAO,” “LAO,” or “DAO LLC.” On top of that, it asks for smart contract identifiers in your articles. If you want something that jives with US laws, this is definitely a solid option to explore. (law.justia.com)
- Utah “LLD/DAO” entity (effective Jan 1, 2024): Utah is making waves as it rolls out the first dedicated DAO entity in the US--it's a step beyond your typical LLC. This fresh setup comes packed with clear by-laws, and it even includes sections on handling failure events and taxes. If you're on the lookout for a US-based option that’s tailor-made for DAOs, this could be the perfect fit for you. You can kick off the registration process at the Department of Commerce. Check it out here: (commerce.utah.gov)
- Marshall Islands DAO LLC (RMI): The Marshall Islands are in the mix too! They recognize both for-profit and non-profit DAO LLCs, which is pretty cool. They've streamlined the registration process, reduced certain liabilities, and even clarified token statuses in some situations. It’s a great option for international, token-focused DAOs looking to manage subDAO series. If you're interested, definitely reach out to MIDAO support for more info! Check out the full scoop here: (cointelegraph.com).
Parameter Presets You Can Use Tomorrow
- Small pilot (≤200 holders, L2)
- votingDelay: 1 day; votingPeriod: 5 days; quorum: 2%; proposalThreshold: 0.1%; timelock: 48h; PreventLateQuorum: on; guardian: 2‑of‑3 Safe for cancel only.
- Mid-size (1k-10k holders)
- votingDelay: 2-3 days; votingPeriod: 7 days; quorum: 3-4%; proposalThreshold: 0.25-0.5%; timelock: 72h; Flexible Voting; Snapshot mirror for signaling; Snapshot-to-on-chain upgrades disabled. Check out the details here.
- Big treasury (over $50M)
- votingDelay: 3-5 days; votingPeriod: 7-10 days; quorum: at least 5% with some dynamic adjustments; proposalThreshold: starting from 1%; timelock: 3-7 days; a supermajority is a must for any high-risk moves; there’s a separate security council, or veto that’s limited by time and has a clear scope; we’ve got bicameral checks in place for major upgrades (check out Optimism’s Token/Citizens Houses concept). (community.optimism.io)
Bicameral and Program Governance: Copy the Optimism Pattern
- Let’s break things down a bit: we’re talking about separating the “token house” for economic stakeholders from the “citizens’ house” where everyone’s voice matters equally--one person, one vote. This split could help us reduce the risk of capture and keep our focus on what really benefits the public. With Optimism’s approach, resource allocation happens through Retro Funding, giving citizens a bit of power with veto rights on certain upgrades. By 2025, we’re aiming for a shift towards rewards that are ongoing and based on real metrics. Plus, it might be worth considering a citizens-style chamber for grants. Check it out here: (community.optimism.io)
90‑Day Execution Plan (what we run for clients)
- Days 1-7: Start your journey by picking the blockchain you want to work with and setting up your treasury, including things like root and ops Safes. You'll also need to nail down your legal structure and choose which Template to go with (1/2/3). And hey, while you're at it, make sure to draft your governance charter and whip up a risk matrix!
- Days 8-21: Now’s your chance to roll out your token (ERC20Votes) or if you’re more into the NFT side of things, consider a Nouns-style project. Get your Governor, Timelock, and Safe up and running; don’t forget to enable PreventLateQuorum and index the subgraph. If you’re going with template 2, make sure to connect Snapshot too. And hey, remember to publish those docs!
- Days 22-35: Alright, it’s time to dive into creating your Roles and Hats maps. Don’t forget to bring in Passport/EAS for eligibility checks. If you find it necessary, go ahead and brainstorm some Snapshot strategies or look into Governor counting. And hey, make sure to do a testnet dry run of those proposals before going live!
- Days 36-60: This phase is all about getting a handle on treasury operations. You’ll want to set up Sablier/Superfluid for payroll and grant streams, plus allocate your budgets for sub-Safes. Don't forget to stay on top of monitoring using Forta, and wrap up your relayers while getting those operations going!
- Days 61-90: At last, you’re diving into your first governance cycle! It’s time to roll out one routine proposal and one with a lot of potential impact. Make sure to try out the cancel/guardian features, run a post-mortem afterward, and adjust the quorum, thresholds, and timelocks according to the participation metrics you see.
Pitfalls to Avoid (from recent mainnet launches)
- Counting abstentions in the quorum can certainly stir up some tricky situations. Maybe we should consider removing them from the calculations, much like the recent updates from the governor. You can read more about it here.
- Keep an eye on those misconfigurations when it comes to Snapshot delegation! If you're diving into the delegation UI without a clear, delegation-aware strategy, the delegations you vote on just won’t hold up. Want to know more? Check out the details here.
- Keep an eye on those under-specified parameters for SafeSnap and Reality. It's super important to set up reasonable bonds, liveness, and cooldowns. And hey, remember to jot down those invalidation playbooks! You can dive deeper into this here.
- Remember that the risks at L2 can be a bit unpredictable--don’t just assume that exits will be instant. It's super important to align your treasury runway and incident response with your rollup's challenge and exit windows, along with the Stage designations. For more info, check the details here.
- Lastly, make sure you take role automation seriously! If you overlook linking permissions to revocable roles (like Hats/Zodiac Roles), you might find yourself with too many signers and some pretty shaky operations. You can dive deeper into this here.
Appendix: Concrete Examples You Can Lift
- We've got the on-chain Governor parameters all lined up with Scroll now! VotingDelay is set to 3 days, VotingPeriod is 7 days, Timelock is also 3 days, and the Threshold stands at 5%. Plus, we’ve made some tweaks to the quorum for delegation and added a handy feature to PreventLateQuorum. For more info, take a look here.
- For Snapshot + SafeSnap, we're rolling with strategies like [erc20-votes, with‑delegation]. Just a heads up, there's a 24-hour cooldown for Reality, and the bond is set to be three times the median L2 transaction. We’ve got transactions all set up as multisends, and there’s also an emergency invalidate runbook in place in the Safe. You can dive into all the details here.
- We've put some Nouns-style fork guardrails in place! We set a fork threshold at around 20%, added a freeze period when things get triggered, and made room for a fork DAO rage-quit. And hey, make sure to jot down the art and descriptor dependencies that our auditors highlighted. If you want to dive deeper into the details, check it out here.
If you want an easy setup with playbooks tailor-made for your treasury size, compliance requirements, and user base, then 7Block Labs is here for you. They can help you kickstart one of these templates, complete with audits, operations, and governance user experiences that your stakeholders will actually appreciate.
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