Aave DAO <> Governance House

Title: Aave DAO <> @Governance_House
Purpose: Discussion
Authors: @MatthewGraham, @defijesus and others.
Created: 04.06.2022


Governance House (GH) is a group of DAO members from across the ecosystem who have come together to provide support for the development of its partners within the DeFi ecosystem. This forum post introduces GH to the Aave community.

The Proposal



Ever since DPI was launched on Aave v2, members of GH from Index Coop have been actively contributing to the Aave ecosystem. These community members are enjoying contributing to the Aave ecosystem, are excited about the multi-network future ahead and would like to be more actively involved in supporting Aave. With so many Aave deployments, there is no shortage of opportunity and plenty that can be done to help the community realise its true potential. GH wants to actively contribute to growing the Aave ecosystem, and more broadly growing DeFi.

The Aave community has onboard Gauntlet for risk management, Aave Grants DAO for growing a thriving ecosystem of contributors and Bored Ghosts Developing (BGD) to perform core development. GH has been collaborating with these teams to provide support for the more operational developments across the various markets. As Aave expands, there are many markets to maintain, many tokens across the various networks to list and as the industry advances, many opportunities to innovate and grow. GH members have a proven ability to submit AIPs, have already helped grow Total Value Locked (TVL) and intend to complement the efforts of the BGD initiative to accelerate Aave’s growth trajectory into the future.


The industry is still in its infancy and vibrant with change. As the Aave community continues to pursue the multi chain strategy and ethereum continues to evolve, there becomes an increasing need to evolve with the market. This community led growth requires members from the community to commit to helping grow Aave. BGD is a fantastic example of community led initiative that supports growing Aave.

The Aave community has evolved rapidly in recent years and yet, there are only two teams within the DAO that support the community in a technical capacity. There is a need for more teams to emerge within the community, that have the knowledge, trust and who are aligned with the core values, to meaningfully contribute to supporting the Aave ecosystem. It is not easy to find/build these teams within the rapidly evolving DeFi ecosystem and with the introduction of Aave v3, the opportunities to innovate are vast.

Governance House


Governance House is a newly formed initiative, founded by members of various DAOs, including Index Coop, Aave and others. The purpose is to help solve voter apathy and provide Metagovernance as a Service (MaaS) across DeFi. MaaS intends to enable all community members the ability to progress an idea from concept into implementation through decentralised governance processes. In doing so, GH will utilise its extensive networks, DeFi knowledge, developer resources and voting influence to progress community backed improvement proposals through to implementation.

The grander vision for GH is to become a collaboration hub, with members from leading DAOs across industry all coming together to support the growth of the ecosystem. GH has been working closely with Index Coop, the Aave community, and is now starting to work with the Maker DAO and Balancer soon.

With members who have executed more than 100 meta-governance proposals, GH has a deep appreciation for community engagement and understands the nuances of DAO governance. GH intends to be an active, reliable and impactful delegate for the community. GH, with input from members of various DAOs across DeFi, will provide a high context, unique perspective to Aave in helping the community achieve its goals.

Our Values

At Governance House we believe in being open, building trust through collaboration and realising possibilities together as a team. Our values are at the centre of everything we do. They shape how we act with each other, our partners and help us to achieve our vision of helping communities realise their full potential.

Our foundational beliefs, reflect our values:

  • Transparency/Openness. We believe in open lines of communication and transparency. We share our knowledge and embrace diversity of thought.
  • Security before Speed. The safety of users’ capital is paramount and although moving quickly is desirable, we believe security is by far more important when considering the longevity of the community/industry alike.
  • Trust. We partner constructively and develop close working relationships. We actively listen to the community’s feedback and compromise to find solutions in effort to help the community realise its fullest potential.
  • Integrity. We act honestly and ethically in all dealings. We reinforce a culture of doing what is right.
  • Collaboration. We believe in achieving together and building trust as we strive to deliver the best in all that we do.
  • Entrepreneurial Spirit. We adopt an ‘owner mindset’. We identify opportunities and we take the initiative to pursue new and innovative ways of delivering value.

The Team

There are numerous other contributors to GH, some contributing to the Aave ecosystem and others contributing to other leading DeFi communities. The names below reflect those who wish to share their background/involvement on the forum, who are also founding members of GH and contributing to the Aave ecosystem.

  • Matthew Graham(@MatthewGraham on the forum, @Matthew_Graham_ on Twitter). Contributor to GH, Llama and Index Coop. I am a Mechanical Engineer by trade who coordinates proposals at GH, supports Index Coop with managing finances and Llama with the Aave treasury grant. I have written numerous ARCs on Aave’s governance forum and been involved with all eight of the proposals detailed in a later section. I am currently setting up GH to support the Aave community and currently working on listing DPI and DAI on Aave Arc, several other assets on Aave v2, stMATIC on Aave v3 Polygon and Liquidity Mining on both Aave v2 and Arc market on mainent.
  • DefiJesus (@defijesus on the forum, @eldefijesus on twitter). I am a Software Engineer with 10+ years of building products from zero to one and I have been over 1 year full time working on the EVM. I contribute at Governance House, founded the Buzzed Bear community and also an Index Coop Owl. I am currently writing the payloads for listing DPI and DAI on the Aave Arc market, along with several other assets on Aave v2 on mainnet.

Previous Improvement Proposals

The below provides a list of previous governance submissions that members of GH have been involved in / implemented via the AIP process.

  • Add DPI on Aave V2
    Forum, vote and github.

  • Aave V2 - Liquidity Mining Program (90 days at 30% reduced rate)
    Forum, vote and github.

  • Add Assets to Aave Polygon Market and Update wMATIC Risk Parameters
    Forum and vote.

  • Aave V2 - Liquidity Mining Update (90 days at 30% reduced rate)
    Forum, vote and github.

  • Aave Arc Market - Update Asset Listing Risk Parameters
    Forum, vote and github.

  • ARC: Extend the Safety Module Protection

  • Add DPI to Aave Arc Market
    Forum and github.

  • Add DAI to Aave Arc Market
    Forum and github.

  • ARC Round 4 Liquidity Mining Aave v2 Ethereum Market

  • stMATIC Risk Assessment

Please note some members of GH contribute to Aave in other ways, such as via Llama, and those contributions have been omitted here as they are not specific to GH.

The Project

Governance House intends to complement BGD, Gauntlet, Llama and others who emerge by offering support to help grow the Aave ecosystem. To date, most AIP submissions by members of GH have focused on liquidity mining, asset listings and amending risk parameters. Gauntlet supports some Aave markets and the very skilled BGD team focuses on the more complex upgrades. This creates an opportunity for the GH team to support the community particularly with asset listing proposals, integrations within DeFi, the less complex upgrades and more generally, any request that originates on the governance forum within GH capabilities.

In time, GH would like to progressively take on more responsibility within the community. The rate at which this can happen will be based upon proven capability and with the blessing/guidance from existing developers within the community. We would like to stress, all of the GH payloads are developed with the support of BGD and are reviewed prior to being submitted for the on-chain vote.

The table below provides examples of some of the initiatives that GH intends to support the Aave community.

Task Type Description
Asset listings. Reviewing ARC proposals, initial risk assessment, payload, proposal power and coordinating voting efforts. Sure There are few teams capable of adding new assets. Members of GH have a strong track record in progressing assets from the original ARC to AIP submission. GH will support with new asset lists and maintaining risk parameters on Aave markets not managed by Gauntlet.
Risk Parameter Changes Complimenting the work of Gauntlet where the community requests assistance. Example: wMATIC risk parameter change on Polygon. Sure Similar to asset listings, there are only a few with experience and members of GH have worked with teams to implement these changes in the past. GH will support risk parameter changes across markets not currently supported by Gauntlet and will be in communication with Gauntlet whenever doing so.
Active community participant. Sure GH seeks to actively participate in community events, governance, voting and supporting community lead initiatives wherever possible. Ie: Twitter space, events etc…
Liquidity Mining Modules & Proposals Across all markets as requested/prompted by the community. Sure To date only two teams have introduced LM AIPs. A member of GH has submitted LM proposals in the past and GH will support the distribution of incentives of Aave markets whether from Aave or partnering communities.
Promote and propose DeFi integrations with other communities/protocols. Sure DeFi moves fast and this creates synergies/opportunities with other communities. GH intends to identify and promote new initiatives that will build TVL for Aave or goodwill within the industry. GH will always compromise to implement the community’s wishes.
Metagovernance Sure As the Aave community grows it is likely to start participating in other communities’ governance votes. GH intends to enable, support and implement any metagovernance initiative on behalf of the community.
Collaborate and coordinate with other contributors within the Aave ecosystem Best Efforts The Aave community is growing, a core value of GH is collaboration and GH will work with other community members to foster positive sum relationships and help grow the Aave ecosystem.
Technical support on deployments for new chains Best Efforts Wherever there is an opportunity to help with the deployment of Aave on other networks, GH will help those communities with Aave-specific expertise to manage end-to-end deployment. GH recognises BGD is better suited to this and GH will collaborate/support as much as possible.

Other Partners

A distinguishing feature of GH, is that GH intends to contribute to several leading DeFi communities by helping them solve voter apathy through being a delegate and also by actively supporting the communities growth ambitions. GH is pro the ecosystem and wants all partnering DAOs to succeed. This is a unique benefit to GH, as GH will seek to facilitate collaboration between partners wherever possible and when opportunities arise support those initiatives through the respective communities governance process. There is the potential for public goods through collaboration and GH may be uniquely positioned to help realise some of these potential synergies.

However, some DAOs have competing interests and this risks creating a conflict. GH seeks to help communities grow, act in their best interest, whilst avoiding conflicts by:

  • Openness - Full transparency about other relationships
  • Respect - Not sharing any non public knowledge
  • Integrity - Members shall not trade tokens based on non public information
  • Trust - Decline any initiatives that are deemed conflicting by GH or affected partners

Initially, GH intends to express a desire to support the Aave DAO, Maker DAO, Balancer DAO and Index Coop communities. Most of these DAOs are already working with Aave DAO in some capacity. In addition to announcing intent to be a delegate for Aave DAO, GH intends to express a keen interest in becoming a delegate for Index Coop, Maker DAO and Balancer DAO in the near future. GH members are active within Index Coop’s metagovernance team which has a long standing history of voting for the best interest of the respective community.

Compensation Model

The compensation model is unlike other forum posts to date. This proposal is not a request for funding, but instead details how we intend to approach compensation more generally.

Each initiative/task can be funded from either Aave Grants DAO via a grant submission or the requesting party seeking the upgrade. This hybrid model, although more time consuming to implement and maintain, is a low risk way to start the relationship. This enables GH to continue building trust without the need for the Aave community to make any sizable funding commitment. In time, GH and Aave DAO may wish to revisit this approach if GH can present a value proposition beyond what the Aave Grants DAO is intended to support.

Engagement Expectations

  • The duration of the engagement will be ongoing and on an adhoc basis, subject to there being initiatives for GH to support within the Aave ecosystem.
  • GH will gauge interest from within the Aave community prior to commencing work on any particular initiative. Any task performed without any grant or committed reward in place is at GH risk.
  • GH will interact with the broader community via the governance forum and will support community initiatives as needed.
  • All proposals that GH assists with will be discussed with others like Llama and BGD prior to commencing work, ensuring transparency and no overlap in how people’s time is allocated.
  • All payloads are to be reviewed by BGD, or their trusted delegate, before being submitted as an AIP for on-chain voting.
  • Deployment expenses during the completion of the tasks (e.g. deployment of smart contracts, creation of on-chain proposals, and other types of transactions required for integration on the ecosystem) will be covered by the respective AIP submission.


If anyone would like to delegate to Governance House, please use the following delegate address: 0xd2362DbB5Aa708Bc454Ce5C3F11050C016764fA6.

In the past Index Coop has delegated to this address, however the AAVE holding within DPI has recently fallen beneath the Proposal Power threshold of 80,000 AAVE/stkAAVE.


Copyright and related rights waived via CC0.


Interesting post, I admit that I did not immediately understand the interest of such an organization centered around the governance module, but after thinking about it, I guess it is interesting to have members of the community who know the protocol well in order to submit new/meaningful listings


From BGD, we can confirm that Governance House and its members had participated/participates actively in multiple aspects of the Aave community, always giving good value and in a really professional manner.

Regarding the points of collaboration:

  • We think it is really valuable to try to expand the Metagovernance aspects, related to other governance-controlled communities.
  • On deep technical aspects like asset listing, or especially deployments, we think it is better to do a slow and supervised onboarding, as the tasks have high criticality and require important expertise.
  • We think that work should be always compensated if provable valuable. Given the nature of this collaboration, we suggest that compensation could happen on the governance proposals themselves, with Governance House in charge of proposing a fair one (BGD could give feedback on it, by evaluating the scope of technical tasks) potentially transitioning to another more “stable” model in the future.

But in general, we obviously support Governance House keeping its contribution to the Aave community.


Hey @Governance_House! Thanks for sharing the intro. Maybe someone from the team would like to come on a future community call? We highlight updates from the different community contributors, and it would be awesome to get you in the rotation.