{"id":"panoramic-governance-pg","version":1,"language":"en","title":"Panoramic Governance (PG)","hidden":false,"content":"**Panoramic Governance** is a mechanism that aims to enhance governance participation and facilitate protocol growth within[ Layer 2](https://iq.wiki/wiki/layer-2) [blockchains](https://iq.wiki/wiki/blockchain). It is designed for use on any [Layer 2](https://iq.wiki/wiki/layer-2) [blockchain](https://iq.wiki/wiki/blockchain) with a native [governance token](https://iq.wiki/wiki/governance-tokens) and a sequencing system that allows users to pay gas fees for expedited transaction ordering and pre-confirmations.[\\[1\\]](#cite-id-iv217rio5h)  \n![GaMWQ7qWEAAnmKw.jpeg](https://ipfs.everipedia.org/ipfs/QmVotRAcUnJv1GAdYLBBbDYibyVj58AuUZkod5UZRTUofW)  \n  \n# Overview  \n  \nPanoramic Governance (PG) is a mechanism that aims to improve governance participation and facilitate protocol growth within [Layer 2](https://iq.wiki/wiki/layer-2) [blockchains](https://iq.wiki/wiki/blockchain). It can be implemented on any [Layer 2](https://iq.wiki/wiki/layer-2) [blockchain](https://iq.wiki/wiki/blockchain) with a native [governance token](https://iq.wiki/wiki/governance-tokens) and a sequencing system that enables users to pay gas fees for expedited transaction ordering and pre-confirmations.  \n  \nPG seeks to create a value-aligned ecosystem by ensuring that users, protocols, and chain operators are appropriately incentivized. It consists of two interdependent systems: one that distributes sequencer fees to active governance participants and another that allows these participants to allocate token emissions to protocols. This structure aims to address the common misalignment in [Layer 2](https://iq.wiki/wiki/layer-2) ecosystems and promote cooperation and growth among all stakeholders.[\\[1\\]](#cite-id-iv217rio5h)[\\[2\\]](#cite-id-gtu72igcz4)[\\[3\\]](#cite-id-xkged2fkbt7)  \n  \n# Components  \n  \n## Active Governance Participants  \n  \nGovernance is essential in decentralized networks and constitutes a key aspect of Panoramic Governance (PG). Active [governance token](https://iq.wiki/wiki/governance-tokens) holders are designated to receive sequencer fees, which aim to incentivize meaningful participation.  \n  \nNetworks establish the criteria for defining \"active\" participants through a heuristic known as the Active Participation Threshold (APT). This threshold may consider factors such as the number of transactions exceeding a specific limit, the total value of submitted transactions, or other criteria determined by the network. The aim is to ensure that only participants who actively contribute to the network qualify for sequencer fee rewards.[\\[2\\]](#cite-id-gtu72igcz4)  \n![rewards.webp](https://ipfs.everipedia.org/ipfs/QmQPnweq9nrCNjrEjSgDKcFuVzPYw3mSx2xAwZneToEdLX)  \n  \n## Protocol Emissions  \n  \nPanoramic Governance allocates a portion of tokens to various protocols to aim for their growth, drawing inspiration from [Curve Finance](https://iq.wiki/wiki/curve-finance)'s [gauge](https://iq.wiki/wiki/gauges) mechanism. Governance participants vote each epoch to determine how these emissions are distributed. Successful protocols aim to gain a larger governance stake, resulting in an increased share of sequencer fees.  \n  \nNew protocols can seek to enhance their growth by offering \"liquid bounties\" as incentives for governance participants, encouraging the allocation of more emissions to their protocol.[\\[2\\]](#cite-id-gtu72igcz4)  \n![Screenshot 2024-10-28 at 01.28.07.png](https://ipfs.everipedia.org/ipfs/QmX44bVdtAwZ28uUni8gt14byMqFaURQYJyVcc17HLdLws)  \n  \n## Flywheel  \n  \nPanoramic Governance integrates two key incentive systems: Active Governance Participation, which distributes sequencer fees, and Ecosystem Emissions, which aims to support protocol growth by rewarding substantial contributions to the network.  \n  \nParticipants are encouraged to act in the network's best interest and engage in governance by voting for protocols that provide significant contributions or appealing liquid bounties. In turn, protocols are motivated to enhance their contributions to secure a larger share of emissions from governance participants.  \n  \nTogether, these systems create a closed, self-sustaining flywheel that aims to ensure sustainability by utilizing a predefined allocation of capital, including sequencer fees and network tokens, thereby minimizing the risks associated with unsustainable token inflation or excessive emissions.[\\[2\\]](#cite-id-gtu72igcz4)[\\[1\\]](#cite-id-iv217rio5h)  \n![Screenshot 2024-10-28 at 01.28.24.png](https://ipfs.everipedia.org/ipfs/QmPqrCn3oAocb8MbSP3EvXXWAPHdB3LgQGMgNc4C3QTEyi)","summary":"Panoramic Governance (PG) enhances governance and protocol growth in Layer 2 blockchains, incentivizing participants via sequencer fees and token allocation.","categories":[{"id":"defi","title":"Decentralized Finance"}],"promoted":0,"tags":[{"id":"Glossary"}],"metadata":[{"id":"references","value":"[{\"id\":\"iv217rio5h\",\"url\":\"https://pg.abs.xyz/assets/documents/pg-whitepaper.pdf\",\"description\":\"Abstract Whitepaper\",\"timestamp\":1730045504885},{\"id\":\"gtu72igcz4\",\"url\":\"https://pg.abs.xyz\",\"description\":\"Abstract website - Panoramic Governance\",\"timestamp\":1730046043934},{\"id\":\"xkged2fkbt7\",\"url\":\"https://x.com/AbstractChain/status/1847344754838684000\",\"description\":\"Abstract Twitter - Introducing Panoramic Governance\",\"timestamp\":1730046067183}]"},{"id":"previous_cid","value":"Qmb9P97JsLe15X4HYFJhz7B7BedGXvWYCj8MjBQydi6K6J"}],"user":{"id":"0x6753061a4cffbc0A617e57E956A298D88702a94B"},"author":{"id":"0xf32ECD5c8f5633212f1a25A3931aDDc0CEc42938","profile":{"username":"Tara","avatar":"QmcYZFprbPwBjahvN3cjVsdTGtYgCx8jM1Myeb7yYJyeUF"}},"media":[{"name":"rewards.webp","id":"QmQPnweq9nrCNjrEjSgDKcFuVzPYw3mSx2xAwZneToEdLX","size":"0.07","type":"GALLERY","source":"IPFS_IMG"},{"name":"Screenshot 2024-10-28 at 01.28.24.png","id":"QmPqrCn3oAocb8MbSP3EvXXWAPHdB3LgQGMgNc4C3QTEyi","size":"0.12","type":"GALLERY","source":"IPFS_IMG"},{"name":"Screenshot 2024-10-28 at 01.28.07.png","id":"QmX44bVdtAwZ28uUni8gt14byMqFaURQYJyVcc17HLdLws","size":"0.08","type":"GALLERY","source":"IPFS_IMG"},{"name":"GaMWQ7qWEAAnmKw.jpeg","id":"QmVotRAcUnJv1GAdYLBBbDYibyVj58AuUZkod5UZRTUofW","size":"0.25","type":"GALLERY","source":"IPFS_IMG"}],"views":15,"events":[],"linkedWikis":{"founders":[],"blockchains":[]},"founderWikis":[],"blockchainWikis":[],"ipfs":"Qmb9P97JsLe15X4HYFJhz7B7BedGXvWYCj8MjBQydi6K6J","transactionHash":"0x2eb9cb7872c2bbede0ab913473df02c0913b2ab5384418a7c27dbfb0c4a190dd","created":"2024-10-27T16:34:26.510Z","updated":"2024-10-28T12:30:52.592Z","images":[{"id":"QmfSrdsRXdrKTah9midZZwn9wNxyERYzhpGNk12nQc4AX4","type":"image/jpeg, image/png"}]}