Introducing Panoramic Governance: A new mechanism that rewards both users and builders across a chain’s ecosystem. Panoramic Governance (PG) brings complete ecosystem alignment to L2 blockchains for the first time. Let's get into it 🧵

The Problem PG solves a fundamental problem that a majority of L2s face: users, apps, and chain operators are not aligned. Apps drive user growth, users pay gas fees, and the chain receives fees as revenue. In this model, apps and users do not benefit from the chain's success.

Panoramic Governance solves this. PG consists of two interdependent systems: one that rewards active governance participants and one that rewards app builders. These two flywheels work together to encourage the overall alignment and growth of an L2’s ecosystem.

The first system has 3 components: apps, governance voters, and sequencers. Users interact with apps; apps generate sequencer fees, and these fees are distributed as rewards to active governance participants. This promotes app usage and participation in onchain governance.

The second system also has 3 components: governance participants, onchain governance, and apps. Governance voters vote to allocate token emissions to apps and protocols deployed on the L2. This gives apps that bring value and demand to the chain the opportunity to be rewarded.

PG was researched and designed to solve the fundamental misalignment between users, builders, and governance. PG can be implemented on any L2 blockchain that has a native governance token and a sequencing system. Read the full research paper here: pg.abs.xyz