Article [DXdao Scalability Efforts]

Hey everyone,

This is a longer post detailing a task to write an article about DXdao’s efforts to scale. It covers the details needed and the results expected. It is subject to change as a result of engagement and discussion. If you’ve been involved in work related to scalability, please read this thread. A couple of easy steps to support the writing of the article are listed at the bottom of the thread.


Before leaving Ingamar asked me to write about DXdao’s scaling initiatives. This conversation happened around October 30th, 2020, and I proceeded to arrange a meeting with Geronimo to discuss Omen.

Not too long after that, my work life got extremely chaotic, leaving me unable to fulfill all of my promises. And that’s not something that I like, or enjoy.

In fact, a lot of mental energy is expended on reminding myself of what else needs to get done, so I would love to get around to writing this article for DXdao, and finally cross it off the list.

Article Details

Working doc: Scaling Ethereum: DXdao Looks at Sidechains and Layer 2 - Google Docs

The point of the article is to highlight all of the efforts that the DXdao is doing in order to bypass and/or eliminate the high operations costs for products and governance. From my conversation with Geronimo, I understand that the task at hand is by no means a simple one.

To balance user experience together with affordable smart contracts is the main challenge for scalability in the entire crypto ecosystem. We are all hooked on mainnet ETH to do most of the things that need to be done, and L2 is a major chore.

However, a time will come when L2 will be mandatory and through this article, we will position DXdao as a forward-thinking organization that is ahead of its time and dealing with challenges before they become a reality.

Naturally, the users (as well as DXD holders) will also need to be informed about the necessity of working towards the creation of elegant and effective products that are capable of L2 operations. Additionally, some commentary about why we are going with in the xDai direction will be valuable to address any potential tech choice objections.

The article should be as comprehensive as possible and cover all of our efforts. So far, I’ve identified that we are making scalability efforts for the following:

  • Mesa
  • Omen
  • Governance
  • Rails (as onboarding)

I invite any and all DXdao members that want to become a part of the conversation around this article to make their voices heard and give their perspectives about these efforts. Either in this discussion thread or in the doc (please use the comment feature).

Some of the people that I believe will be essential to the writing of this article are:

@geronimo @Powers @sky @ontologymachine @JohnKelleher

However, anyone that has information related to scalability is welcome to contribute.

My Role

From my perspective, this is a technical and copywriting task, which I am prepared to research and write about. My job with this article is to collect all of the relevant information in one place and meld it together into a cohesive piece of writing that will produce results for us.

To achieve this I will be organizing short interviews with DXdao members involved in scalability efforts. These interviews will be recorded for reviewing purposes and subsequently either destroyed or uploaded for public consumption, depending on the majority’s decision.

This could either be a group interview or one-on-one, whichever way we choose.

As for results, I’m hoping to produce an article that will be valuable for informing DXdao members, as well as provide insights into our operations for DXD holders and partners in the ecosystem. This article should answer questions of the “Who?” “Why?”, “How?”, “When?”, “How much time/money?” variety, and lastly, provide clarity to DXdao members about our position and progress with L2 efforts.

Personal Side note

I've been away from DXdao for ~60 days, and I've made a lot of changes to the way I work in the meantime. If you feel that writing this article is no longer necessary or useful, please make your position known.

I’m not willing to force any DXdao member into contributing time and energy for something they don’t believe will create value. However, I’ve made a promise, and even if a relatively long time has passed, I still hold myself accountable for my promises and consider it my responsibility to write this article for DXdao.


I've reviewed the content progress in the past few months while I was gone and noticed that most of the new content has found its way on

This is a suitable location for the publication of the article, although we would do best to create an actual publication for DXdao on Medium and syndicate all of the published content in a single location.

As it stands right now, we have articles over many different users and profiles on Medium. At least until Almonit or our blog is complete we should make the effort to pull all of our content to a single location (Ingamar already started this here) with multiple owners.

I know that many dislike the idea of having a centralized center for our content, but until a viable decentralized solution becomes available (or we make one) this is the best opportunity for developing and growing a brand in crypto through content.

Last Words

Everything in this thread is subject to change. I’m open to feedback from all DXdao members. If you want to support the writing of this article, here’s what you can do:

  • Take 5 minutes to write a response to this thread about your work with the scalability efforts.
  • Write a list of 3 questions that you would like answered by the article.
  • Share this thread with a DXdao member that you know has worked on L2 related tasks.

Thank you for reading! :grinning_face_with_smiling_eyes:


Welcome back @Zoran! I actually think this is timely. The cost of interacting with Ethereum is as high as ever and there are many sidechain and layer 2 solutions that are maturing and/or about to come to market.

To my knowledge this hasn’t been formalized in any way, but I view the current DXdao scalability strategy as, in essence, deploy everything DXdao has on mainnet to xdai (an EVM compatible sidechain with bridges to Ethereum) in order to achieve short term usability gains and in order to practice DXdao’s ability to “set up camp” on a new sidechain or layer 2. While we gain this experience with xdai, I believe the collective also should be watching the evolution of layer 2 approaches, in particular the zk-rollups and optimistic rollup solutions.

Happy to chat more about this.


hi @Zoran

I’m product owner for Mesa. We will develop Mesa in the direction of a IDO platform, not a DEX anymore. Layer2 is still on the table, but much easier to achieve because IDO’s are short-term events.

My Question regarding L2:

Fragmentation of liquidity will be strong, and for some liquidity depended on protocol transition from L1 to L2 will be risky, if they end up on the wrong L2 solution. I think this is not only decided on technology specs, but also which leading protocol will decide to go with which solutions. An overview which project is going to use which solutions would be quite helpful.

There is at least one project which tries to connect some L2 to other L2 solution. (Also called Layer3) The only project doing this is Connext right now:, here a nice tweet about this

Are there other solutions, and do they prevent liquidity fragmentation? (Don’t think they prevent liquidity fragmentation, To prevent liquidity fragmentation the token has to be like shared between all the L2)

Last but least it would be interesting to see some schedule when which solution is mainnet ready and productive.