What Are the Key Differences between On-Chain and Off-Chain Governance Mechanisms?
On-chain governance involves proposals and voting executed directly on the blockchain via smart contracts, making decisions transparent and immediately enforceable. Off-chain governance involves discussion and voting (often using token-weighted snapshots) conducted on external platforms, with the final decision requiring manual implementation by core developers.
On-chain is more secure and decentralized but less flexible; off-chain is more flexible and cheaper but relies on trust in the implementers.