# Voting Power

## Overview

Operators deposit funds into one or more **Staking Contracts and** receive **staking shares**, which represent their **proportional ownership** within that specific contract. These shares determine the Operator’s influence **(Voting Power)** in AVS consensus.

For consensus to be reached, a supermajority threshold quorum of attestations must be met to successfully execute a given task. Importantly, the value of a share varies between staking contracts, as each corresponds to a different asset with unique economic and security characteristics.

* Each AVS defines:
  * Which **staking contracts** it supports
  * Any **minimum stake requirements** per contract
* Only Operators who meet these criteria are eligible to participate in that AVS

#### Read More

* [Set Staking Contracts](https://docs.othentic.xyz/main/user-guide/network-management/configure-staking-contracts)

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### **Dynamic Voting Power (DVP)**&#x20;

Dynamic Voting Power (DVP) determines an Operator’s influence in the consensus process, proportional to the amount of (re)staked assets securing the network. It is calculated by summing the total value of all assets (re)staked by an Operator, each weighted by its respective multiplier.

<figure><img src="https://4144525652-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FYlSi30nrcEOossIDFFua%2Fuploads%2FLUxAR22EL7BzfgI62YWu%2FScreenshot%202024-09-12%20at%2017.53.42.jpg?alt=media&#x26;token=c4a931a9-95fa-4d27-9dc6-0af7659e7d06" alt=""><figcaption></figcaption></figure>

The **multiplier** reflects the asset’s value within the staking contract. By multiplying the staked amount and the asset’s price, the USD equivalent of the staked assets in that contract is derived, which is then used to determine voting power.

### Staking Contract Multiplier

The **staking multiplier** is a configurable weight applied to a specific staking contract. It adjusts the influence, staked tokens from that contract have, in governance or voting mechanisms.

In systems where multiple staking contracts exist—across networks or staking products—not all staked tokens are treated equally. The multiplier allows protocol teams to assign **relative importance** to each contract, acting as a **scaling factor** for voting power.

> **By default, all staking contracts have a multiplier of `1`**, meaning each token contributes 1:1 to voting power unless otherwise configured.

#### **Key Characteristics**

* **Positive Value**: Must be a positive, non-zero number (e.g. 2,  5, 10). It ensures no staked tokens can nullify voting power.
* **Custom Governance Weighting**: A higher multiplier increases the voting power per staked token, while a lower multiplier reduces it.\
  For example, a multiplier of `2` means each token staked in that contract contributes the equivalent of **two tokens** in voting power.
* **Reflects Risk, Trust, or Strategy**: Use multipliers to
  * Reward long-term or high-risk staking.
  * Deprioritize newer or untested contracts.
  * Balance influence across diverse token-holder communities.
* **Dynamically Updatable**: Multipliers can be adjusted over time to reflect evolving trust models, risk assessments, or governance priorities.

#### Read More

* [CLI Reference: Set multiplier for a staking contract](https://docs.othentic.xyz/main/reference/othentic-cli/network/staking-contracts/set-staking-contract-multiplier)

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### **Validated Voting Power (VVP)**&#x20;

A consensus-based mechanism that calculates the fluctuations in asset value and changes in an Operator’s stake. A quorum continuously monitors and updates the voting power of individual Operators, with updates finalized through consensus among Operators within the network.&#x20;

This process is executed using [Internal Tasks](https://docs.othentic.xyz/main/learn/advanced-concepts/internal-tasks) within the CLI.

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### **Total Voting Power**

Total voting power is the sum of voting power of all the operators. If the total voting power of the Task Definition is zero, the task will revert with [`InvalidRequiredVotingPower`](https://github.com/Othentic-Labs/core-contracts/blob/main/src/NetworkManagement/Common/OBLS.sol#L68) error.&#x20;

### **Minimum Voting Power**

The AVS can set a policy of requirements for minimum voting power per task to participate in the AVS (register / work).

#### Read More

* [**CLI Reference: Set Minimum Voting Power**](https://docs.othentic.xyz/main/reference/othentic-cli/network/set-minimum-maximum-voting-power)

### Maximum Voting Power

When building a PoS (proof of stake) network, you can often run into a problem where a particular operator has a disproportionately large amount of voting power, such that their vote can drastically swing the outcome.&#x20;

If an operator registers with more than the max effective balance that you set, its voting power is set to that value. This way, you can have an operator set where a single operator's voting power does not dominate over the consensus of task validation.&#x20;

Formula for Voting Power with max effective balance:

<figure><img src="https://4144525652-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FYlSi30nrcEOossIDFFua%2Fuploads%2FJTDUM6rmUAmr0BwL9vaZ%2Fimage.png?alt=media&#x26;token=e292d5b7-605a-4d22-8731-1c46dc727a63" alt=""><figcaption></figcaption></figure>

#### Read More

* [**CLI Reference: Set Maximum Voting Power**](https://docs.othentic.xyz/main/reference/othentic-cli/network/set-minimum-maximum-voting-power#set-maximum-voting-power)

### **Minimum Stake Per Staking Contract**&#x20;

The main feature for dual staking. The AVS developer can set a policy of requirements for minimum amount of shares per strategy that operators must (re)stake to participate in the AVS.&#x20;

#### Read More

* [**CLI Reference: Set Min Stake for a Staking Contract**](https://docs.othentic.xyz/main/reference/othentic-cli/network/staking-contracts/set-min-shares)
