LP-910: Stakeholder Engagement

Abstract

This LP establishes the framework for identifying, prioritizing, and engaging with Lux Network stakeholders. It defines engagement channels, feedback mechanisms, and accountability structures to ensure stakeholder voices inform network governance and development.

Motivation

Decentralized networks serve many stakeholders with different needs and interests. Without systematic engagement:

1. Governance capture - Decisions favor the loudest voices, not the most affected
2. Blind spots emerge - Critical perspectives go unheard until problems surface
3. Community erosion - Stakeholders disengage when they feel ignored
4. Legitimacy questions - Networks claiming to serve communities must actually listen to them

This LP ensures that Lux Network governance is informed by, and accountable to, the full range of stakeholders it serves.

Stakeholder Identification

Stakeholder Categories

Primary Stakeholders (Direct Interaction)

Stakeholder	Definition	Estimated Size
Token holders	LUX token holders	Variable
Validators	Active network validators	1000+
Delegators	Users delegating stake	10,000+
Developers	Building on Lux	500+
Users	Transacting on network	100,000+

Secondary Stakeholders (Indirect Interaction)

Stakeholder	Definition	Interaction
Ecosystem projects	Funded/building projects	Partnership
Partners	Strategic collaborators	Agreements
Regulators	Government authorities	Compliance
Academic/research	Researchers, universities	Collaboration
Media	Journalists, analysts	Communications
Civil society	NGOs, advocacy groups	Dialogue

Stakeholder Mapping

Power-Interest Matrix

	Low Interest	High Interest
High Power	Keep satisfied (Regulators)	Manage closely (Validators, Large holders)
Low Power	Monitor (Media)	Keep informed (Users, Developers)

Engagement Priority

Priority	Stakeholders	Engagement Level
Critical	Validators, Large token holders	Continuous, deep engagement
High	Developers, Active delegators	Regular, structured engagement
Medium	Users, Ecosystem projects	Periodic, responsive engagement
Standard	All others	Broadcast, request-based

Engagement Channels

Formal Channels

LP Process (Governance)

Aspect	Details
Purpose	Protocol changes, standards
Participation	Open to all
Location	GitHub, forums
Process	LP-001 (Governance Process)

Participation metrics tracked:

• LP proposals by stakeholder type
• Comment/review participation
• Vote participation rates

Stakeholder Advisory Council

Aspect	Details
Purpose	Strategic input, feedback
Composition	Representatives from each stakeholder group
Frequency	Quarterly meetings
Selection	Mix of elected and invited

Council responsibilities:

• Review annual strategy
• Provide feedback on major initiatives
• Surface emerging stakeholder concerns
• Advise on stakeholder communications

Annual Stakeholder Survey

Aspect	Details
Purpose	Systematic feedback collection
Scope	All primary stakeholders
Frequency	Annual (Q4)
Method	Online survey, translated

Survey topics:

• Satisfaction with network/governance
• Priority concerns and suggestions
• Emerging needs and opportunities
• ESG performance perception

Informal Channels

Community Platforms

Platform	Purpose	Moderation
Discord	Real-time discussion	Community managers
Forum	Long-form discussion	Community managers
Telegram	Regional groups	Local ambassadors
Reddit	Public discussion	Community

Developer Engagement

Channel	Purpose	Frequency
Developer calls	Technical updates	Monthly
Office hours	Direct support	Weekly
Hackathons	Innovation, community	Quarterly
Documentation feedback	Content improvement	Continuous

Validator Engagement

Channel	Purpose	Frequency
Validator calls	Network updates	Monthly
Validator forum	Peer discussion	Continuous
Direct outreach	Major issues	As needed

Feedback Mechanisms

Feedback Collection

Structured Feedback

Mechanism	Stakeholders	Frequency
Annual survey	All	Annual
LP process	All	Continuous
Advisory council	Representatives	Quarterly
User research	Users	Quarterly

Unstructured Feedback

Source	Collection	Analysis
Discord/Telegram	Monitoring	Sentiment analysis
Social media	Monitoring	Trend identification
Support tickets	Tracking	Issue categorization
Media coverage	Monitoring	Theme extraction

Feedback Processing

Triage Process

Feedback received
    ↓
Initial categorization
    ↓
Severity/impact assessment
    ↓
Route to appropriate team
    ↓
Response/action
    ↓
Close loop with stakeholder

Categorization

Category	Examples	Response Time
Critical	Security, major bugs	Immediate
High	Feature requests, UX issues	1 week
Medium	Suggestions, questions	2 weeks
Low	General comments	Monthly review

Feedback Response

Response Commitments

Channel	Initial Response	Resolution
LP proposals	3 business days	Process-dependent
Support tickets	24 hours	Issue-dependent
Forum posts	48 hours	Discussion-based
Survey results	Annual report	Strategy integration

Closing the Loop

For substantive feedback:

1. Acknowledge receipt
2. Explain how feedback will be used
3. Provide updates on action taken
4. Report outcomes (where applicable)

Materiality Assessment

Process

Annual materiality assessment to prioritize stakeholder concerns:

Step 1: Topic Identification

• Review feedback from all channels
• Monitor industry trends
• Assess regulatory developments
• Consider ESG standards requirements

Step 2: Stakeholder Input

• Survey stakeholders on topic importance
• Weight by stakeholder group
• Validate with Advisory Council

Step 3: Impact Assessment

• Evaluate business impact of each topic
• Assess current performance
• Identify gaps and opportunities

Step 4: Prioritization Matrix

	Low Stakeholder Concern	High Stakeholder Concern
High Business Impact	Important (monitor)	Material (act)
Low Business Impact	Standard (maintain)	Emerging (track)

Material Topics (Current)

Based on most recent assessment:

Topic	Stakeholder Priority	Business Impact	Status
Network security	Critical	Critical	Material
Transaction costs	High	High	Material
Governance transparency	High	High	Material
Environmental impact	Medium	High	Material
Financial inclusion	Medium	Medium	Emerging
Developer experience	High	Medium	Material

Grievance Mechanism

Purpose

Formal channel for stakeholders to raise concerns, complaints, or grievances.

Scope

• Governance decisions
• Service issues
• Conduct concerns
• ESG-related issues

Process

1. Submission (form, email, or representative)
    ↓
2. Acknowledgment (within 48 hours)
    ↓
3. Investigation (appropriate team)
    ↓
4. Response (within 30 days for standard issues)
    ↓
5. Appeal (if unsatisfied)
    ↓
6. Resolution and closure

Escalation Path

Level	Handler	Timeline
1	Community team	5 business days
2	Department lead	10 business days
3	ESG Committee	30 days
4	Board (final)	60 days

Protections

• Non-retaliation policy
• Confidentiality (where requested)
• Anonymous submission option
• Clear documentation requirements

Engagement Principles

Core Principles

1. Inclusivity: Ensure diverse voices are heard
2. Transparency: Open about decisions and rationale
3. Responsiveness: Timely acknowledgment and action
4. Accountability: Clear ownership and follow-through
5. Respect: Treat all stakeholders with dignity

Accessibility

Accommodation	Implementation
Language	Multi-language documentation and support
Time zones	Rotating call times, async options
Technical level	Tiered content (beginner to expert)
Connectivity	Low-bandwidth options

Communication Standards

Principle	Guideline
Clarity	Plain language, define jargon
Consistency	Aligned messaging across channels
Honesty	Acknowledge challenges openly
Timeliness	Proactive updates on material issues

Reporting & Accountability

Engagement Metrics

Metric	Target	Frequency
Survey response rate	>50%	Annual
LP participation rate	>10% of active addresses	Quarterly
Feedback response time	<48 hours	Monthly
Stakeholder satisfaction	>70%	Annual

Reporting

Internal Reporting

Report	Audience	Frequency
Engagement dashboard	Leadership	Monthly
Feedback summary	ESG Committee	Quarterly
Materiality update	Board	Annual

External Reporting

Report	Contents	Frequency
Annual ESG Report	Engagement summary, outcomes	Annual
Governance Report	LP process metrics	Annual
Community Update	Key developments	Quarterly

Continuous Improvement

• Annual review of engagement effectiveness
• Stakeholder feedback on engagement process itself
• Benchmarking against peer organizations
• Integration of best practices

Related LPs

• LP-800: ESG Principles and Commitments
• LP-900: Impact Framework & Theory of Change
• LP-901: Impact Measurement Methodology
• LP-920: Community Development & Grants
• LP-850: ESG Standards Alignment Matrix

Changelog

Version	Date	Changes
1.0	2025-12-17	Initial draft

Copyright

Copyright and related rights waived via CC0.