![\"Only](\"/static/only_l1-cb4488ebfffde0aa6d3847c51c7079df.png\")
Add the ability to govern L2 contracts with a MultiSig (Gnosis Safe) contract instead of using EOA (Externally Owned Account).
\nThis SIP proposes the addition of a bridge to connect L2 contracts to an L1 Gnosis Safe. The bridge will allow the ProtocolDAO to execute actions on L2 contracts using the same mechanism used on L1.
\nCurrently L2 contracts are owned by EAO which poses a risk on ownership and security. The proposed SIP allows a contract or MultiSig to own L2 contracts and enable proper council governance.
\nThe proposed solution is to add a bridge contract that will act as liaison between a Gnosis Safe on L1 and the contracts on L2 so that all operations (ownership authorizations on L1 and L2) are initiated by the council on the same network, using the same tools.
\nDuring previous discussions, we identified three different options to provide MultiSig usage on L2, each with its own pros and cons that are shown below.
\nGnosis Safe in L1 and Gnosis Safe in L2
\nPros: Same proven mechanism as in L1.
\nCons: Not yet officially available on L2 (there are some forks); will require the ProtocolDAO to operate on two diferent instances/networks.
\nGnosis Safe in L1 and Legacy Gnosis MultiSig in L2
\nPros: Easy to implement.
\nCons: Using a legacy MultiSig that is not supported by Gnosis anymore (there is a working project adapting it to L2, by ScopeLift); will require ProtocolDAO to operate on two diferent instances/networks, and use different tools.
\nGnosis Safe in L1 and an Ownership Bridge in L2
\nPros: Using a single tool on L1 and L2 (Gnosis Safe on L1).
\nCons: Authorizations on L2 will take time due to the bridge propagation process.
\nFrom the three options the chosen one is the 3rd which, based on Gnosis Safe in L1 to perform all executions (on L1 and L2), will simplify operations. It requires the addition of a bridge (based on this CrossChainAccount technique).
\nThe proposal includes the creation of two new governance contracts that will act as bridges (OwnerRelayOnEthereum.sol and OwnerRelayOnOptimism.sol) and extend the ownwership from L1 to L2.\nOwnerRelayOnEthereum is owned by the Gnosis safe contract, staged transations on Gnosis Safe are directed to that contract, encoded with the appropriate data, and targeted to interact with the appropriate contract on L2. Once signed and executed by the ProtocolDAO, the L1 transaction will automatically relay to OwnerRelayOnOptimism on L2, which is the L2 owner, and will ultimately execute the commands (as owner) on behalf of the ProtocolDAO to transact on Optimism.
\nOwnership protected contracts on Ethereum are owned by a Gnosis Safe contract. The process of signing and executing a transaction on the protected contracts involves the staging of a transaction, the later approval from the ProtocolDAO, and its execution.
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Ownership protected contracts on Optimism are owned by an EOA, and hence, transactions can be signed directly by the holder of the associated private key.
\nAs can be seen in the following image, optmimism contracts are more susceptible to security (based on ownership) issues and lacks the on-contract approval process.
\n![\"Only](\"/static/l2_current-aac968bfba62d230187ce22f45f33dc2.png\")
In order to solve these issues, the proposal is to add a couple of contracts (one on each network, Ethereum and Optmism) that will be used as a bridge and link the Gnosis Safe on L1 to L2 owned contracts, named OwnerRelayOnEthereum and OwnerRelayOnOptimism respectively.\nOwnerRelayOnEthereum will be deployed in Etherum and will be owned by the Gnosis Safe contract. It will relay the transactions data to its counterpart contract on Optimism, named OwnerRelayOnOptimism. OwnerRelayOnOptimism will be the owner of the owned protected contracts on L2, so that the same protection (and same mechanism to sign transactions) that exists on Ethereum is present on Optimism.
\nThe bridged governance solution proposed is based on CrossChainAccount technique.
\nThe setup comprises deploying the two new contracts (one per network), linking them, and transferring the ownership of protected contracts on L2 to the relay contract on Optmism.
\nThe following image shows the process to sign a transaction on L2, which can be split in the following steps:
\n![\"Bridged](\"/static/l1_and_l2-ef978d6f915512de8792874170b3613d.png\")
As it can be seen on the descriptions, the first steps (human involved process, from 1 to 3) are the same for signing transactions on L1 and L2, the only difference is on how to set the data and target on the staged transaction. The rest of the process is fully automated.
\nTwo new unit tests are added to test the two new contracts. These tests will mock the required external interfaces (i.e. opt messenger).
\nFor OwnerRelayOnEthereum
\nFor OwnerRelayOnOptimism
\nOne integration test to cover the relay. Using SystemSettingsL2 as target contract on L2 and updating a setting (minimumStakeTime)
\nN/A at the moment of writing this SIP.
\nCopyright and related rights waived via CC0.
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