# 7.3. Proposal Lifecycle

There are two types of proposals:

* **Funding Proposals:** Cover routine decisions such as network policy changes and minor feature
  \
  additions. Initially, funding is capped at $100k per proposal, subject to change based on network demand
   and future governance decisions
* **Critical Proposals:** Concerns major network changes, such as protocol upgrades or governance
  \
  structure amendments, and require higher thresholds to pass.

Datagram’s governance system allows both Full Core operators and $DGRAM token holders to submit proposals.
 However, to maintain proposal quality and prevent spam, a burn mechanism is in place. Before a proposal can
 advance to a vote, Proposers must commit a portion of their tokens to be burnt, and proposals require support
 from 250 Full Cores, who must also contribute a small burn to be burnt.

The table below outlines the requirements for both types of Proposer

| Proposal Type       | Eligibility                          | Burn Requirement | Support Requirement |
| ------------------- | ------------------------------------ | ---------------- | ------------------- |
| Full Core Operators | <p>Any Full Core                     |                  |                     |
| <br>operator</p>    | <p>$5,000 worth of                   |                  |                     |
| <br>$DGRAM</p>      | <p>250 Full Cores must support (each |                  |                     |
| <br>burning $50</p> |                                      |                  |                     |
| <p>Token Holders    |                                      |                  |                     |
| <br>(Non-Core)</p>  | <p>Any $DGRAM token                  |                  |                     |
| <br>holder</p>      | <p>$20,000 worth of                  |                  |                     |
| <br>$DGRAM</p>      | <p>250 Full Cores must support (each |                  |                     |
| <br>burning $50</p> |                                      |                  |                     |

Once a vote is open, it is live for a set period of time (e.g. 7 days), and each Full Core can cast a vote via a
&#x20;governance platform, with votes shown publicly in real-time. A proposal passes if the required percentage of Full
&#x20;Cores vote in favor, meaning that at least 25% of Full Cores vote (quorum rule) and at least 51% vote in favor of it
&#x20;(majority rule). These thresholds may also be modified in the future, based on governance voting.

A Full Core must have been online for at least 80% of the voting period to cast a vote. This prevents actors from
&#x20;purchasing votes solely to influence outcomes.


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