Reflection on compensation for on-chain proposals

Thank you for starting this topic @Pinotio.com and thank you @alberto for your insight. I’m part of Cambridge Cryptographic, the team behind the Proof-of-Deposit proposal.

We’re currently at the stage where we’re dealing with the exact question you’ve mentioned:

What is an appropriate way to capture the value of contributions if contributors are unable to simply mint themselves tokens?

From our team’s experience in non-crypto businesses, performance based rewards (where measurable and attributable) are usually a good default as it is a simple way to align incentives of all parties (contributor has skin in the game, only “winning” if the receiver also “wins”). Such deals seem to be more complicated in the crypto world, both structurally and legally. It certainly doesn’t get easier if the other party is a DAO, which is why our first preference is to go directly to cLabs or the Foundation.

As we appreciate this is a learning experience for everyone, we’ll try to share our insights as we go through this journey.

Personally I think mapping a good path out now will pay dividends in the future as attracting talent to the governance/constitution level will be increasingly important to retain a competitive advantage (or risk fading into irrelevance).

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