BIP-60: Incentivizing DAO Stewards for Successfully Passed Proposals

Summary

Please note that this Snapshot has a default 72-hour voting window.

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BIP-60 proposes the following:

• Establish a Governance Incentives (GI) budget capped at 7,500 $BOTTO per month to reward stewards for successfully passing proposals.
• Implement a baseline reward for each successfully passed proposal submitted by DAO stewards, contingent on its approval by the DAO via Snapshot.

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This proposal is ranked choice, where the DAO votes on the baseline reward per successful proposal:

1. 1,875 $BOTTO
2. 2,500 $BOTTO
3. 3,750 $BOTTO
4. No change (no GI budget, no baseline reward)

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Rationale

Active participation in governance is crucial for the decentralized nature of Botto. Crafting impactful proposals requires significant effort, expertise, and time commitment. Introducing incentives for DAO stewards who successfully pass proposals encourages more active participation, leading to higher-quality proposals and enhancing Botto's operational and creative frameworks.

The process for submitting proposals follows these implementation steps:

• Proposal Submission: Stewards submit their proposals via the standard Botto governance channels, both on forum.botto.com and in the Discord. It is highly advised to first post it as an idea in the #ideas channel on Discord, as its own thread, to gauge interest.
• Community Discussion: Proposals undergo a mandatory discussion period of at least one week.
• Voting: Voting takes place over a 72-hour window through Snapshot.
• Assessment and Reward Distribution: If a proposal passes, the baseline reward is distributed accordingly.

By capping rewards through a fixed GI budget and establishing clear submission and reward guidelines, BIP-60 helps prevent governance bloat while promoting thoughtful contributions.

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Proposal Specifications / Timeline

• If BIP-60 is approved, the chosen baseline reward for successful proposals will be implemented immediately.
• A fixed Governance Incentives (GI) budget of 7,500 $BOTTO per month will be established for one year to fund these rewards. The unused portion of the budget will not roll over month-to-month.
• The reward will be distributed to DAO stewards whose proposals pass Snapshot voting with a 66.7% supermajority and meet quorum.
• The reward system will be monitored over a 3-4 month period to assess its effectiveness. Adjustments to the GI budget or reward structure can be proposed if necessary.

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Eligibility

DAO Stewards: Any DAO member who submits a proposal is eligible for rewards if the proposal passes the Snapshot vote with at least a 66.7% supermajority and meets quorum requirements.

Ineligible Participants: Proposers who receive financial gain from their proposal or working group contributors receiving monthly stipends are ineligible for baseline rewards.

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Budget

• Governance Incentives Budget: 7,500 $BOTTO per month
• Funding Source: Governance rewards will be distributed from the GI budget, valid for one year. This budget is subject to review after 3-4 months based on governance participation.

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Criteria of Success

The success of BIP-60 will be measured by the following:

• Increased Engagement: Higher participation rates in DAO governance as stewards are motivated by potential rewards.
• Higher Quality Proposals: With incentives in place, stewards are expected to invest more effort in researching and crafting their proposals.
• Enhanced Decentralization: By encouraging a broader base of the community to participate, the governance process becomes more decentralized and reflective of the community’s diverse perspectives.

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Please refer to the Discord thread and the BIP-60 forum post for full details and discussion.