Create Coordinape $KRAUSE Budget

Author: Spice

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ELI5 (Explain it Like I’m 5) Project Value-Add

1. Give newcomers a place to prove themselves while getting some compensation if they deliver results.
2. Allow the DAO to vet newcomers before proposals and build trust.
3. Incentivize sporadic contribution from the broader community.
4. Distribute $KRAUSE to contributors who are not being paid otherwise.

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Requested Budget:

40,000 $KRAUSE to a Coordinape CoVault: 0x2d74e850ad7712390a137465ba273c8334c0e6b5

Coordinape Admins: Stewards Team

How will funds be used?

Payout contributors via Coordinape for an estimated 5 months.

How will funds be managed?

$KRAUSE will be send to a Coordinape CoVault, which will handle payouts at the end of each month based on results.

Stewards Team can modulate the total amount allocated each month, but we plan to use 8,000 $KRAUSE / month initially. If there is little contribution, they can turn the distribution down, and vice versa.

Stewards Team can cancel this mode of funding for any reason at any time.

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Why?

Crowdfund contributors are being massively diluted in governance weight relative to contributors earning from the DAO.

In our current system, large amounts of $KRAUSE are going to individuals who are earning USDC for their work. Most contributor streams dish out a few thousand $KRAUSE per month. For context, a genesis Upper Level NFT granted 100 $KRAUSE of voting power. If a contributor earns even 2000 $KRAUSE per month, they are receiving 20x the voting power of a crowdfund participant per month. This is creates a dynamic where contributors are gaining massive governance weight over the very people who are funding their contribution.

This proposal is meant to steer more $KRAUSE towards those who are not benefitting financially from the DAO. This should help get votes into the hands of individuals with clear goodwill to the DAO, who just want to help and don’t necessarily ask for compensation. It also helps escape potential DAO capture where crowdfunders are unable to stop contributors from depleting the treasury.

What is Coordinape?

Coordinate is a tool where community members allocate credit/praise to others based on their contributions to the DAO that month. This allows more Jerry’s to both earn and have a say in where $KRAUSE gets allocated.

Check out their docs here: https://docs.coordinape.com/