VFDP-9 Adjusting compensation structure of VITA-FAST Project Lead [cont.]

Summary

As we have seen in other projects funded and run by VitaDAO, a mix of token and cash-like incentives is an important factor in attracting top talent and driving projects forward efficiently. This proposal suggests an adjustment to the token compensation package originally proposed in VFDP-1.

Background

VFDP-1 outlined the creation of a Project Lead role, its core responsibilities and a simplistic token compensation framework for the role: "the Project Lead will receive 0.2% of the total supply of VITA-FAST tokens in the project for each month of service, which will unlock after a one-year period.".

VFDP-8 elected Oliver Armitage as Project Lead and approved a cash-like monthly compensation to expedite the beginning of activities.

This proposal then revisits the token compensation package for the Project Lead, proposing a framework that is directly linked to deliverables:

Details

Token compensation will have two components: "Fixed Component" and "Variable Component".

• Fixed Component: 3.5k VITA-FAST tokens to be distributed at the end of each quarter starting from Q3-24, including an initial batch of 3.5k tokens to be transferred immediately in the event this proposal is approved. All batches, including the initial one, shall be subject to a 3-year quarterly vesting schedule;

• Variable Component: distributed at the end of each quarter following an evaluation of performance based on deliverables:

-> Deliverable 1 (due in July 31st 2024): project plan and next steps covering the next 6 months of experiment plans in a detailed manner with the indication choices, trial pathway and approval pathway covered at a higher level. These topics will then be more detailed in subsequent deliverables.

-> Deliverable 2 (due in end of Q3-24): delivery and review of project plan, current data, and development options with Scientific Advisory Board;

-> Deliverable 3 (due in end of Q4-24): delivery of data package from next round of experiments on 3 lead series (details will be outlined in Deliverable 1).

-> Deliverable 4 (also due in end of Q4-24): plan of next steps for project including next fundraising, shared with community by end of contract (31Dec2024). Include recommendation of development plan and associated regulatory and commercial aspects. Consider both fundraising via IPTs or traditional investment options.

-> Q1-25+: TBD based on go/no-gos from outcomes from 2024.

• Where Project Lead have the opportunity to be rewarded for performing his responsibilities well, there also is a need to ensure commitment and high-quality deliverables. Therefore, Project Lead must be prepared to put at risk up to 20k VITA-FAST tokens.

• Should Project Lead's performance not meet expectations in any given quarter, up to 50% of the total amount of tokens put at risk shall return to the project's treasury.

• VitaDAO's Web3 Pod will be the entity responsible for conducting the performance evaluation process and reporting back to the community. Performance evaluation shall be directly linked to the deliverables outlined above and will fall under one of the following tiers:

-> Ok: 15% of tokens put at risk granted as reward;

-> Good: 32.5% of tokens put at risk granted as reward;

-> Outstanding: 50% of tokens put at risk granted as reward;

• Out of the total amount earned in the Variable Component each quarter, 25% shall be fully unlocked and liquid while the remainder shall be subject to a 3-year quarterly vesting schedule.

• Unvested tokens shall immediately return to the project's treasury in the event the Project Lead decides to leave the project.