For the latest info, read these updates too.
Update 2, posted on Dec 3, 2022
Update 1, posted on Nov 26, 2022
— Original post —
The Algorand Foundation seeks community feedback on the proposed ballot measures for the upcoming Governance Period 5 voting session, scheduled to open at the end of November.
Our CEO, Staci Warden, has shared the foundation’s broad proposals for the 2023 governance program in a post published on our website last Friday, 11 November. We recommend you read Staci’s post, alongside the proposed measures below and invite your comments.
Our focus for next year will be:
- Continuing deliberately on our path toward decentralization;
- Rewarding a wider range of ecosystem participants; and
- Holding ourselves accountable in the way that we spend resources to make sure that those resources are deployed most effectively in support of our mission and our community.
Accordingly, we plan to continue to allocate substantial funds to governance rewards for Algo holders, at roughly half of the current rewards level, while increasing our support for DeFi governors. We will also start allocating funds to other activities, two of which are included in the current voting measures: community grants, and support for creators.
Measure 1 - Allocating 90MM Algo to governance rewards for the next two Governance Periods.
We will continue to allocate governance rewards in the same form as is currently conceived: that is, a) rewards based on a three-month lock of Algos and participation in voting (“General Governance”) and b) rewards based on participation in governance via DeFi dApps (“DeFi”).
Both General Governance and DeFi rewards are being continued for the next two periods, but the rewards rate is being moderated and distributed on a more targeted and impactful basis, compared to 2022. We propose to allocate the following amounts for the next two governance periods:
A. 60MM Algos to General Governance and 30MM to DeFi
B. 70MM Algos to General Governance and 20MM to DeFi
The figures above cover the allocation for the next 2 periods (i.e. 30MM / 15MM in each period under Measure A). During these two quarters, we will assess the impact and gather community feedback.
The Foundation supports Option A.
Measure 2 - Allocating Algo for Community Grants via community proposals and xGov process
We propose to test a pilot allocation of Algo for Community Grants, to be distributed by the upcoming process for community proposals and xGov moderation as described in Measure 2 of Governance Period 3.
These Algos will be distributed over time to projects that are upvoted by the xGovs. If this measure is passed and the pilot is successful, the Foundation would anticipate bringing further measures to expand the scope of this program in future.
We will consult with the community over appropriate safeguards and rules, and would foresee these including the following:
Must contain milestones and deliverables;
Must comply with the mission of the Algorand Foundation to develop the ecosystem, and must adhere to non-discriminatory principles;
Must be built on Algorand and contribute to the overall health of the ecosystem.
A. Allocate 1M Algos to xGov Community Grants
B. Allocate 2M Algos to xGov Community Grants
The Foundation supports Option B.
Measure 3 - Allocating Algos to direct purchase NFTs from Algorand’s creator community
We propose to allocate funds to support creators on Algorand and to establish an Algorand Foundation art collection.
By purchasing digital assets created by Algorand’s NFT community, we aim to support NFT creators, communities and projects; build a collection that can be showcased at both in-person and virtual events; and provide stimulus to Algorand’s burgeoning NFT ecosystem.
We envisage that the purchase, sales and/or donations of specific works will be determined by a community-led curatorial board, and that purchase, listing, and sales procedures would be developed by the community.
A. Allocate Algo 300K to a Creator fund for establishing an NFT art collection
B. Allocate Algo 600K to a Creator fund for establishing an NFT art collection
The Foundation supports Option B.
We welcome your comments ahead of the this period’s voting session set to start on November 29.