[1IP #29] Recognized delegates program

[1IP #] Recognized delegates program
squad @DAOplomats.eth

# Simple Summary

This proposal suggests creating a 6-month trial of a funded Recognised Delegates Programme for 1inchDAO.

# Abstract

The goal of the Recognised Delegates Programme is to reduce the collective cost of governance and increase the effectiveness and efficiency of the governance process in 1inchDAO. To attract, select and retain the best talent, we suggest vetting each Recognised Delegate (group/individual) based on past performance in 1inchDAO and other DAOs and a compensation structure

# Motivation

Crypto is speed running in the history of human coordination. As DAOs evolve from their early idealistic vision to becoming more internet-native organisations, so too must the coordination mechanisms evolve. We have seen that specialisation plays a crucial role in traditional organisations. Specialisation allows organisations to maximise efficiency and effectiveness and thus increase productivity overall. All specialised positions, from Gardners to rocket scientists, do their best work when they are adequately compensated for their time and efforts. We believe that this Recognized delegates program will assist the DAO in reducing its collective cost of governance while improving efficiency and direction

# Specification

What is a Recognized delegate?

A recognised delegate is an elected, paid position of reputable, diligent and qualified 1inch DAO members who will work closely with the team and contribute to the growth and sustainability of the 1inchDAO

Eligibility:

  • Have a minimum 500,000 in voting weight
  • contribute in forum conversations for 3 months
  • Post a public link with audio recording where the delegates communicate their vision and values.
  • Get accepted as Recognized delegates by following the process below:

** Framework for Delegates to become recognized delegates**

      At the beginning of the engagement each delegate posts their goals and plans for the 6 month engagement with the DAO with clear KPIs.If the proposal is approved then the DAO will accept the delegates as recognized delegates and hold them accountable to the listed KPIs

     The delegate has to communicate their work at the end of the engagement with a report posted on the forum. 

Responsibilities:

  • Read, understand, and provide feedback if necessary on governance forum posts.
  • Always vote in the best interests of the DAO and the community over their personal interests.
  • Actively vote on governance proposals and explain the thinking behind each vote when relevant
  • Understand the 1inch Network, its key metrics and the overall ecosystem.

Compensation:

This Recognised Delegates Programme trial program aims to attract and retain entities and individuals who will actively participate in governance on behalf of 1inch token-holders as governance specialists. Hence we suggest compensating the delegates based on minimum participation and performance.

  1. Fixed Compensation:

All recognised delegates meeting the minimum eligibility criteria will receive $4000 in USDC each month

Fixed comp eligibility:

Minimum Participation: A delegate must maintain at least a 80% participation rate. Participation is measured as voting in any “temperature check” or on-chain governance vote.

Minimum Communication: A delegate must maintain at least a 80% communication rate. Communication is measured as providing for any “temperature check” or on-chain governance vote a summary, voting position, and justification for that position. A missed vote will still require communication to avoid a lower communication rate.

Minimum Delegation Threshold: To remain eligible for delegate incentives, a delegate must maintain voting weight of at least 500K 1inch tokens

# Rationale

Delegation and compensation mechanisms vary across the DAO ecosystem. Some DAOs such as Maker, OP, Hop compensate delegates as a % of their voting power, participation, and minimums. We believe that this motivates delegates to accumulate more voting power instead of focusing on positive governance practices in the DAO. Hence we suggest a minimum delegation and participation threshold to qualify for governance rewards

Based on delegation examples in traditional organisations, we believe that in short to mid-term this methodology offers the best results for the DAO given its current maturity and contributor engagement. We acknowledge that crypto is a fast-evolving space and the ecosystem may arrive at better governance mechanisms than delegation in the future

# Considerations

The 1inchDAO should consider building a reputation dashboard so that anyone can track the voting history and performance of delegates. A platform such as tally.xyz can also make it easy for potential delegators to delegate their tokens.

In terms of budget, we suggest setting aside 50,000 USDC to run this program over 6 months for the two recognized delegates: StableLab and DAOplomats

7 Likes

I’m in favor of this proposal, a couple of things I think we need to address before we vote on it.

Logistics of payment

I, and a couple of the core contributors, met with SuperFluid earlier and we think it would be a great solution. They are now on Ethereum mainnet, so we’d be able to trustlessly set up the payment stream via a Snapshot vote that uses SafeSnap to execute (just like all spending proposals). The gas fees associated with setting up the payment stream on mainnet is actually pretty low.

Program budget

We may want to earmark more than $50,000 for this program. Even with just 2 delegates meeting these requirements, the cost would be $48,000 for this 6-month trial. We should probably double or triple that amount to make room for having 4 or 6 delegates.

Sybil resistance

Since this offers a flat incentive for anyone who meets all of these requirements, we may want to think of some sybil resistance measures. Though unlikely, a large 1INCH holder could split their holdings across multiple wallets and double-dip on the incentive. Maybe we could have a minimum Gitcoin passport score or something?

2 Likes

I, and a couple of the core contributors, met with SuperFluid earlier and we think it would be a great solution.
We have no problem with using Superfluid and it seems like a great solution!.

Program budget
We may want to earmark more than $50,000 for this program. Even with just 2 delegates meeting these requirements, the cost would be $48,000 for this 6-month trial. We should probably double or triple that amount to make room for having 4 or 6 delegates.

Yah how about increasing the program to 4 delegates with a total Budget of 100K USDC?

Sybil resistance
This is a trick thing we need to answer the following questions!
Where will the Sybil checked

  1. will it be Checked in the main space during the eligibility vote - i.e all further votes will be sybil checked and need a 1IP to add this to the Snapshot settings
  2. is it better off with a dedicated front end or sub space? if its a sub space, how can we accommodate it in the current gov process.
  3. In Application- should someone else vet all the applications in a permissioned manner
2 Likes

This is an excellent initiative that forms the bedrock for a valuable contributor culture in the 1INCH DAO.

We hope this initiative encourages new delegates to join 1INCH Governance and actively participate towards its growth.

2 Likes

The following changes were made to the proposal based on feedback:

  • maximum of 250,000 in self delegation
  • Pilot program budget increased to 100K
  • An OPS multi-sig would be used to administer expenses
2 Likes

@RoundElephant @Baer We have a reputation dashboard that can be used by delegates to add a delegate statement and we can track their voting participation, forum activity and delegated votes across any timeframe you like.

For sybil resistance, we already have ways to let them link their twitter, forum and discord handles and track their activity there. We can also integrate with gitcoin passport and display their score.

FYI - you can find more details and discussion here https://gov.1inch.io/discussion/11092-1rc-karma-delegate-dashboard-for-1inch-dao

1 Like

moving this proposal to snapshot.
[
{
“to”: “0xA0b86991c6218b36c1d19D4a2e9Eb0cE3606eB48”,
“operation”: “0”,
“value”: “0.0”,
“method”: “transfer(address,uint256)”,
“params”: [
“0x45e84e10e8E85c583C002A40007D10629EF80fAF”,
“100000000000”
]
}
]

1 Like

Tenderly simulation of this proposal: https://dashboard.tenderly.co/public/safe/safe-apps/simulator/bbb8dd97-3377-4f2e-a7a2-f746d8b29f12