As we start the New Year let’s discuss what comes in February! Treasury annual voting and elections.
Here is a short
TLDR: How much of the Shimmer Community Treasury should be allocated to the Tangle Community Treasury, and, what main focus should that funding be focused on?
Each year the community needs to decide how much of the community treasury should be allocated to the Tangle Community Treasury committee. Currently, 63,476,697 SMR ($2,385,417 current price), will be up for a community vote to decide, how much do we allocate to the Treasury committee? We can use all of it, or we can use non-of-it, or we can use a percentage of it. We could use it in the same way we used it over the past year, or, we can try something new and different. There are many things to consider.
Really I think it comes down to if we want to stick to a traditional model which we used over the past year, where grant submitters submit projects to the committee which we review and then fund. Or, we can try something new and innovative in the spirit of the Shimmer network being a place to innovate. So what does that mean? This means we can integrate the community more through integrating with Gitcoin Grants Program (Gitcoin Explorer) and work to integrate a method of Gitcoin Passport to prove human identity and setup Quadratic Funding. The above is something very innovative in the Web3 governance funding space and something we can focus on.
We can stick to the traditional method that we have completed over the past year and will continue for the IOTA Treasury. Instead of trying something new or continuing innovation, we can simply stick with what works and continue this over the 2024/2025 term.
The Treasury can simply not spend anything. Whatever grant the treasury accepts ultimately it needs to fund that grant. This can be done either by the Treasury liquidating, or paying the grant out in Shimmer and the project liquidating the tokens. There are some people that think it would be better to not put any sell pressure on the market price as compared to funding projects that will either grow, or not hurt the ecosystem. What does ‘not hurt’ mean? There have been some projects that have been funded because they needed operating capital to survive until EVM launched. The committee felt if those projects stopped operating the negative effect on the ecosystem would have been detrimental.
If option 1. or 2. above is chosen by the community the next question becomes, how much of the 63,476,697 SMR should be allocated to use? We can take a big chunk of the funding and committ it to make Shimmer a solid network on its own, or, we can use a minimal amount of the Treasury believing the SMR price will increase over time.
I want to initiate these discusssions early and integrate the community to hear everyone’s thoughts and discussion points. Lets make these decisions as one community!