Algorand Community Governance:
Period 5 Voting Measures
— Update: December 3rd, 2022 —
We are making a further revision to this quarter’s governance proposal. We are also delaying the start of voting period until Monday the 5th to give some time for the community to review the measures.
Last year’s governance rewards program covered the four periods in 2022, meaning that it expires at the end of this year. The measures for this fifth vote were to design a new governance rewards program, for a six-month period, to try a more targeted approach and to put the ecosystem on a path of less reliance on “general” governance rewards and increased rewards for additional activities that directly support the health of the ecosystem. Although most of you understood this, some in the community thought that the reallocation of the governance rewards was too sudden and required more lead time to prepare.
Given the confusion, we are making this governance period a transition governance period of three months instead of six months. (That is, a one quarter vote, as we had last year). During this transitional period, we keep the perceived “status quo” of 70.5MM Algo in total rewards. The other measures – for DeFi, for xGov, and for NFTs - remain the same, but now they are counted against the 70.5 MM Algo total. That is, we ask the community to vote on five specific measures - one for Defi (DeFi funding choices remain the same); two for NFTs (same choices); two for xGovs (same choices), with the residual rewards going to general governance.
In summary, we are changing two things as compared to the previous proposal:
1. We are reducing the length of the governance period from two quarters to one quarter;
2. We are adding the explicit notion that – after subtracting funds for DeFi, xGov, and NFT measures based on community preferences - any remaining Algos will be allocated to general governance.
— Update: November 28, 2022 —
Government Period 5 voting session addresses the distribution of Governance rewards for the first half of 2023, as well as funds allocation for xGov grants and the creation of a NFT colletion to support creators. See more details and discussion at https://forum.algorand.org/t/feedback-request-on-proposed-q4-2022-governance-measures/8236/123.
The opening date of this voting session is delayed by 7 days - from the original start date of 28 November - to allow extra time for governors to evaluate measures.
Voting Measure 1: Allocating up to 15MM Algos to DeFi for the Next Governance Period
In this measure, governors vote on the allocation of either 15MM or 10MM Algos to support our DeFi ecosystem.
If Option A passes, the General Governance pool will be 55.5 MM Algos, minus community allocations to other Measures. If Option B passes, the General Governance pool will be 60.5 MM Algos, minus community allocations to other Measures.
Voting options for this measure are:
A. Allocate 15 MM Algos to DeFi for Q1/2023.
B. Allocate 10 MM Algos to DeFi for Q1/2023.
The Foundation supports Option A.
Voting Measure 2: Approving of up to 2MM Algos for a Community Funding pilot program via the xGov process
The xGov ARC is currently being drafted, and we intend to publish it for community feedback in the second half of December. To prepare for the xGov implementation in the new year, we propose allocating up to 2MM Algos for a Community Grants pilot program. If this Measure is approved, Algos would be made available for projects proposed by the whole community, upvoted by the xGovs and approved by General Governors.
If this measure passes and the pilot is successful, the Foundation anticipates bringing further measures to expand the scope of this program in the future.
We will consult with the community to create appropriate proposal safeguards and rules, 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 ecosystem’s overall health.
Do you approve the allocation of Algos for the community grants pilot program via the xGov process?
Voting options for this measure are:
A. Yes
B. No
The Foundation supports Option A.
Voting Measure 3: Allocating up to 2MM Algos for a Community Funding pilot program via the xGov process
If Measure 2 passes and the Community Funding pilot is approved, then Measure 3 will decide the amount to be allocated for this program.
Please indicate your preferred allocation amount.
Please vote on Measure 3 even if you voted No to Measure 2. If measure 2 is not passed and the majority do not support the Community Funding pilot, then Measure 3 will have no effect.
If Option A passes, the General Governance pool will be 68.5 MM Algos, minus community allocations to other Measures. If Option B passes, the General Governance pool will be 69.5 MM Algos, minus community allocations to other Measures.
Your voting options for this measure are:
A. Allocate 2MM Algos to xGov Community Grants
B. Allocate 1MM Algos to xGov Community Grants
The Foundation supports Option A.
Voting Measure 4: Approving of up to 600K Algos to seed a Community curated NFT Collection
We propose to allocate funds to support NFT creators on Algorand and to establish a Community curated NFT Collection to drive ecosystem growth.
By purchasing digital assets created on Algorand, we aim to support NFT creators, communities and projects, build a collection that can be showcased at in-person and virtual events, and provide stimulus to Algorand’s burgeoning NFT ecosystem.
The Foundation sees the creation of this Algorand NFT Collection as a “low risk, high reward” opportunity to raise awareness around NFTs, drive new creators and users into Algorand, and engage with the existing community.
In this initial instance, the collection management - buying, receiving, selling, and giving away pieces within the collection - would prioritize primary sale or shuffle acquisition for direct creator support and be determined by a committee consisting of both AF and community stakeholders.
Do you approve the allocation of Algos to seed the establishment of a Community curated NFT Collection?
Your voting options for this measure are:
A. Yes
B. No
The Foundation supports Option A.
Voting Measure 5: Allocating up to 600K Algos to seed a Community curated NFT Collection
If Measure 4 passes and a majority wish to establish a community-curated NFT Collection, then Measure 5 will decide the amount to be allocated for this program. Please indicate your preferred allocation amount.
Please vote on Measure 5 even if you voted No to Measure 4. If measure 4 is not passed and the majority do not support funding a community-curated NFT Collection, then Measure 5 will have no effect.
If Option A passes, the General Governance pool will be 69.9 MM Algos, minus community allocations to other Measures. If Option B passes, the General Governance pool will be 70.2 MM Algos, minus community allocations to other Measures.
Your voting options for this measure are:
A. Allocate 600K Algos to seed the establishment of a Community-curated NFT collection
B. Allocate 300K Algos to seed the establishment of a Community-curated NFT collection
The Foundation supports Option A.