Community Fund Processes: USD Pricing

Community Fund Processes: USD Pricing

This forum post addresses the issue of Community Fund payouts denominated in NEAR tokens. Going forward, all prices will be discussed in USD, then converted to a NEAR amount when submitted to the Community Squad DAO and other DAO verticals. Our intention is to avoid problems caused by the volatility of NEAR used in compensating ecosystem contributors.

Phase 1: Off-Chain Discussion

There has to be sufficient discussion before a proposal is approved by the Community Squad. Ecosystem participants will need time to review forum posts and relevant materials in order to fairly assess the value and importance of a given proposal.

During this phase, all price discussions will be in dollars ($USD).

Phase 2: On-Chain Proposal

After multiple days of discussion, without lingering / unanswered questions or any objections from the community, a proposal would be submitted to the appropriate DAO vertical, e.g. Community Squad DAO.

The proposed amount in USD should be converted to NEAR using the price when submitting. Please include the rate in your proposal description! You can refer to CMC, CoinGecko, etc.

Phase 3: Review and Voting

Council members will review the proposal discussion and make their decisions within the respective voting period. Lack of discussion is a valid reason to ignore / reject a proposal.

If the NEAR price in USD significantly decreases while the proposal is being reviewed, participants could submit another proposal to cover that difference.

What’s next?

Looking ahead, we are planning to introduce a v2 Community Squad DAO, and other DAO verticals will be adapting to leverage new capabilities. For example, managing a diversified treasury with stable tokens like nDAI / nUSDT and other cryptocurrencies on NEAR.

We could also introduce roles for any contributors, enabling more involvement by the community. The purpose of NEAR Community Fund is to drive adoption. We intend to leverage open-source applications to reward contributors (especially builders) for helping our ecosystem achieve sustainable development and growth.

Please reply with any thoughts! Your feedback is much appreciated :slightly_smiling_face:

15 Likes

Hello,

speaking as a council member of the Incubadora DAO, a DAO occupied with supporting artists and creating ways in which they explore their work and are rewarded in a fair and sustainable way, I very much support this idea.

This allows the members of my community to focus on the quality of their proposals, in creating a fair ecosystem in which everyone can thrive, and less in the financial risk/reward the fluctuating markets offer.

I know and agree that 1NEAR = 1NEAR, but I am, unless someone puts forth an incredible argument against it, FOR this idea.

8 Likes

For this idea too.

However, I think that a contribution bonus (e.g. a percentage of the requested amount put on top) should be considered - The contributing community is one of the forces driving NEAR ecosystem forward and they should be rewarded with a little extra for doing so IMO.

1 Like

One idea that I saw others doing is not to use the USD price in the day, but the last 30 days average, reducing even more the volatility. For proposals that request a high amount of USD it will be better for both NEAR and the proposer.

4 Likes

Loving the diversified treasury idea!

3 Likes