PEP-34: Triforce Shard Budget (1st Tranche)

Attributes

  • Author(s): @RichardPokt @adam @JaureguiA @jdaugherty
  • Recipient(s): Contributors (Triforce Shard Members)
  • Category: Allocation of DAO Protocol Revenue
  • Related Proposal(s): PEP-33: Triforce Shard Income Proposal
  • Asking Amount: 300,000 POKT

Summary

Triforce offers Pocket Network an avenue to scale to 100 blockchains while minimizing internal resource consumption in people and infrastructure by involving community members at the edges to take additional responsibility for shepherding the protocol more actively. Triforce Shards are “Temporary Autonomous Zones” self-governed by the members of each shard (blockchain network) and managed in collaboration with community coordinators. Read more here.

This proposal seeks to provide Triforce Shards working budgets to offset costs related to launching support for new blockchain networks in Pocket Network.

PNI is asking for an initial budget of 300,000 POKT for 10 shards at ~30k per shard split between each shard member as needed for the pilot launch of Triforce with external Community members. If deemed successful, a follow-up proposal with adjusted budget targets based on average costs of the first 10 launches will be submitted for the next tranche of shards, similar to the norm of seeking reimbursements.

Motivation/Rationale

  1. To scale to 100 supported blockchain networks by the end of the year.
  2. Incentivize community members and node service providers to seize more responsibility.
  3. Minimize internal resource consumption.
  4. Compliments the Shard Income Proposal PEP-33

Budget

Phase 1 PEP-34: Triforce Shard Budget 1st Tranche

  • 10 Shards
  • 30k POKT per Shard

Budget Considerations

As shard budgets are intended to only cover launch costs, shards will be given an initial budget via stablecoins issued by a DAO administrator from budget proposals provided by shard members. These proposals should cover all known expected launch costs the shards wish to have covered by the budget stipened. Any amount requested over the 30k POKT budget will not be honored. Once a shard has met growth expectations, or if budgets have not been used within 3 months, then any unused POKT will remain with the Pocket DAO.

While usage of Shard budgets will not be audited, all Shards will be held accountable for meeting deliverables as outlined further down in this proposal.

Based on the first internal launches of Triforce shards, PNI estimates that the average cost of launching a new blockchain will range from $5-15k.

What are acceptable forms of spend?

DevOps expenses such as but are not limited to

  1. Hardware Costs that are specific to the chain’s specifications
  2. An initial 3 months of virtual data storage costs
  3. Monitoring or logging tools

Marketing expenses such as but are not limited to

  1. Influencer promotion strategies
  2. Paid advertising (PR, influencers, SEM, SMM, sponsored content)
  3. CMS or Design tooling

Business Development expenses such as but are not limited to

  1. Lead Generation
  2. Flights & Accommodations for Events (Conferences/Hackathons/Meetups/Hackert Houses)
  3. Hosting, organizing and co-sponsoring events

What are unacceptable forms of spend?

  1. Personal wages: PEP-33: Shard Income Proposal incentivizes shard members to put in work for their respective shards. They’ll essentially get paid in POKT based on their output of paid relays.
  2. Artificial growth: Shard budgets should not be used for personally staked or otherwise relays.
  3. General networking: While relationship building is highly encouraged, shard budgets should not be used to attend general events or spent on general industry opportunities that do not have a direct connection to the shard’s blockchain network.

Dissenting Opinions

30k Per Shard Isn’t Enough

The Triforce shards’ budgets are not meant to cover all costs. It’s meant to offset the costs of launching new blockchains. If shard members believe they require more funds than allocated, then they should find alternative sources of funding like grants or incentive programs from blockchain-specific foundations or DAOs in addition to the ongoing shard income.

The overall 300k POKT budget is too much

The DAO is capturing 10% of the overall protocol revenue under current WAGMI conditions. In the month of March, the Pocket DAO earned 8.66M POKT. This spend is worth it to reach the milestone of supporting 100 blockchain networks by the end of the year, especially if it liberates the Pocket Core team to focus on other high-leverage, strategic opportunities.

Contributors will frivolously spend their budget

All expenses will be submitted to PocketDAO and can be rejected by the Program Manager. Acceptable forms of spend are outline in the proposal above.

As outlined, if there is excess POKT (or stablecoins that were converted from POKT) that is not spent, the tokens will remain with PocketDAO.

Copyright

Copyright and related rights waived via CC0 1.

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In case you missed it in Discord, this proposal is up for voting Snapshot

This proposal has been approved with 22 yes votes and 1 no vote. Snapshot

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