TIP: 0002
Title: A Bounty System for Slicing the Telos Founders Rewards Pool Proportionally Amongst Contributors
Authors: Robert Konsdorf <[email protected]>
Douglas Horn <[email protected]>
Status: Draft
Type: Informational
Created: 2018-07-29
Discussion: https://www.youtube.com/watch?v=FNSQ3s8a09A
This proposal provides contributors to the launch of the Telos network the ability to earn slices of the Telos Founders Rewards Pool (TFRP) proportional to the quantity of their contributions. The TFRP is a distribution of 6 MM TLOS for the purpose of incentivizing the growth and development of the Telos network pre-launch. Contributions are units of risk that are measured by cash value. Some examples include time spent working on a task, or spending money in a manner that contributes to a successful Telos launch. Contributions can also be assigned as a fixed bounty on higher value tasks, such as negotiating to earn a Tier 1 exchange’s support or onboarding a high profile DApp project to Telos.
This proposal aims to create incentive structures for those risking time and money to lay the groundwork to launch the Telos network. Creating incentives for initial contributors will increase the chances for success of the Telos project as a whole. The proposed method is based on the “Slicing Pie” model and aims to be transparent, objective, and fair for all participants who would like to contribute.
The bounty system design is based on the Slicing Pie methodology which can be summarized as a framework for objectively measuring a fair split given a group of contributors that are all risking varying amounts of time and/or cash. The goal is to achieve a split where each contributor’s:
% share of the reward = % share of what’s at risk
Each contributor’s split is calculated as follows:
Contributor % of the TFRP = [The adjusted Fair Market Value of your contributions / The Total Adjusted FMV of all contributors]
The concept of “slices” are used to measure the adjusted Fair Market Value of each contribution. Normalizing hourly rates and cash spend to be denominated in USD and setting 1 slice = 1 USD, we can create an accounting system for quantitatively assigning a number of slices to each contribution and thus an objective measure for value. The more slices you earn prior to the TFRP distribution, the higher your percentage of the TFRP split.
This design proposes a system for tracking self-reported contributions, that are approved by the chair of each work group. The system should be flexible enough to allow disputes to be raised and settled manually via majority vote of the named chairs. The system can keep most of the metadata off-chain and potentially keep an on-chain total updated for each contributor.
EOS + Scatter? Blockchain identity provider is ideal. Keybase is another potential avenue.
| Field Name | Data Type | Description |
|---|---|---|
| id | (int) | primary identifier |
| user_id | (string?) | the user that owns the contribution |
| type | (enum) | (cash, time, commission) |
| fmv_rate | (double) | the number of slices earned per unit contribution. |
| hours_spent | (double) | Multiplied with fmv_rate to calculate the total slices earned. Fixed to 1 for cash and commission types. |
| status | (enum) | (reported, approved, denied, appealed) |
| contribution_datetime | (timestamp) | When the contribution happened. |
Use a time tracking integration to Trello to automate reporting of time-based contributions.
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When should the TFRP be distributed? Suggestion: After the Telos network activates.
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What does the approval process for finalizing a contribution look like? Suggestion: work group chairs to approve. Disputes handled by arbitration forum consisting of all of the chairs.
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What are the appropriate FMVs for each role? And what are the roles?
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What are the appropriate number of slices to award for high-value one-off tasks with a fixed bounty?
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What is the process for requesting one-off high-value tasks that aren’t already accounted for? Who decides the task’s value and if it even needs to be done?
Non-applicable; there are no TLOS token holders yet.
This document is placed in the public domain.