| PFP | Title | Description | Author | Discussion | Status | Type | Date |
|---|---|---|---|---|---|---|---|
| 2 | Community Treasury Board | Describes the Polygon Community Treasury Board | Mateusz Rzeszowski, Justice Conder, Bojana Tomic, Mihailo Bjelic | Forum | Continuous | Informational | 2024-04-11 |
PFP-2: Community Treasury Board
Abstract
This proposal introduces the Community Treasury Board (CTB) as an independent governance body responsible for managing the Community Treasury. This includes but isn’t limited to, creating a Community Treasury strategy and post-season impact reports, approving grants and expenses, and managing a budget.
Specification
The CTB is an independent body responsible for shepherding the Polygon Community Treasury. It should comprise thought leaders and experts in ecosystem growth and grant operations. Members must be familiar with ecosystem trends and opportunities and able to formulate a compelling thesis to support their strategic decisions.
CTB Qualifications
Among others, the following qualifications are needed:
- Value Alignment with the Polygon vision and Wider Ethereum and Web3 Values— CTB members should be aligned with Polygon, follow Ethereum’s ethos, and be aligned with general Web3 values, such as decentralization, self-sovereignty, and unconstrained access to the Internet of Value.
- Ecosystem Growth Expertise— CTB will be critical in guiding both early seasons to success via strategy-setting and working on the framework’s evolution towards more efficient and decentralized growth strategies.
- Specific Field Expertise—CTB members will ultimately assess the value of individual projects and allocators to the development of the Polygon ecosystem. As such, they need to possess the skills necessary to assess these efforts well or delegate them to other collaborators they deem qualified.
- Community Expertise—The Polygon ecosystem is at a pivotal moment as it builds a strong community ready to advance it even further. Prospective CTB members need to be able to leverage this effort as an opportunity for long-term ecosystem growth.
- Operational Expertise—Operating the CT is a significant undertaking that requires CTB members to have operational expertise to spin up large programs.
CTB Responsibilities
The Community Treasury Board will be able to determine its procedures to address the following responsibilities.
Strategy Setting
Before a funding cycle starts, CTB prepares and publishes a strategy document. The document sets out a framework for project funding categories, subcategories, and the eligibility of each funding track in the upcoming season.
Pre-cycle preparation is accomplished when the CTB produces a final strategy delineating the above-described allocations. This strategy is published transparently.
Track Selection
This proposal distinguishes two tracks, which the CTB may employ as needed on a per-season basis by including in the strategy document.
Direct Funding Track
The direct funding track facilitates submissions from individual projects to the CTB. All prospective grantees will require CTB approval to receive funding from the CT, following a process laid out by the CTB.
Grant Allocator track
The Grant Allocator track relies on specialized entities facilitating the distribution of allocated funds to grantees. Similarly to individual projects, prospective Grant Allocators will follow a process laid out by the Community Treasury Board.
Expenditure Approval
At all times, the CTB is responsible for reviewing applications from all tracks and approving all expenditures from the Community Treasury, assisted by the Polygon Village Grants team as needed. The Village Grants team may propose funding proposals, but CTB approval is always final and necessary.
Post-Cycle Reporting
Post-cycle, the CTB is responsible for producing a transparency report capturing the decisions, expenses, and the total impact across all participating Grant Allocators. The transparency report may summarize the decisions around individual projects funded within the season, and any learnings from the season.
Allocation - Technical Flow
In the current phase, the Polygon Village Grants team will assist with Community Treasury operations, aggregating approved applications and the preparation of corresponding on-chain transactions. A set of on-chain mechanisms is proposed to facilitate the flow of funds.
The address of the current interim SAFE contract, introduced in PIP-17 and to which Community Treasury emissions stream to, is 0x2ff25495d77f380d5F65B95F103181aE8b1cf898.
A new governance contract (Governor Bravo) is proposed that will govern the Community Treasury. At the core is a timelock controller, which holds funds and executes transactions. The timelock also allows for upgrades to the governance structure itself.
Governor Bravo contracts will be used with voting ERC-721 SBTs held by two SAFE contracts:
PROPOSERERC-721 SBT held by [address to be added] multisig wallet operated by Polygon LabsEXECUTORERC-721 SBT held by [address to be added] ⅗ consensus multisig wallet operated by the Community Treasury Board
For any transaction execution, both of the above SBTs will be necessary - PROPOSER SBT responsible for putting forward an on-chain transaction, and EXECUTOR SBT responsible for voting in favor, consequently executing the transaction (or rejecting in case of an against vote).
The above setup ensures that while Polygon Labs may assist the Community Treasury Board with day-to-day administrative and other non-managerial operations, it may not execute any transactions, including the distribution of funds, without the CTB’s on-chain approval.
Compensation to Initial CTB Members
Each of the initial CTB members will receive a monthly payment equal to $5,000 USD, payable in POL, from the Community Treasury, calculated using the Coingecko Historical POL Close Price as of the last day of each month (or a pro-rata portion thereof for any partial month service).
Copyright
All copyrights and related rights in this work are waived under CC0 1.0 Universal.