The Tulip Swarm, a vital contributor to the 1Hive ecosystem, requires a robust and sustainable compensation system to incentivize and retain talent. This proposal outlines a comprehensive framework, utilizing Hnydai (a theoretical combination of HNY and DAI) as a core component, to ensure the long-term success of the swarm. This system aims to attract and retain contributors by offering predictable income, performance-based rewards, and long-term alignment with the project’s goals. This framework focuses on clarity, simplicity, and ease of administration.
Section 1: The HNYDAI Compensation Framework
The proposed compensation model comprises two fundamental elements: a weekly stipend and a vesting premium, both potentially leveraging HNYDAI.
Weekly Stipend: Ensuring Predictable Income
The weekly stipend aims to provide consistent compensation for contributors’ time and effort. Two tiers are proposed:
- Baseline Stipend: Intended for part-time contributors, this stipend provides a base level of compensation for consistent participation. The proposed amount is 500 DAI per week.
- Full Stipend: Designed for full-time contributors, this stipend should comfortably cover living expenses. The proposed amount is 1,500 DAI per week.
Eligibility Criteria:
- Active and contributing member of the Tulip DAO in good standing.
- Consistent attendance in team calls or providing regular asynchronous updates.
- Regular contributions aligned with the swarm’s priorities, documented in project management tools. A contribution threshold of approximately 8 hours per week is expected.
- Full Stipend Only: Working on Tulip Swarm projects as their primary occupation.
Stipend Granting and Revocation: A transparent proposal and review process within the DAO will govern stipend approvals and revocations, based on the defined criteria. Revocation triggers include breaches of trust, community covenant violations, prolonged inactivity, or leaving the DAO.
Vesting Premium: Rewarding Long-Term Commitment
The vesting premium incentivizes long-term contributions and project success.
Eligibility Criteria: Contributors must meet the criteria for the baseline stipend.
Premium Allocation: Monthly, DAO members allocate premium points to stipended contributors based on performance. Contributors receive a proportional share of the premium pool, weighted by their allocated points. The premium pool could consist of HNY, DAI, or a combination thereof (HNYDAI).
Vesting Schedule: A twelve-month vesting period applies to all premium allocations, with linear disbursement starting after the vesting period. This encourages sustained contributions and project maintenance. Revocation of the stipend automatically revokes the premium.
Freelance Rates: Compensation for Non-DAO Contributors
Contributors not eligible for or opting out of the stipend/premium model can negotiate individual freelance rates based on their role and experience.
Section 2: Leveraging Existing Tools
The proposed framework leverages existing tools to minimize development overhead and maximize efficiency:
- DAO Governance: DAOhaus Moloch v2 offers robust on-chain governance capabilities.
- Stipend Distribution: Superfluid enables automated, continuous stipend payments.
- Premium Allocation: Coordinape facilitates transparent and decentralized allocation of premium points.
- Premium Distribution: Superfluid manages the vesting and disbursement of premiums.
Section 3: The Tulip DAO: A Moloch v2 Implementation
A Moloch v2 DAO, summoned through DAOhaus, is proposed to govern the Tulip Swarm. This structure provides:
- On-chain Governance: Facilitates transparent decision-making and execution.
- Flexibility: Allows for adaptable membership parameters and governance rules.
- Exit Options: Members can exit the DAO and recoup their contributions via ragequit.
The Tulip DAO will assume governance responsibilities for existing and future Tulip Swarm projects, including xCOMB allocation, staked farm unlocking, and Honeyswap parameter settings.
Conclusion: Building a Sustainable Future for the Tulip Swarm
This comprehensive compensation framework, utilizing HNYDAI as a potential component, aims to foster a thriving and sustainable Tulip Swarm. By offering predictable income, performance-based rewards, and long-term incentives, this system attracts and retains talent, driving innovation and growth within the 1Hive ecosystem. This proposal invites community feedback and discussion to refine and implement this crucial framework.
