Fund10 parameters

Fund10 Operating parameters are the actual operating parameters that make up the Catalyst voting protocol put in place to enable the community to decide which proposal will receive funding from the Cardano Treasury.

Table 1

This table summarizes main parameters to be used.

#
PARAMETER
VALUE
DESCRIPTION

Product/Business/Informative Parameters

A1

Direct Voting privacy state

Yes

Are votes private?

A2

Fund name

Fund10

A3

Funds under control

50,000,000 ada

Fund will control 50M ada

A4

Challenges title and budget

Development & Infrastructure - ₳8,685,600


Startups & Onboarding for Students - ₳394,800


Products & Integrations - ₳9,080,400


OSDE: Open Source Dev Ecosystem - ₳3,158,400


SPO Tools & Community Projects - ₳4,737,600


Developer Ecosystem - The Evolution - ₳6,316,800


DAOs <3 Cardano - ₳3,158,400


Atala PRISM: Launch Ecosystem🚀 - ₳3,158,400


dRep improvement and onboarding - ₳394,800


Building on NMKR - ₳394,800


Catalyst Open - ₳1,400,000


Catalyst Fund Operations - ₳2,140,000


Catalyst System Improvements - ₳3,570,000

A5

Minimum budget request per proposal

₳15,000

Minimum amount for each proposal.

A6

Maximum budget request per proposal (Applies to Catalyst Open category only)

₳75,000

Maximum amount for each proposal in the Catalyst Open category

A7

Proposals submission fee

Free

Proposers can submit any number of proposals for discussion on Ideascale. Catalyst Team will remove ‘placeholder’ proposals at the point where the submission deadline elapses. Placeholder proposals include proposals where any of the form fields are left unanswered or obviously incomplete by the deadline.

A8

Funds Move Instantaneous Rewards (MIR) target date

Sep 18, 2023

Fund10 budget should be moved from the treasury to the seed account before voting results.

A9

Rewards and funds distribution target date

Oct 16, 2023- Oct 20, 2023

When community rewards and F10 funding for initial milestone 1 tranche is paid following verification of test transaction.

A10

Maximum proposals that can be put on the ballot

No limit

A11

Community Reviewer registration

Through Ideascale

Anyone can register as a Community Reviewer.

Community Reviewers will be delineated between Lv0, Lv1, Lv2 reviewers based on their contributions during the Community Review stage.

A12

Proposals registration on the blockchain

Aug 30, 2023

Date when proposals are loaded into the vote plan and registered into Block0

A13

Voting power threshold

Minimum 450,000,000 lovelace. (450 ada)

Recommended 500,000,000 lovelace

(500 ada)

450 ada is the minimum stake threshold to become a voter, based on the efficiency benchmarks of the voting protocol.

Specific value of the voting stake threshold will be defined by the protocol benchmarks.

Please note that due to the variety of 3rd party wallet providers integrating with Catalyst and associated voter registration fees, the recommended threshold to communicate is 500 ada required to participate in Catalyst voting as a buffer to account for unclaimed staking rewards.

A14

Registration snapshot date

Aug 18, 2023 09:00 PM UTC

A15

Voting period start time

Aug 31, 2023, 11:00 AM UTC

UTC date and time when voters can start voting on proposals

A16

Voting period end time

Sep 14, 2023, 11:00AM UTC

A17

Start of tallying

Sep 14, 2023

A18

End of tallying

Sep 18, 2023

UTC date when the decrypted tally is made publicly available.

A19

fund_id

10

Fund_id as described in vote plan

A20

Tallying optimization

1 ADA = 1 voting token (i.e. the stake amount in lovelace is divided by 1000000)

How voting power is being proportionally reduced in order to optimize tallying performance

Rewards Parameters

B1

Proposal Funding logic (winner selection rule)

Fuzzy threshold voting, proposals are ranked by the difference of Yes and No votes and funded one by one until challenge budget is exhausted

Proposals are ranked by sum of votes and funded in order. If the amount requested by a proposal is larger than the remaining challenge amount, it is skipped.

B2

Proposal acceptance threshold

1% of total voting power

15% more ‘Yes’ than ‘No’

At least 1% of the total registered stake must vote on a proposal.

E.g., there is 1 billion ADA as a total registered stake.

To be accepted (become an ‘approved proposal’ as well as be eligible for funding), a proposal must be voted by at least 0.01 * (1 * 10^9) = 10 millions of ADA.

'Yes'-'No' difference of the stake voted on proposal must be at least 15%

Formula: (YES-NO)/(YES+NO) > 0.15

(e.g., 90% 'Yes' and 10% 'No', or 57.6% 'Yes' and 42.4% 'No', or 100% 'Yes' and 0% 'No', etc.; it is assumed that abstained stake does not vote on the proposal in the current architecture).

B3

Voting options and Funding logic in Catalyst Operations category

Yes/Abstain

No ‘No’ option

No thresholds

The winner is determined by the highest ‘Yes’ vote only.

B4

Vrtotal

2.50% ₳1,250,000

Voter Rewards

Rewards are received by casting votes

B5

Artotal

2.50% ₳1,250,000

Community Review Rewards

LV0 (20% of share)

LV1 (80% of share)

B6

AArtotal

0.40% ₳200,000

Community Moderator Rewards

LV2 (up to ₳5 ada for each review check)

B7

Cttotal

0.22%

₳110,000

₳10,000 per CT

30% (₳3,000) Deliverable 1

70% (₳7,000) Deliverable 2

Challenge Team rewards paid for:

  1. Deliverable 1: Introducing the challenge during F10 launch

  2. Deliverable 2: Onboarding FPs and conducting PoL verification

B8

Pam

1.20% ₳600,000

Breakdown:

0.40% ₳200,000 for Project < ₳150,000

  • ₳200 per Milestone PoA

0.80% ₳400,000 for Project > ₳150,000

  • ₳300 per Milestone PoA

₳350 per Statement of Milestone (regardless of project budget)

Project Accountability Management Rewards

Rewarding Community Reviewer help to verify :

  1. Statement of Milestones (SoM)

  2. Milestone Proof of Achievement

[1] Funded projects will submit to Catalyst a Statement of Milestones

SoM is verified by at least 2 community reviewers and rewarded ada for their work.

[2] PoA conducted by a reviewer representative. PoA incentive is paid to reviewers.

Where proposals are over ₳200,000 reviews must be conducted by 2 separate reviewers.

Maximum reward is ₳200/₳300 each for 2 reviewers to carry out PoA.

B9

Voter Rewards formula

Vrj=stakejstaketotalVrtotal

Voter rewards will be given for active participants only in proportion to the voting power voters have.

stakej - voter’s stake;

staketotal - total amount of ‘active’ stake.

B10

Community Review LV0 reward formula

0.5%

₳250,000

% Share of rewards taken from 20% of the allocated budget

Maximum ₳17 per review

Share of rewards based on number of Lv0 community rewards received

0.5% of total budget

B11

Community Review LV1 reward formula / $ price per LV1 Community reviewer reward

2%

₳1,000,000

₳33 per review taken from 80% of the allocated budget

A simple price paid per review

2% of total budget

B12

Community Review LV2 (Community Moderators) reward formula / $ per Lv2 reward

0.4%

₳200,000

Maximum ₳5 per LV2 flagged review check

Share of rewards based on number of flags raised by scripts for LV2 moderator review

0.4% of total budget

B13

# of LV1 reviews that will be rewarded in a round

10-80 Reviews per LV1 Community Reviewer are rewarded under this parameter

A limit to how much an individual LV1 can be rewarded for their allocation in a single funding round.

Minimum rewards threshold is ₳330 in ada for 10 reviews. Any number of reviews under this amount will not be rewarded.

Any reviews above the threshold allocation number (80) will be included into the LV0 pot

Back-End Parameters

C1

Direct Voting privacy state

Yes

Are votes private?

C2

Funds under control

50,000,000 ada

Fund will Control 50M ada

C3

Voting power threshold

450,000,000 lovelace. (450 ada) Communicate threshold as 500 to account for tx fees

Minimal stake threshold to become a voter, based on the efficiency benchmarks of the voting protocol.

Specific value of the voting stake threshold will be defined by the protocol benchmarks. Note that threshold must be lowered by 50 ada from the amount stated to the community to address registration fees.

C4

current_fund_name

Fund10

C5

current_insight_sharing_start

Jun 22, 2023

C6

current_proposal_submission_start

Jun 22, 2023

C7

current_refine_proposals_start

Jun 22, 2023

C8

current_finalize_proposals_start

Jul 13, 2023

C9

current_proposal_assessment

Jul 20, 2023

C10

current_assessment_qa_start

Aug 10, 2023

C11

current_snapshot_start

Aug 18, 2023

C12

current_voting_start

Aug 31, 2023

C13

current_voting_end

Sep 14, 2023

C14

current_tallying_end

Sep 18, 2023

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