[DAO:3e1f542] Should a budget reduction replace the grant freeze?

Governance
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by 0x0d2d5a968127d3fea9dc5032c78724620980a62d (dclchess)

Should the DAO have a budget reduction instead of a grant freeze?

Current grant freeze: Save 40% of budget

Replace with budget reduction: Save 40% of budget

Bitcoin is at 52k and MANA is at 50 cents, we are in a 2024 bull run.

Let’s fund small grants creating content that will bring more daily active users to DCL. Waiting 10 months for a foundation client is a foolish business blunder that will allow competitors to take market share.

DCL’s main advantage over the competition is being one of the first to market with a functional product, but being slow during a bull run will give our adversaries time to catch up by developing superior products.

The 2024 bull run is DCL’s opportunity to grow. We have 6 years of budget left which is plenty. With a budget reduction we have over 10 years of budget left. What are the actual fixed costs of maintaining the DAO? Do we even have any big expenses besides grants that we would need the treasury to cover? The point of the treasury is the fund growth through the community.

If we freeze grants until 2025, the bull run might be over and we would have missed this rare opportunity to grow during favorable market conditions which only happens around once every 3 years.

Having a grant freeze won’t even have the intended effect of saving MANA in the treasury as we will suffer the opportunity cost of not expanding the daily active user numbers during a bull run.

Daily active users = price of MANA = value of the DAO treasury

The 8m VP whale is going to continue to veto anything he doesn’t like anyways, so what’s the risk of having a budget reduction instead of a grant freeze? The argument of a grant freeze stopping bad grants doesn’t work because the platform category can still be abused if the 8m VP whale wasn’t voting. Full transparency: I was voted down by this whale so I don’t have much ambition of even getting a grant for myself… I am worried about all the other small creators and the value of my investment in MANA as the main motivations for making this proposal.

Both a budget reduction and grant freeze would save 40% of the budget, so can someone please explain to me how reducing the budget is not the better option for a game that depends on motivated small creators?

Does Morph and Facemoon not deserve their small grants? Why did people who voted yes on the grant freeze turn around and vote yes for these small creators? Does DCL Brasil not deserve a grant because an 8m VP whale said so? Does metagamimall and soul magic not deserve a grant despite being some of the top daily scenes in DCL? Does VTATV and helpimstreaming not deserve a small grant? Does Bleace not deserve the opportunity to work 40-60 hours a week for the community at a reasonable price? Does Dollhouse not deserve a 2024 grant after years of hard work building the community into what it is today? This is crazy how we decided to stop supporting community creators in a game that is 100% dependent on the work of community creators.

Let’s keep things civilized and professional in the comments… I’m genuinely wondering why the community voted for a grant freeze instead of a budget reduction that would have the exact same effect??

It is the same 40% either way…

I don’t understand why a budget reduction is not a better solution… please someone explain this to me, thank you.

  • Yes
  • No
  • Abstain
  • Invalid question/options

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People are the real asset for decentraland, imagine even after being so buggy people still try to enter the events and still talks abt enjoying events, the current misleading pause proposal designed by the super smart assures everything will be alright, when these super smart folks have no idea what to do, they pause on the creative people who are still doing stuff on the platform, most of the time these super smart folks are sleeping and enjoying the overpaid salaries (they will still get after the pause I told u its a misleading proposal). Such decisions should me made after listening and answering to questions from the community on a twitter space, but these decisions are being passed in closed doors and by a few people. They want platform grants to keep running, okay cool cool, but another smart folks will make a group together 15-20 people and apply for a 240k will also bring nothing, I always thought people smarter than me are taking care of the DAO, but its purely financial intentions now, as someone who built a lot without any grant for a very long time, and I know what I have contributed as value to the platform, its fine to have haters but I know what people say when they come to my events and when they get a wearable they win at my game. I still support a grant pause but a overall 100% pause, but they must have a plan not just they don’t know what to do thats why they are pausing it. I would like to say let people speak, don’t oppress voices, control the trolls, make the place better to creativity to exist. The platform is amazing has changed my life personally, people are killing it.

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Imagine need to write this, explain itself everything what’s happening

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Freezing the grants will crash mana. My understanding is top VP wants to just trade it for ETH aka sell it. When MANA is used in a grant the grantee does some work to boost the value of ecosystem by equal or greater amount. Even if they sell in theory and on a successful grant it has no impact to the Mana price when everything is done right - it means choosing good projects and the work is completed successfully. Freeze the grant just stagnates progress any smart investor will see nothing new being made in-world where DCL is lacking more than the platform by far. Not to toot my own horn but weedfarm robbery and robot apocalypse are as cool as nifty island and showed cool stuff can be made in DCL the way it is everything else is excuses from those who can’t code worth a darn.

I think you were onto the right idea with some kind of monetization system. People will go wild to make a few bucks on anything art related like youtube. Driving monetization mathematically and programmatically from dcl-metrics is the way to go. Get rid of these grants all together - everything is retroactive and mathematical and even new creator can earn without having to appease the king and queen. I’m going to put a no in hopes you or someone else will put in for platform monetization replacing in-world grants like this. I would put it in but we know everyone gives a no or invalid question on anything I do here.

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1 billion for game makers in sandbox??? Wow I can’t even get 1 dollar grant.

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What exactly do you think the price of Bitcoin has to do with the metaverse and DCL in particularly? This arguement doesn’t seem very compelling or well thought out.

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Support your points but not the ideal ,

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Just wanted to clarify: I am not suggesting a permanent budget reduction. The Bidding and Tendering budget would stay the same as it currently is under the grant freeze and be unaffected by this proposal which only applies to grants. The 40% budget reduction would apply equally to every grant category in accordance with the recently passed “Refine Grant Categories and percentage of budget (Stage B)” … The community always has the option to change the category percentages again in the future if this proposal passes.

A grant freeze or budget reduction would both save 40% of the budget for a limited amount of time… until 2025 or earlier if a future governance proposal reverses the change.

The main point of this proposal is that we would save 40% either way.

While we discuss DAO reforms, we should choose the better option that has the exact same effect but with less negative impact on small creators who need support.

It is essential for the long term success of DCL to invest in the community during the 2024 bull run. We can not allow our competition time to catch up and neutralize our advantage of being first to market with a functioning product.

We need to continue investing in grants to increase the amount of daily active users. The platform has problems, but a greater problem is the lack of engaging content. Shutting down content creation will not solve our most important challenge.

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Should a budget reduction replace the grant freeze?

This proposal is now in status: FINISHED.

Voting Results:

  • Yes 14% 624,352 VP (11 votes)
  • No 40% 1,759,118 VP (14 votes)
  • Abstain 46% 1,932,945 VP (21 votes)
  • Invalid question/options 0% 0 VP (1 votes)
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Should a budget reduction replace the grant freeze?

This proposal has been REJECTED by a DAO Committee Member (0xfb1afa4dc069ffb47b19dbee196045d508fcd5a2)