TLDR: I like the direction of where the proposal is coming from. I believe the end goal of the DAO should be to bring ARB price up. Delegates’ compensation should be vested, and there’s no need for 50k or 500k limitation - every ARB counts!
Hello, my name is Zeptimus, and I thought about joining the program right after seeing @thedevanshmehta tweet. Being compensated for sharing my insights here is what allows me to spend time on Arbitrum forums.
First of all, thanks for carrying the flag on this proposal. It shows care for the community and is pointing in the right direction, creating discussion to improve coordination in Arbitrum.
I’m very aligned with what @larva is talking about - having skin in the game. I believe the holders are the true believers, and their intentions are by no means aligned with the community. But skin in the game and having the best intentions are not correlated with capability. If I have a car accident and my mom is next to me, my best intentions won’t save her. Probably better to have a doctor or someone with expertise instead of myself there (I like to make those extremist examples to prove a point in an easy way to understand).
That’s why ARB holders choose delegates, to take decisions for them to make their bags grow. From a tokenomics perspective, the current design creates misaligned incentives - delegates are compensated for participation regardless of the result of their actions.
I believe delegates should be compensated on locked ARB, and the long-term success of Arbitrum should be what they care about. Delegates are people we value for the way they think, and we believe they will make the best decisions. I believe that’s a hell of a responsibility and it should be very well rewarded (could argue a x5 or x10, but that’s not the topic here) if the decisions taken bring success to $ARB. That’s why a vesting period would help to align incentives.
Going to the details of the proposal: 500k, 50k - in my opinion, it doesn’t matter. Everyone should be rewarded accordingly to their voting power. We could do a quadratic approach in compensation to incentivize smaller holders, but at the end of the day, if you hold millions of ARB, holders care about your guidance. If you hold 50k (AKA myself), you are just a small voice - not saying irrelevant by no means, but it shouldn’t be rewarded similarly to someone whose holders are putting their trust also anyone with great ideas can accumulate more delegations. If you like what you are reading, insert ARB here.
LMK if this looks interesting with your <3 and if I should expand on the solution.