Plutus has decided to vote against the proposed backfunding approach. We acknowledge the good intentions behind this proposal but believe there are more effective strategies to consider.
To begin with, the initial voting decisions in Round 1 were based on specific rules that included the possibility of a Round 2 extension. Incorporating a backfunding approach at this stage might have influenced these decisions differently, potentially altering the outcomes significantly. Furthermore, numerous protocols tailored their proposals in response to the initial rules. Changing the approach now could render these adjustments ineffective.
Additionally, we prefer to review a detailed proposal and subsequent discussion for Round 2 and its interplay with the backfunding approach before making any commitments with DAO funds. The backfunding proposal involves a substantial sum, over 20 million ARB, and there’s a concern that these proposals might compete for the same resources.
Lastly, the backfunding approach aggregates incentives for several protocols, which might inadvertently exclude those anticipating a second round. We advocate for a system that emphasizes merit and inclusivity. This can be achieved through a distinct second STIP round, with its own set of transparent rules and individual voting for each proposal.