Long-Term Incentive Pilot Program
Treasure DAO’s Arbitrum Council (ARC) will vote FOR this proposal on Snapshot to fund the program with 45,815,000 (ranked in descending order of ARB amount).
Treasure has been involved in the pre-forum socialization process for the Long-Term Incentive Pilot Program (LTIPP) and believes it addresses many of the challenges identified through STIP Round 1, further builds upon it, and will set the foundation to establish a long-term, sustainable incentives/grants program that will support the growth of the Arbitrum ecosystem.
- Tests a program structure that could be greatly scaled up across sectors with a lens towards plurality: In the long run, we believe that sector/cluster-based programs with DAO-elected councils comprising subject matter experts and Arbitrum-aligned builders will win out as the optimal set up to award incentives. LTIPP will serve as the first stab at this, applied against all categories within Arbitrum DAO which will be an informative exercise while unlocking necessary funds for ecosystem protocols and builders.
- Broadens scope of incentives to enable greater flexibility: Coming from the gaming angle, we’re delighted to see the acknowledgement of this problem (#3) as it was a pain point that was universally shared across games both in and outside of the Treasure DAO ecosystem. Notably, the strict limitation on incentive mechanisms forced DeFi distributions of grants which needed to be expressly complied with which we do not believe to be aligned to the needs of games.
- Reduces the burden on delegates while maintaining veto power: As an active delegate who reviewed and voted on all STIP Round 1 applicants, the burden placed on protocol delegates was great as we felt the weight of responsibility and expectation to strive to participate in the STIP engagement, review, and voting process, while also delivering against the needs of Treasure DAO’s own priorities.
With our support of this proposal, we also urge the DAO to consider the following:
- Electing a diverse council: We believe the council approach paired with the application advisors are both a step in the right direction. Beyond this, what will be of paramount importance are two things: (1) ensuring both groups comprise balanced, knowledgeable and thoughtful members who can represent Arbitrum’s diverse ecosystem of projects across sectors; and (2) ensuring the council designs a universal rubric that can be applied across all types of projects – whether they be DeFi, RWAs, gaming, infrastructure, and so on.
- Getting this program in front of as many Arbitrum builders as possible: For those of us who have been deeply engaged in Arbitrum governance, this has been a major topic of discussion for some time. For those outside of it though, it’s easy to not be aware of this potential funding and support path for all who would be able to benefit from this. The Arbitrum DAO community and Arbitrum Foundation needs to amplify and promote this program as much as possible to get this in front of the protocols and builders helping grow the Arbitrum network.