Another way to simplify the Community Matching Fund is to just have it begin as a Grants Fund instead where a separate committee appointed helps vets community grant proposals to fund and then eventually transition to a Community Matching Fund. This is similar to how Zcash does it but gives the committee immense discretion and doesn’t spur community engagement as much as the initial way I proposed. However, we need to be realistic as to how many people in our community would be willing to donate Firo to vote for such proposals to enable democratic funding.
One common way is through direct grant programs. A grants program often enlists a committee (ideally a credibly neutral committee) who reviews applications for funding to fund a project/idea that someone has. If the project seems strong enough, and like it will advance the cause of those funding grants, it may be directly funded. For those projects that don’t quite make the cut, they are often asked to come back when they have more traction or have thought through specific concerns (much like VC funding). This style of funding is a fantastic first step for most projects/ecosystems to seed capital into their community development.
For those communities large enough to support more democratically fair funding (like the ethereum community at large), Quadratic Funding (QF) models have emerged. QF often occurs in a “round” during a set period of time — in Gitcoin’s case, we run 2 week rounds once a quarter. During a QF round, the community contributes to the projects they feel should be funded and supported; a matching partner offers funds to match the community’s contributions, but not in a 1:1 match. Instead, the match is more aligned to the sentiment of the community as opposed to the sheer dollar value amount raised by any grantee. The number of contributors matters more than the amount funded.
As much as I hate to acknowledge it, while development wise we are super strong and the core team has delivered on our promises along with various other integrations/partnerships, price wise has been lacklustre with the continuous sell pressure. I don’t know if everything can be blamed solely on miners, as most things in this world, there are often multiple reasons but it’s definitely a contributor. I remember watching on Voskcoin’s video a relatively large GPU farm on solar that was mining Firo but was selling it rather than holding it.
The privacy coins that have done relatively well price wise have a low emission or centrally determined supply or already have been fully emitted which creates a virtuous cycle of price increase and easier to retain its gains. Until there is adoption, there needs to be more ‘sinks’ in the supply yet adoption can only happen with a market cap increase so it’s a bit chicken and egg.
I have always (since their creation) been in favor of an increase in the masternodes reward.
50% and more if possible.
On the other hand, I’m not sure I understand what the 15% of the Community Matching Fund will be used for. What concerns me, above all is :who will be called upon to decide on the allocation of this fund? This seems to me too much complicated and a source of conflicts.
As a precaution, I will allocate this 15% to the masternodes, which will bring their reward to 50 + 15 = 65%.
Personally I don’t think miners are the problem or cause of the problem.
There are PoW coins that have great succes, like ETH and Bitcoin.
You should think about how to give more reasons to hold and invest in Firo, so more miners would stay, hold and stay loyal. I’m prepared to do so, but when everything feels very uncertain and an unclear roadmap, people pull out, traders and miners
I’m totally up for this, personally think it’s a great idea and people can finally stop crying about miners dumping on us, which partially IS true.
I think owning a masternode is a WAY bigger stress than just slapping Firo’s mining algo in your rig and calling it a day and most of these are (probably?) just gonna hold their MN rewards that they’re left with after paying for VPS’ services.
Huge +1 from me, great idea.
Regarding the community thing - I’m not really sure I understood it properly, but why not just increase the Dev fund instead, then use those funds for w.e is needed?
I am a new masternodes. I came by your privacy features. And I really love to get more rewards for the other masternodes and the dev teams out there.
I totally agree with increasing rewards for masternodes and decreasing rewards for miners.
The main reason why I propose is not to be in the Dev fund is to encourage those outside the core team to contribute and be an active part of growing Firo rather than relying on the core team for everything which isn’t sustainable. This trains the community to take responsibility over their actions and to empower them to build or improve FIRO.
We also don’t want the core team to be accused of enriching ourselves.
How I forsee the community matching fund working is like this:
Community member opens a proposal on the Firo Crowdfunding System
Community members ask questions and if there’s interest it is open for funding.
Community members start funding the proposal. Each donation effectively serves as a vote for the proposal and weighted. Sybil resistance is provided by linking the vote/donation to community forum ID that has to be a longstanding account with previous posts.
Based on an algorithm, the community matching fund will be used to match the donations made by the community. The more individuals vote for a proposal, more of the funds of the community matching fund would be given, and may even exceed the original donation. You can view how Gitcoin does it. If not many people donate, similarly the matching would be less.
This takes out a big part of centralized decision making from the allocation of the community matching fund and instead allocates funding based on wide community support.
60% Masternodes
20% Dev reward
10% Community Matching Fund
10% Miners
I like the idea of a community matching fund as it hands back some responsibility to the community which prepares the community for the future… however I think it should be introduced at a smaller percentage.
I’d give the dev team a bump in reward as development is a high priority, and I think for right now, the team knows where it can be best deployed. Perhaps call a vote on this, if you are concerned about community perception.
Strategically it’s a bit like a company that is experiencing hard times… you don’t cut R&D, your best shot is to innovate, innovate, innovate.
I’m seeing it already… soon as far as I’m aware. Firo may have a first mover advantage for real private stablecoins. I’m surprised this hasn’t been getting more attention, to me it’s something that has the potential to explode!!!
I’m very very happy that the team has explored and is implementing ideas that will make Firo more useful to greater numbers of people.
perfect allocation. Giv more to the team, it gives potential marketting or listing fund, 10% is enough to the community to start. and 60% will give back attraction to hold the coin and reward holders in the long run.
Full disclosure, I’m a miner and have at least one FIRO masternode.
I understand that at current price levels, it’s hard to fund everything.
Most miners will mine whatever is most profitable, no such thing as loyalty, they then either (need to) sell a large part of the mined coin to pay for electricity/attempt to recoup their investment in equipment … those that don’t need to sell are likely to exchange the mined coin for coins that for example can’t be mined, have a large(r) marketcap like BTC/ETH, are trending in the news, or whatever they think has more potential to “moon” in the future.
It didn’t make sense for me to mine FIRO to get to a masternode, instead I mined what was most profitable for my cards (ETH) and swapped it for FIRO.
If I get more rewards for running masternodes, great, but to be honest those rewards are very likely to be swapped for other coins in an effort to balance my holdings. So doing this may not lower the amount of FIRO that gets sold off all that much.
If you explore the wallets that receive masternode rewards, you could get a good estimate how many of them move those rewards (almost instantly) to an exchange.
People will hold the coin if you can dangle the “value is very likely to go up” carrot infront of them, and the coin actually shows signs of forward momentum.
I agree. Been with firo since early 2018. I think miners should be capped at 10% reward.
55% for masternodes
15% dev
20% community
10% miners
The community fund can be used to fund things such as a Thorchain integration
