ALLO Alignment
TLDR: Allo alignment could accelerate our collective success
Detailed TLDR: Our north star is to establish the capital allocation layer of the tokenized internet. This ambitious goal can’t be achieved through a single, unified design. Instead, it requires multiple teams independently exploring numerous local maxima. Thus, our network’s strength lies in diverse approaches, mutual alignment, and collaboration measured transparently through shared metrics. We could build the network’s strength by formalizing Allo Alignment —perhaps enabled through mutual token swaps, value swaps, and a network wide Relationality Score.
Our Goal: Build the Capital Allocation Layer of the Tokenized Internet
Our goal is to build the capital allocation layer of the tokenized internet. We believe that 100x-1000x more assets will be tokenized in 5-10 years, and we want to help those communities fund what matters to them. Achieving this ambitious vision isn’t possible through a single perfect design—rather, it will require a diverse ecosystem where multiple founding teams independently explore and discover various local maxima of value creation. Our greatest chance at success is a vibrant, interconnected network of builders aligned in pursuit of many distinct solutions.
Our Greatest Asset: The Allo Network
The greatest strength of Allo is its interconnected network of builders. This community of builders, creators, and innovators is not merely an ecosystem—it’s our primary asset. When our builders thrive collectively, Allo thrives as a network, amplifying our mutual impact.
Projects like Allo IRL, Allo Yeeter, Allo OS, Simple Grants, Cookie Jar, Gitcoin Grants Stack, Grant Ships, EasyRetroFunding, ViaPrize, Zazelenimo, Gardens.Fund, Doogly, Impact.stream, Voicedeck, InfiniteRegen.AI, gg-frame, Sarafu.Network, Collabberry represent the diversity and depth of the design space.
Builders such as Gitcoin Grants Stack, Allo IRL, and EasyRetroPGF already demonstrated significant impact, from facilitating millions of dollars in public goods funding to creating accessible tools for decentralized funding mechanisms. Meanwhile, platforms like Cookie Jar, Gardens.Fund, and Impact.Stream have expanded the reach and usability of community-driven funding.
Allo Alignment
Right now, we are a loosely & haphazardly organized group of founders, dreamers, and doers, pursuing our north star. While there are many friendships in our inchoate network, there are not yet many business relationships or shared economic upside in each other’s success.
What if we were to change that? What if we were to go all-in on supporting each other. By systematically finding & elevating the most promising Allo builders, and taking a share in each other’s success, we could create a network that is worth more than the sum of its part.
Rather than individual success at the expense of others, our builders can exponentially increase their impact by deliberately aligning through cooperation, shared resources, and mutual investment. To maximize our collective potential, we could find ways that the Allo builder network aligns around mutual support and solidarity for one another.
I think the following types of alignment are interesting
- support one another project to project
- support projects from Allo.capital
What types of support could be given, or received, in the network? I think Allo builders could share (1) technology (2) distribution (3) funding (4) upside (5) intelligence (6) a category together.
Practical Steps: Token Swaps and Shared Alignment
Token swaps represent a powerful mechanism to foster this alignment. Builders within Allo’s network could execute token swaps not only with each other but also directly with Allo.Capital. These swaps create explicit economic ties, ensuring shared incentives and collective success.
I believe that another important thing for us will be to explore capital formation. In what ways might we tokenize our projects and raise money from each other? - using new primitives like echo.xyz or q/acc, we can all share in each others success by funding each other.
These practices would result in a cohesive, aligned DAO of DAOs—builders tied economically and socially to each other’s successes. As each builder succeeds, the entire network benefits, cultivating an environment of positive-sum collaboration rather than zero-sum competition.
Making Alignment Legible
To operationalize this vision, Allo alignment must be measurable, transparent, and actionable. Here are concrete metrics for legibility:
- Economic Contribution ($$$): Direct financial value added to the network.
- Social Connections: The extent of relationship-building and collaboration fostered.
- Distribution Efforts: How effectively projects amplify and distribute each other.
- Intelligence Provided: Contributions to the collective knowledge and skill development of the community through mentorship or shared knowledge.
- Token Commitment: Percentage of your tokens allocated towards mutual alignment with Allo partners.
Introducing the “Relationality Score”
To capture this alignment clearly, we propose a “Relationality Score,” a straightforward yet powerful metric:
Alignment Score (Project, Project) = Σ(Value Flowed Between A,B) = Σ(Economic Value Flowed) * ( Σ(Social Value Flowed) + Σ(Intelligence Value Flowed) + Σ(Distribution Value Flowed) )
Relationality Score Σ(Allo Network) = Σ[Alignment(A, B) for all A, B]
This score directly quantifies how deeply interconnected and mutually supportive the Allo builder network is. By using the Relationality Score, we incentivize behaviors that build stronger ties, foster shared successes, and enhance collective impact.
Enabling Allo Alignment
To enable effective Allo alignment, we need practical mechanisms that facilitate collaboration:
- Help builders define their needs clearly, facilitating structured asks and offers.
- Make token swaps between teams extremely straightforward and frictionless.
- Make capital formation, such that each project can raise money and tokenizing, really easy.
- Make Allo Alignment visible and easy to see/track.
- Allo.Capital should lead by example, actively initiating token swaps with teams to demonstrate commitment and build momentum. They should start with the highest leverage deals (like the deals that have TVF).
The Future: A DAO of DAOs Aligned through Allo
By actively fostering and measuring alignment, we position Allo as a thriving, interconnected network—a true DAO of DAOs. Each builder’s success directly amplifies the whole, creating an unstoppable force of innovation, collaboration, and shared achievement.
In this future, the DAO of DAOs will robustly support each other. We’ll all have a direct stake in each other’s success, generating substantial value for both the network and individual participants. Builders will benefit financially, collaboratively develop essential technological primitives, jointly build the capital allocation category, and clearly demonstrate positive-sum games and solidarity at scale.
Let’s build visibly and collaboratively. Let’s build Allo alignment.
