Allo DAO Design Competition

Submission Form | Forum Category to Share Drafts & Get feedback

TL;DR: Allo.Capital DAO Design Contest

A competition to create innovative governance and incentive models for Allo.Capital, focusing on legitimacy, community engagement, innovation, and actionable outcomes. Highlights include:

  • Bracket-Style Competition: Proposals compete head-to-head with expert reviews.
  • Timeline: Applications open Jan 20, 2025; final presentations at ETHDenver on Feb 26, 2025.
  • Evaluation Criteria: Feasibility (30%), economic design (30%), community alignment (25%), and innovation (15%).
  • Compensation: Base rewards for final 16, bonuses for integrated mechanisms, and recognition for top teams.
  • Integration: Winning ideas will inform the final DAO model with transparency and feedback.

Open to teams and individuals with relevant expertise. Proposals must align with Allo.Capital’s vision, emphasizing decentralization, scalability, and long-term growth.

The Allo.Capital DAO Design Contest is a collaborative initiative to design innovative, community-driven governance models and incentive structures for Allo.Capital. This competition aims to leverage the collective intelligence of participants to create a sustainable and impactful foundation for the DAO’s future.

Objectives

  • Legitimacy & Transparency: Ensure an equitable design process with clear and fair reward mechanisms.
  • Community Engagement: Maximize participation and input from diverse stakeholders.
  • Innovation: Generate creative solutions that address scalability, value capture, and decentralization.
  • Actionable Outcomes: Produce deliverables to inform strategic decisions and showcase progress at ETHDenver on February 26, 2025.

Key Components

Competition Structure

Bracket-Style Elimination

  • Proposals compete head-to-head in a tournament format.
  • Each round includes debates, voting, and expert review.

Final Integration

The best elements of top proposals will be synthesized into a cohesive DAO design.

Timeline

  • January 20, 2025: Applications open.
  • February 14, 2025: Submission deadline.
  • February 14-17, 2025: Initial review to select the top proposals
  • February 17-20, 2025: Virtual workshops for top selected proposals in line with Allo.Capitals goals.
  • February 26, 2025: Workshop(s) and Presentation of structures
  • March-May 2025: Integration and launch preparation.

Participation Guidelines

  • Open to individuals and teams with expertise in governance, incentives, or related fields.
  • Submissions must align with Allo.Capital’s vision and values.

Submission Requirements

  • Team Profile and ETH Address.
    • Comprehensive Proposal including the executive summary and one (or all) of the following points
    • Executive Summary
      • Governance Model
      • Reward Mechanism Proposal for organization/contributors
      • Value Capture and Distribution Framework
      • Community OS

Submit here | Forum Category to Share Drafts & Get feedback

Mechanism Tracking & Compensation

To ensure fairness and avoid frustration when mechanisms from eliminated proposals are incorporated:

  • Tracking Mechanisms:
    • A shared Google Doc or Notion page will track all proposed mechanisms throughout the competition, ensuring proper attribution.
    • Key mechanisms from eliminated proposals will be tagged for potential integration.
  • Transparent Communication:
    • Updates on mechanisms selected for integration will be shared publicly in the forums.
    • Teams will be notified directly if their mechanisms are used, with acknowledgment provided.
  • Compensation Structure:
    • Base compensation for all participants in the final selected proposals.
      • Additional bonuses for specific mechanisms used, regardless of the proposal’s overall progression.
      • Top 4 and winning teams receive additional advisory roles and/or recognition.

Evaluation Criteria

Proposals will be evaluated based on the following criteria:

  1. Technical Feasibility (30%)
  • Smart contract security
  • Implementation complexity
  • Scalability
  • Risk management
  1. Economic Design (30%)
  • Value capture mechanisms
  • Supply/demand balance
  • Treasury sustainability
  • Market dynamics
  1. Community Alignment (25%)
  • Fair launch principles
  • Participation incentives
  • Governance mechanics
  • Ecosystem growth
  1. Innovation (15%)
  • Novel mechanisms
  • Problem-solving approaches
  • Integration potential

Further evaluation criteria for community and jury/presentations:

  • Summary (max 1000 words):

    • Focus on tokenomics proposals, mechanisms, and key points of discussion
    • Highlight significant consensus and disagreements
    • Note any novel ideas or unique perspectives
  • Main Proposals:

    • Title and author of each major proposal
    • Key components and mechanisms
    • Supporting arguments made
    • Potential challenges raised
  • Stakeholder Perspectives:

    • Core team viewpoints
    • Partner/contributor perspectives
    • Token holder concerns
    • Builder/user needs
  • Value Accrual Mechanisms:

    • Proposed mechanisms
    • Supporting arguments
    • Key concerns
    • Implementation considerations
  • Points of Discussion:

    • Areas of consensus
    • Contentious topics
    • Novel ideas presented
    • Technical/implementation concerns raised

Rules and Regulations

  • Eligibility: Open to all with relevant experience; alignment with Allo.Capital’s values is mandatory.
  • Submission Integrity: Proposals must be original and not infringe on any third-party rights.
  • Confidentiality: All submissions are confidential until publicly announced.
  • Disqualification: Failure to adhere to guidelines or deadlines may result in disqualification.

Support Available

  • AMA Sessions: Regular sessions to answer participant questions.
  • Feedback: Constructive feedback provided during elimination rounds via Telegram channels (invite only)

Integration of Winning Proposals

  • Synthesis Process:
    • Collaborate with winning teams to integrate the best elements from each proposal.
    • Ensure the final model aligns with Allo.Capital’s strategic vision and community expectations.
  • Transparency:
    • Regular updates to the community on the integration progress.
    • Open discussions to gather feedback during the synthesis phase.

Important Considerations

  • Pre-reads. Please read this before continuing
  • Use 2025 era DAO designs, not 2021 era ones!
  • Build on Allo’s existing protocol fee structure (0.5% fee on capital flows, 5% service fees sometimes, and/or token swaps from projects that are being supported)
  • Consider integration with existing funding infrastructure
  • Plan for both immediate and long-term ecosystem growth
  • Design for decentralization while maintaining efficiency
  • Account for regulatory considerations
  • Include mechanisms for builder incentives and rewards

Appendices

B. Detailed Evaluation Rubric

Criteria Description Weight
Technical Feasibility Smart contract architecture, security, and implementation practicality. 30%
Economic Design Value capture, supply/demand balance, and treasury sustainability. 30%
Community Alignment Fair launch principles, participation incentives, and governance mechanics. 25%
Innovation Novel mechanisms, problem-solving approaches, and integration potential. 15%

Contact Us

For any additional questions or support, please network with the community in the Tokenomics channel:

Thank you for your interest in the Allo.Capital Tokenomics Design Competition!

Allo.Capital reserves the right to modify competition structure and requirements. All submissions must be original work and include comprehensive implementation details.

2 Likes

Thanks for sharing and making the competition an open process! I wanted some clarifiying details

These are great headers that we can put for our submission. Could you elaborate on 2 points,

  • what community OS means and
  • what reward mechanism proposal for organization/contributors is, specifically how its different from value distribution framework
1 Like

Thanks, @thedevanshmehta.

  • Community OS is how we organize and operate. Including our core beliefs, values and mission. If you were designing the foundational structure of how we operate as a community—our beliefs, values, and mission—what key elements would you prioritize? How would you ensure alignment and adaptability? The Operating System Canvas. A new and improved tool for reinventing… | by Aaron Dignan | The Ready | Medium

  • Value capture is about how value is accumulated and allocated across the system, while reward mechanisms define the specific ways contributors earn compensation within that system. What models have you seen that work well for ensuring contributors are fairly compensated while also maintaining long-term sustainability?"

2 Likes

What about pre-existing IP which have a mechanism but (due to inadequacy of patent law) have trade-secret components? These really belong to the 5% service component (ongoing usage) and not a nominal prize. For example, a compliance framework where all the necessary VASP licenses are obtained, but each segmented capital account is “rented” out along with an AI aide (NaNI) to manage regulatory paperwork.

@deltajuliet i move that we start using the forum as the primary source of truth for the proposals. this will allow us as a community to design the proposals together.