[Informal Poll] - Increasing the SourceCred payments

As core units continue their path to formation / approval / funding, I do believe there is also an in-parallel need to continue the engagement from the community to participate in the forums that (for whatever reason) are not a part of the core units.

From the recent SourceCred post the DAO is allocating $5000 per week. Frankly, I am not even sure if it is the DAO or the Foundation that is paying this.

Should we increase the weekly allocation of SourceCred?
  • Yes
  • No
  • Abstain

0 voters

The outcome of this informal poll will determine if a signal request (or other) is needed. This may very well already fall in a core unit.

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GovAlpha is paying it from April (there is a bit of a buffer though, so we haven’t sent any payments related to it yet.)

I would like to see input from the community regarding an increase though.

If you could give the poll an abstain option, and make votes visible that would be appreciated (though not required.)

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Updated…

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Voted No.

I’m relatively new here but I was surprised at how much DAI I received last month. Personally, I think SourceCred overpays casual community members like me. I like posting here and I’m not gonna turn down free money but I’d probably contribute exactly the same way even if I received 10 DAI a month or 100 DAI a month. Small amounts as a thank you gesture are sometimes better. There is a point where the community growth and participation becomes inorganic and it becomes tempting to post without adding real value, just to earn DAI.

It’s only my opinion but I think the current amount is too high but given that the community will grow, this problem should sort itself out in the coming months.

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I’ve been a big fan of increasing our SourceCred payments. Full disclosure, I work closely with the SourceCred team through GovAlpha and have helped with some of the recent weight changes so take my enthusiasm for the program with a grain of salt.

SourceCred was the thing that took my interest in Maker from a intellectual curiosity to an incentivized reason to come back everyday, and while 5 months later the SourceCred payments don’t matter to me nearly as much as they did at the beginning, it was still a large reason why I was able to take the time to become a paid contributor. Additionally, while the DAI amount is no longer as material to me, every month I still look at my SourceCred payment compared to the previous month. I’m engaging a lot more this month because my last payment was smaller which got me to reflect on how much time I’ve been spending collaborating in meetings rather than publicly on the forum.

As far as Governance issues with SourceCred, it’s pretty clear the data has a lot of value. How much we want to pay people to participate is a bit trickier of a question, but objectively we want to pay enough to encourage repeat contributions and not enough to encourage malicious attacks. IMO we could easily double the payments without upsetting the balance, and the move would be a great excuse to team up with Marketing and really promote the DAO. Like it’s pretty revolutionary that all you have to do here to get paid is show up with some reasonable ideas. How many more talented individuals would we attract if they knew their time would be valued from the moment they created an account?

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I voted yes, and I think that (I’m not sure if this is technically possible) MKR should be used, not DAI. MKR is the “governance” currency for MakerDAO.

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The price movement of MKR could make this rather difficult, as well as sourcing it @reuptaken. But I agree, there should be a way to use SourceCred to give MKR to the people participating in Governance. One interesting idea is that you can always run “one-time” data sets via the SourceCred algorithm where you apply a special waiting (maybe we boost all posts in the Governance category for instance) and do a distribution from those numbers. Since it would be one time that takes out the currency risk, and it wouldn’t be as hard to find an agreement for the single distribution (minting vs buying) in the community. It’s an “unnecessary” expenditure for sure, but I think getting MKR into the hands of people that care about the protocol is a great way to add to the expected longevity.

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I plan on using my DAI to just buy MKR. Giving MKR to those who would hold would be a tax issue

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Just buy MKR with the DAI. No need to overcomplicate things.

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I’m not sure if this is difficult. At the end of the week we could allocate MKR worth eg 10K DAI to participants. But I’d rather set some fixed amount of MKR and update it periodically (eg. 4x a year or so).

Of course I can buy MKR with DAI, but I think this could be a good idea to encourage people to take part in governance by giving them MKR. Perhaps even MKR-in-chief.

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Except this is inefficient. Buy MKR on market to give MKR to people who will then have to sell a portion of it for taxes. This gets worse the more expensive MKR gets. Just use DAI.

Why people have to sell it for taxes (in contrast with DAI?). I’m not sure what jurisdiction you’re talking about, where MKR is taxed while DAI is not?

Both are taxed, but one can have a different value on tax day than on pay day. Try paying taxes on an asset that fell 30% from when it was given to when you owe taxes on it

OK, I get it that it may be a problem in some jurisdictions. In my country there’s no tax on airdrops.

Ooof. Yeah, here that just gives you a cost basis of $0. No issue at the time usually — unless it’s already used in markets and has a marketable price. Getting 1 MKR given to you today is basically $2600 in taxable income. Gotta pay the tax man from selling part of it or from your day job.

It’s also just a hassle

Lucky you!

I voted Yessssssss, as we need to recruit and expand the community–but more importantly–RETAIN the community participation. Too often I see talented people stop-by get involved and then disappear. Incentives, incentives, incentives = retention rate :up:

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On the downside every day I see posts about “taxes” like there’s only one country in the world, it’s not even worth mentioning its name, and everybody should know its tax rules.

End of rant.

This was just an idea, worth considering in my opinion, not to be implemented right away. I think it would be suboptimal if there is be some gap between people who hold MKR and vote and people who also do important job here on forum, so the concept was that giving MKR to them will enable them to vote.

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Retain and expand!

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I voted YES because I think it is important to compensate people for their time and valuable contributions. Even though I have been working way more overtime the past 3 months I have made it a point to continue to check in on this protocol and it is partly because of the SourceCred. I have completely stopped following other protocols like Yearn because I simply do not have the time and it will not produce any rewards. So, yes incentives matter and I think we can grow this community a lot more by increasing the rewards and possibly adding Discord.

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I voted yes!

I have a very similar story.
It’s mostly psychological in my opinion.
I get sense of “reward” from the Cred payments, well beyond the monetary value.
In my case, it has significantly strengthen my feeling of “belonging to the MKR community” in a productive way.

I hope others can be attracted by MakerDAO for a similar reason!

I am not sure.

I personally use(d) most of my Cred rewards to pay gas, honestly, or to experiment with other DeFi things.

When I have an expensive transaction (like setting up a voting proxy, or voting, or other things), I now think: “well, I pay the tx-fees with the Sourcecred rewards” and I feel better :slight_smile:

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