RFC: MORPHO Grants Framework

[SEEDGov]

Looking forward to this grant program taking shape! Interesting points have been raised and we’ll like to comment on few of them:

@OneTrueKirk

Avoiding awarding grant funding up front, and instead disbursing it based on the successful completion of the grant’s target metrics, can help to prevent wasteful spending and align incentives between builders and the DAO.

While this approach has merit, be flexible could also be considered. Certain grants, particularly for tech development, might require partial upfront funding. This possibility shouldn’t be ruled out if it makes sense for specific projects.

Regarding evaluation intervals

@OneTrueKirk

Evaluate grants at infrequent intervals (ie, quarterly) to reduce the overhead for delegates and the number of onchain votes.

This idea makes sense. Regular follow-ups on deliverables and milestones are key to quantifying funding effectively. It strikes a balance between oversight and efficiency.

@PGov

We like the idea of cycles

Implementing grant cycles could provide structure for applicants, funding processes, and reporting mechanisms. It will create a clear timeline for all parties involved. We are curious how @PGov would frame this idea?

@Constantin

DAO should have a playbook different from a charity DAO or public goods DAO

This is an engaging perspective, and we will definitely consider discussing it further. Do you mind elaborate on what elements you believe shouldn’t be included given the current DAO position?

Building on these ideas, the grant program could be enhanced by establishing a Grant Committee to manage administrative tasks and track deliverables.
Setting a range for grant amounts, with the possibility for exceptions when justified, might also be considered. Public voting and community sentiment for selected grant recipients could encourage community engagement and ensure applicants gain visibility.
As for funding, a three-stage approach or a vesting schedule (upfront, upon achieving deliverables, and at completion) could provide a balanced structure.

To begin a first approach to shape a framework, the following points can be taken into account:

From the committee side

• Provide the community on grants transparency & tracking
• Facilitate clear guidelines & scope

From the applicant side

Proposal:

    Grant Duration (May fit in the cycles)

    Payout Method

    Budget Breakdown
    
    Reporting schedule

    Grant Development: The Outcome and the impact

    1. Deliverable: Each deliverable is associated with one or more milestones. This include a description of the deliverable, KPI Value and a verification.
    2. Milestone: How are we going to evaluate the milestone? Define when the work is done.