KEY TAKEAWAYS
- The Mina Foundation introduces the Mina Ecosystem Funding (MEF) to decentralize funding decisions for the Mina Protocol, empowering community involvement.
- The MEF process will be developed incrementally, allowing community members to propose and vote on funding projects, ensuring alignment with community interests.
- Initial funding for the MEF will come from the Mina Foundation, with plans to explore sustainable funding sources like an on-chain treasury in the future.
- The initiative aims to support the development of public goods within the Mina Protocol, enhancing transparency and accountability through community governance.
The Mina Foundation has proposed a new community-led funding process, known as the Mina Ecosystem Funding (MEF), to support the long-term development and sustainability of the Mina Protocol. This initiative aims to decentralize decision-making regarding ecosystem funding, allowing community members to have a direct say in funding decisions.
Currently, funding decisions for the Mina Protocol are primarily made by the Mina Foundation through its existing grant programs, Core Grants and Navigators. The proposed MEF process would enable community members to make all funding decisions, ensuring that projects and services important to the community continue to receive support. This approach is designed to maintain and grow the protocol effectively.
Decentralized Decision-Making and Governance
The implementation of the MEF process will depend on the configuration of the underlying governance process. The Mina Foundation has emphasized the need for an experimental and incremental approach to optimize the program’s efficacy and alignment with community interests. This strategy will allow the community to iteratively add, test, and improve the governance of the MEF process and its workstreams.
To support this initiative, the Mina Foundation has begun funding and testing an initial governance process and tooling for MEF with some community members. This funding will be incremental to the existing funds allocated to programs like Core Grants and Navigators.
Sustainable Ecosystem Funding
The MEF aims to ensure sustainable development for teams producing public goods for the Mina Protocol. Initially, the Mina Foundation will fund the MEF, but in the long term, the protocol will need to secure additional funding sources, such as an on-chain treasury. Potential funding mechanisms could include a share of transaction fees or inflation.
The Mina Foundation is seeking real-world use cases to develop and test the MEF with the community. Community members will be able to submit funding proposals for suitable projects, which will be reviewed by subject-matter experts before being voted on by the community. Approved projects will receive upfront funding, with reporting requirements to ensure transparency and accountability.
Further details on the initial governance process testing and key learnings will be shared in a future blog post. The Mina Foundation is committed to developing funding processes that unlock the full potential of the Mina Protocol.
For more information, visit the official announcement here.
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