ABSTRACT
This proposal aims to establish a Developer Ecosystem Fund and Node-Lease Program to incentivize developers to build on EDU Chain, addressing the cold-start problem and fostering a vibrant, sustainable ecosystem of education dApps. We propose a $20 million fund, with $4 million allocated for hackathon prizes and future incentives, $14 million for liquidity incentives, and $2 million for operational support. We expect this fund to support developers on EDU Chain for at least the next 3 years.
Additionally, we propose a node-lease program involving 200 nodes to be leased to ecosystem partners. This program will create a sustainable ongoing incentive fund by splitting node proceeds 50/50 between partners and the community fund, aligning incentives, encouraging economic activity on EDU Chain, and creating a self-sustaining source of funding future developer incentives.
To oversee the deployment of funds and manage these initiatives, we propose establishing a governance council consisting of five members. This proposal aims to kickstart developer engagement, with the first hackathon scheduled for July 15, 2024.
MOTIVATION
EDU Chain is poised to become the leading education-focused blockchain, core to Open Campus’ mission of establishing a decentralized platform for educational institutions, edtech companies, and partners. However, to realize this vision, we must address the critical challenge of the “cold-start” problem – the initial lack of developers and applications on a new blockchain.
To overcome this challenge and establish EDU Chain as a thriving ecosystem, it is imperative to provide substantial incentives that will attract talented developers and innovative projects. By creating a robust Developer Ecosystem Fund and implementing a Node-Lease Program, we aim to:
- Accelerate the development of education-focused decentralized applications (dApps) on EDU Chain.
- Create a sustainable model for ongoing ecosystem growth and developer engagement.
- Align the interests of developers, ecosystem partners, and the broader Open Campus community.
- Establish EDU Chain as the go-to platform for building the future of decentralized education.
This proposal seeks to lay the foundation for a vibrant, self-sustaining ecosystem that will drive the adoption and utility of the $EDU token, ultimately benefiting all token holders and participants in the Open Campus community.
SPECIFICATION
- Developer Ecosystem Fund
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Total allocation: $20,000,000 in $EDU tokens
a) Hackathon Prizes: $4,000,000
- $1,000,000 for initial hackathon prizes
- $3,000,000 for future incentives including prizes and grantsb) Liquidity Incentives: $14,000,000
- To provide liquidity mining rewards for DEXs and lending protocols built on EDU Chainc) Operational Support: $2,000,000
- To support operational expenses related to developer initiatives such as hackathons
- To support operational costs of promising dApps and projects
- Governance Council remuneration
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Node-Lease Program
- Number of nodes to be leased: 200
- Eligibility: Ecosystem partners, developers, and educational institutions
- Revenue split: 50% to lease holder, 50% to community fund
- Lease terms: To be determined by the Governance Council, with regular reviews -
Governance Council
- Composition: 5 members (profiles provided below)
- Responsibilities: Outlined in the Governance Council Profiles section
TIMELINE
- Proposal Approval: [Date TBD]
- Governance Council Formation: Within 1 week of approval
- First Fund Allocations: Within 1 month of approval
- Node-Lease Program Launch: Within 2 months of approval
- First Hackathon (Semester 1) Kick-off: July 15, 2024
- Second Hackathon (Semester 2): [Date TBD, approximately 4 months after the first]
- Third Hackathon (Semester 3): [Date TBD, approximately 4 months after the second]
- Program Review: Annually, with the first review in June 2025
RESOURCING
The $20,000,000 Developer Ecosystem Fund will be sourced from the existing EDU token treasury. The allocation will be as follows:
- $4,000,000 in $EDU tokens will be set aside for hackathon prizes and future incentives.
- $14,000,000 in $EDU tokens will be allocated for liquidity incentives for protocols building on EDU Chain.
- $2,000,000 in $EDU tokens will be allocated for operational support, including Governance Council remuneration.
The fund will be managed by the Governance Council, who will oversee the distribution of resources according to the specified goals and timeline. The Council will also be responsible for managing the Node-Lease Program, including the allocation and monitoring of the 200 nodes to be leased to ecosystem partners.
To ensure the necessary oversight mechanisms are in place, any spend and/or investment proposals by the Governance Council must be formally ratified by the Open Campus Council before they are deemed valid.
RISKS & DRAWBACKS
For each identified risk, the Governance Council will be responsible for monitoring and implementing mitigation strategies. These strategies will be reviewed and adjusted regularly to ensure their effectiveness.
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Market Volatility: The value of the $EDU token may fluctuate, affecting the real-world value of the allocated funds.
Mitigation: The Council will implement a dynamic allocation strategy, adjusting the distribution of funds based on market conditions to maintain the intended impact of the incentives. -
Developer Retention: While initial incentives may attract developers, there’s a risk they may not stay long-term.
Mitigation: The Node-Lease Program, ongoing hackathons, and vesting grants are designed to create sustained engagement. The Council will also develop additional long-term incentive programs and community-building initiatives. -
Quality of Projects: There’s a risk of attracting quantity over quality.
Mitigation: The Council will implement and regularly refine a strict vetting process for funding and support, prioritizing projects with strong potential for long-term impact on the EDU Chain ecosystem. -
Centralization Concerns: The Node-Lease Program must be carefully managed to avoid over-centralization of node operation.
Mitigation: The Council will establish and enforce clear guidelines for node distribution, regularly reviewing the lease holders to ensure a diverse and decentralized network. -
Competition from Other Chains: Developers might be attracted to other blockchain platforms with similar incentives.
Mitigation: The Council will continuously highlight and enhance EDU Chain’s unique value proposition in the education sector. They will also foster a strong, education-focused community and adjust incentives to remain competitive. -
Misalignment of Incentives: The incentive structure may not align perfectly with long-term ecosystem health.
Mitigation: The Council will implement vesting periods for rewards and tie incentives to long-term ecosystem health metrics. They will regularly review and adjust the incentive structure to promote sustainable growth. -
Sustainability: The long-term sustainability of the ecosystem beyond the initial funding period is crucial.
Mitigation: The Node-Lease Program is designed to create long-term sustainability of the ecosystem beyond the initial funding period by recycling 50% of node rewards back into the Developer Ecosystem Fund.
The Governance Council will provide regular updates to the community on the status of these risks and the effectiveness of mitigation strategies, ensuring transparency and allowing for community input on risk management.
GOALS AND SUCCESS METRICS
The success of this proposal will be measured by the following key performance indicators (KPIs):
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Developer Engagement:
- Number of unique developers participating in hackathons
- Number of developers actively building on EDU Chain
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Project Development:
- Number of projects initiated during hackathons
- Number of projects that continue development post-hackathon
- Number of dApps launched on EDU Chain
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Ecosystem Growth:
- Total Value Locked (TVL) in EDU Chain protocols
- Number of daily active users on EDU Chain dApps
- Transaction volume on EDU Chain
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Node-Lease Program:
- Percentage of leased nodes actively operating
- Total rewards generated and distributed through the program
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Community Engagement:
- Number of educational institutions participating in the ecosystem
- Growth in the EDU token holder community
The Governance Council will report on these metrics quarterly, with a comprehensive annual review to assess the overall impact of the Developer Ecosystem Fund and Node-Lease Program.
IMPLEMENTATION PLAN
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Governance Council Setup (Weeks 1-2 post-approval)
- Finalize and onboard the 5 council members
- Establish operating procedures and decision-making processes
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Fund Allocation and Management (Weeks 3-4)
- Set up secure multi-sig wallets for funds
- Develop detailed guidelines for fund distribution
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Node-Lease Program Launch (Months 1-2)
- Develop application and vetting process for node operators
- Create and publish technical documentation for node operation
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Developer Outreach (Ongoing)
- Launch marketing campaign to attract developers to EDU Chain
- Establish partnerships with educational institutions and tech communities
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Hackathon Preparation (Weeks 1-3)
- Design hackathon structure and rules
- Set up judging criteria and recruit industry experts as judges
COMMUNITY ENGAGEMENT
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Governance Participation
- Implement a voting system for $EDU holders to propose and vote on ecosystem decisions
- Hold quarterly town halls to discuss ecosystem developments and gather feedback
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Hackathon Involvement
- Open applications for community members to serve as mentors or judges
- Create a platform for the community to view and interact with hackathon projects
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Transparent Communication
- Publish quarterly progress reports on fund allocation and ecosystem metrics
- Maintain an open forum for community members to ask questions and provide suggestions
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Education and Onboarding
- Develop educational resources to help community members understand and participate in the ecosystem
- Host regular workshops and AMAs with Governance Council members and successful projects
FUTURE ROADMAP
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Ecosystem Expansion (Year 2)
- Explore partnerships with major educational institutions for large-scale EDU Chain adoption
- Investigate the potential for EDU Chain-specific hardware wallets or devices
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Integration with Open Campus Initiatives (Ongoing)
- Align developer incentives with other Open Campus projects and goals
- Create cross-project challenges and rewards to foster a holistic ecosystem
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Global Education Impact (Years 3-5)
- Establish EDU Chain as the go-to platform for decentralized education globally
- Explorethe potential for EDU Chain to support lifelong learning passports and credentials
GOVERNANCE COUNCIL PROFILES
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Harry Zhang, Developer Ecosystem Liaison
- Background in both education technology and blockchain protocol growth
- Experience: Harry is a serial edtech entrepreneur in both Web2 and Web3. As the cofounder of HackQuest and Moonshot Commons, he supported the zero-to-one developer ecosystem growth and go-to-market initiatives for 10+ leading blockchain protocols. Since 2022, they have hosted 30+ hackathons with 2400+ project submissions and 100+ developer events across the globe. As head of BD at PanoPath (acquired by Easy Group), he worked closely with top universities and helped build a community network of 300k+ active students.
- Role on the Council: Oversee developer events and technical aspects of project evaluations.
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Ankit Raj, Developer Ecosystem Liaison
- Track record in growing Ed-tech startups and developer communities for blockchain projects
- Experience: Ankit has played a pivotal role in expanding and nurturing developer ecosystems for various blockchain protocols in APAC and the Middle East, specifically enhancing the infrastructure within the Web3 space. With over ten years of experience in product management and growth hacking, they have significantly contributed to the development and success of early-stage startups, including in the edtech sector. Their strategic approach has effectively driven user acquisition, conversion, and monetization, demonstrating a robust capability to scale business operations in emerging tech markets.
- Role on the Council: Lead developer outreach and ecosystem growth strategies.
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Shan Han, LP Expert
- Deep understanding of liquidity provisioning and DeFi incentives
- Experience: Shan Han is a seasoned entrepreneur and investor, deeply engaged in the fintech and Web3 sectors. As the Cofounder and CEO of Zetl, he has been instrumental in driving innovation in financial services tailored for asset-light businesses, enhancing financial access and management. His role as Chief Investment Officer at Node Capital involves leading delta-neutral and smart-beta crypto trading and investment strategies, placing him at the forefront of integrating advanced financial techniques with emerging blockchain technologies.
- Role on the Council: Ensure effective utilisation of liquidity incentives.
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TBD, Incentive Design Expert
- Expertise in designing and managing incentive systems
- Experience: [Brief description of relevant experience]
- Role on the Council: Oversee the Node-Lease Program and incentive structures
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TBD, Community Governance Expert
- Background in DAOs and community-led decision making
- Experience: [Brief description of relevant experience]
- Role on the Council: Facilitate community engagement and participatory governance
Council Responsibilities and Meetings:
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Regular Meetings:
- The council will meet formally on a monthly basis to review progress, make decisions, and plan future initiatives.
- Ad-hoc meetings will be scheduled as needed, particularly to manage the $12 million liquidity pool and respond to time-sensitive matters.
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Key Responsibilities:
a) Fund Oversight:
Oversee the allocation and distribution of the $20 million Developer Ecosystem Fund.
Manage the $12 million liquidity pool, making decisions on liquidity provision and adjustments.
Approve operational support funds for promising projects.
b) Hackathon and Incentive Program:
Design and oversee the implementation of hackathons, allocating the $1 million initial prize pool.
Develop strategies for distributing the $3 million future incentives fund.
Evaluate and select projects for additional funding and support.
c) Node-Lease Program:
Develop and manage the application process for the 200 node operators.
Set and adjust lease terms as needed to ensure program effectiveness.
Monitor node performance and re-allocate leases as necessary to ensure effective utilization and decentralization of the network.
d) Ecosystem Growth:
Develop and implement strategies to attract developers and projects to EDU Chain.
Foster partnerships with educational institutions and tech communities.
Identify and pursue opportunities to expand EDU Chain’s reach in the education sector.
e) Community Engagement:
Represent the council in community town halls and AMAs.
Review and respond to community proposals and feedback.
Ensure that the community’s voice is considered in major decisions.
f) Reporting and Transparency:
Prepare quarterly progress reports on fund allocation and ecosystem metrics.
Ensure all decisions and actions are communicated transparently to the community.
Maintain an open channel for community members to track the use of funds.
g) Risk Management:
Continuously monitor and mitigate risks as outlined in the RISKS & DRAWBACKS section.
Propose and implement adjustments to the program as needed.
Develop contingency plans for potential challenges or market shifts.
- Decision Making:
- Decisions will be made by majority vote among the five council members.
- For decisions involving fund allocation above a certain threshold (to be determined), a supermajority (4 out of 5) will be required.
Council Remuneration:
Each Governance Council member will be compensated for their time and expertise. The remuneration structure is as follows:
- Monthly compensation: $5,000 worth of $EDU tokens per council member
- Time commitment: Expected to be approximately 40 hours per month
- Performance bonus: Up to 50% of monthly compensation, based on achieving predetermined ecosystem growth metrics
- Term: Initial appointment is for 12 months, with the possibility of renewal based on performance and community approval
The total annual budget for Council remuneration is $300,000 worth of $EDU tokens (excluding potential performance bonuses). This remuneration structure will be reviewed annually to ensure it remains competitive and aligns with the ecosystem’s growth.
$EDU token holders can submit proposals to replace any Governance Council member if they feel it’s necessary for the betterment of the ecosystem.
ABOUT THE AUTHOR(S)
HackQuest is a one-stop, self-guided Web3 developer education platform. HackQuest offers expert-curated learning paths with on-chain certificates co-issued by leading Web3 ecosystems including Arbitrum, Solana, Mantle Network, and Linea. HackQuest’s event organization arm Moonshot Commons is a global community for Web3 founders to learn, build, and scale and has hosted 30+ Web3 hackathons and accelerators and 100+ developer event since 2021. Over 85 community project founders raised capital and are backed by a16z, YC, and many more.
Rise In provides free courses, educational programs, hackathons and community events to help developers worldwide learn web3 and build projects. As the blockchain-focused educational brand of Patika.dev, Turkey’s largest developer community with over 250,000 developers, Rise In supports 90,000+ learners across 100+ countries, including Turkey, India, the U.S., Nigeria, Kenya, Pakistan, and Nepal. Rise In creates and helps grow talent ecosystems for leading web3 protocols like Solana, Stellar, Aptos, Scroll, Circle, and ICP, offering structured onboarding experiences for over 250,000 developers through online courses, bootcamps, project building, and developer retention activities.
