Synapse DAO Grants
As the Synapse DAO continues to expand and grow, it is increasingly important for the DAO to appropriately safeguard its interests and rights via enforceable legal arrangements. Likewise, it’s crucial that contributors and potential contributors have the ability to define their rights and obligations adequately to be comfortable contributing. Following the recognition of the Synapse Foundation in SIP-11, and pending necessary revisions to the Synapse Foundation’s governing documents, this is now feasible, as the Synapse Foundation may legally interface with outside parties on behalf of the DAO, including entering into legal arrangements so that the DAO’s interests are protected and furthered.
Pertinent to this proposal, the Synapse Foundation can be utilized to enter into legal agreements with independent contractors wishing to contribute to Synapse and stipulate binding terms and conditions applicable to the provision of services and payment of any grant in exchange for those services.
Grant requests made as governance proposals outlining the general framework for the contractual relationship may be approved or rejected by the Synapse DAO; if approved, the Synapse Foundation will enter into a legal agreement with the contractor on substantially the same terms approved via governance and receive a grant from the Synapse DAO to fund its obligations under that legal agreement. In supporting the development of the Synapse Protocol, the DAO should and will look to provide numerous types of grants to various contributors who can further growth through various functions. One such function is research and development.
Grant to Interoperability, Inc.
Interoperability, Inc. (“Interoperability”) is a company that provides research, engineering, and infrastructure services to organizations similar to Synapse. Should this proposal be passed, it will contribute to the Synapse Protocol, as some Interoperability employees have done historically.
This proposal would provide a grant to Interoperability, to be administered by the Synapse Foundation, so that Interoperability can contribute to the Synapse Protocol and DAO. The Synapse Foundation would enter into a Services Contribution and Grant Agreement (the “Services Agreement”) with Interoperability. Under the Services Agreement, Interoperability would provide research and development services, including engineering, smart contract development, and infrastructure provisioning services to the Synapse DAO in support of the Synapse Protocol.
Initially, the monthly grant to Interoperability being proposed is $300,000, payable in USD Coin, other stablecoins, or other tokens as agreed to by Interoperability and the Synapse Foundation, in consultation with the Synapse Foundation Advisory Board. The amount of the grant may be revisited from time to time by Interoperability and the Synapse Foundation Advisory Board as either party deems appropriate, but would only be adjusted if Interoperability and the Synapse Foundation, in consultation with the Foundation Advisory Board, agree to such an adjustment. The Services Contribution and Grant Agreement would contain provisions allowing termination upon 60 days notice by the Foundation at the direction of the Advisory Board, based on a majority vote by the DAO.