EGP #003 First Eco Trustee Election

Thank you for raising this question @uzhakbas

The compensation for the first group obviously needs to be sufficient to incentivize Trustees to remain committed, align them with the longer term success of the Economy (hence the payout in ECOx), but also not be so outsized that it sets a bad precedent if the system and group evolve in the future. So those are the overall goals.

In terms of how the actual numbers were proposed, we considered a few factors:

  • We surveyed comparable grant amounts and streaming compensation for other core governance groups or ‘councils’ elsewhere in DeFi. Those amounts tend to fall between $25k USD and $500k USD (although this can be variable if the grants are denominated in protocol tokens). We obviously want this group to be high profile and compete to attract the most trusted contributors in the space.
  • We also considered how this position compares to corporate board positions in terms of both time commitment and accountability. There are many parallels here (although this is obviously not a fiduciary position — rather one that is measured by the mandate this community sets forth). Most high-end corporate board positions pay a similar range to the DeFi projects above (often in a mix or cash and stock in this case).
  • Finally, we wanted the Trustees to be similarly rewarded to the community’s Top 10 Points holders pre-launch (assuming they wait for their highest ECOx claim multiple). Although these rewards were inevitably imperfect, they did achieve their signaling goal: that consistent ‘core’ contribution merits significant reward, and that the scale of the Economy is much bigger than the scale of the Points supply pre-launch (so in many cases the top-line rewards, in both token number and value, should increase as such).
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