Proponent: 16g6knFgxm386vXJuHZ58ZQC39H9RSFN7sDRPSimCDJiTHcb
Date: 16.10.2023
Project Category/Type: PLF - Parachain Loan Financing
Previous treasury proposals: None
Totem Kapex Parachain Team is requesting a 2x collateralized loan from the Polkadot Treasury. An unbiased all-voter airdrop of the native parachain token will be given to all Aye and Nay voters if successful. The airdrop commitment is 5% of Maximum Supply distributed on a conviction weighted basis.
Important Note
We respectfully ask the community to review the entire contents of this proposal document (not just the tldr below) in order to fully understand the new concept being put forward, rather than simply assuming that this is a large spending request.
There are real consequences to the success or failure of this proposal both inside and outside the Polkadot ecosystem. We have taken a long time to configure this new concept and to address previous community concerns about team funding proposals. We strongly believe that this new model meets those concerns and innovates on the OpenGov mechanisms.
This new model imposes significant commitments on the team if it is successful, and we believe that this is the only fair and equitable means to justify asking for your support.
We recognise that this proposal is likely to be controversial, and are confident that the community will engage in meaningful discussions about the consequences and outcomes.
Whatever the outcome, we believe it is a valuable contribution to the on-going conversations around this subject and will help the Polkadot ecosystem identify and define acceptable team funding mechanisms now and into the future.
PLF Amount USD: 2,250,000 USD
Requested DOT: 592,573
DOT Price: 3.797 USD (Subscan EMA7)
PLF Interest: 20% of loan amount
Loan Value Repayable to Treasury: 2,700,000.00 USD
Target repayment date: Month 24 (of the 3 year plan)
Team's Allocation Lockup: 258,182 KPX
Lockup as %age of Max Supply: 10% (the entire team allocation is locked)
Pre-multisig holding address: tsZMmzD8dzS98X8WFaFrgiDosBm4d9HVZC1RuiAKXDYQwzbXs (funds now moved to multisig in good faith)
Community Curated 3 of 7 multisig address: tsVoxaueMmuGBekYZGXGDjsH5idqsjkdXbj8ohSQRbY9Cf7kM
Conviction weighted award to AYE and NAY voters: 129,091 KPX
Total Award as %age of Max supply: 5%
Holding Distribution Address on Kapex Parachain*:
tsUhSvQQoYceMHzsyjynmJwjWcVV79KjhNF9PaYk2wTJ96u5N
*Airdrop to Polkadot addresses on Kapex Network from this address will be performed only if the proposal is successful.
PLF-9mnth-2.25M KAPEX Cashflow Forecast
Totem Kapex Parachain Team is requesting a 2x collateralized loan from the Polkadot Treasury in return for an airdrop of 5% of maximum supply to all Aye and Nay voters if successful.
Our tiny team of unpaid full-time devs and a couple of volunteers are proposing an innovative alternative to the centralised funding model. We strongly believe this will create a ripple effect encouraging builders into the Polkadot Ecosystem knowing that they can get support using this model template.
The Totem Team is fully committed to the Polkadot ecosystem and has been bootstrapping on Polkadot since 2019 to build the world’s first p2p accounting system. We won a community funded parachain slot last year and we are looking for support to grow our team, complete our roadmap and take our parachain to the next level.
The loan will be primarily used to meet the commitments of recent important new partnerships, to allow us to renew our parachain lease/buy core time, to cover the legal and regulatory aspects of listing, including listing fees and to cover our operational costs for the next 9 months. More importantly it will get us to the point of revenue generation so that we can pay back the loan.
The loan should be viewed as a decentralised alternative to VC funding placing yet more control of the network in the hands of the community. It is a loan not a spending request.
Please consider the following. By voting on this proposal you are:
Funding the Kapex Parachain Team with your vote, not your DOT in exchange for KPX.
Voting on the acceptability of this proposed PLF model as a possible template for parachain teams in future.
3. Proposal objective and solution
Totem Kapex Parachain Team is requesting a loan from the Polkadot Treasury in return for an airdrop of 5% of maximum supply to all Aye and Nay voters if successful. The loan will be used to grow their team, complete their roadmap, and take their parachain to the next level. The loan should be viewed as a decentralised alternative to VC funding placing yet more control of the network in the hands of the community. The loan will be primarily used to meet the commitments of recent important new partnerships, to allow them to renew their parachain lease/buy core time, to cover the legal and regulatory aspects of listing, including listing fees and to cover their operational costs for the next 9 months. The team is proposing an innovative alternative to the centralised funding model. The loan is not a spending request.
Threshold
TO: Szegoo FOR: substrate#13993 (medium)