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'Researching DORG Token Incentives' DSP #99

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97 changes: 97 additions & 0 deletions DSPs/013-research-DORG-token-incentives.md
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# Researching DORG Token Incentives

**Author(s)**: Remscar (Zachary Nawar)

## Summary

It's currently not possible to do anything with `DORG` tokens that builders may have, therefore builders who choose to take payment in the form of `DORG` tokens should be rewarded additional reputation.

This proposal is to research and determine the best way to additionally reward dOrg `REP` tokens to builders who choose to receive payment in `DORG` tokens.

## Background

Currently builders can choose to receive some of their payment in a `DORG` token.
The `DORG` token is currently valued 1:1 with DAI, but cannot be used.
As such the `DORG` token represents an investment of payment back into dOrg with no defined APY (annual percentage yield.)

Currently 1 `REP` token is awarded for every 1 `DORG` token a builder receives as payment.

## Why should we fund this?

Builders at dOrg are choosing to invest their hard earned money back into the internal development and growth of dOrg by receiving `DORG` tokens in place of `DAI` and should be rewarded for these actions.

Since there is no utility, way to redeem, or way to earn additional returns on `DORG` tokens, currently, the builders who receive `DORG` tokens are for all intents and purposes giving their money to dOrg.

### Further Explanation

dOrg currently has two ways of raising cash:

- Through the 10% cut it takes from client projects (revenue)
- Builders choosing to receive `DORG` tokens instead of `DAI` (debt)

As the number of client projects increase, so will dOrg's revenue through that method.
However there may be cases where dOrg needs more cash than it gets through revenue.
Exploring how dOrg can raise cash by taking on debt, so that if it needed to do so, helps us be better prepared to make decisions in the future.

If dOrg found itself in a situation where it needed cash, having plans on how to incentivize builders into investing into dOrg will be helpful.

### Examples

Some examples to illustrate how this might play out:

None of these examples, or the numbers mentioned in the examples, should be considered final, and are merely ideas which need to be more carefully analyzed.

#### Extra Rep during time window

dOrg wants to raise $10,000 through issuing `DORG` tokens.
dOrg declares that any builders choosing to take `DORG` tokens instead of `DAI` as payment, for the next 2 weeks, will be granted an extra 50% `REP` tokens.
After 2 weeks, dOrg can either continue or discontinue the additional `REP` token grants.

#### Limited extra rep per month

dOrg declares that builders can receive 20% more `REP` tokens on the first 1000 `DORG` tokens they receive in place of `DAI`.
This limit can reset every month.

#### Rep Pool

dOrg declares that 5000 bonus `REP` will be proportionally given to all builders who choose to take `DORG` tokens as payment in place of `DAI`.

This pool is given at the end a month.

## Outcomes

There are a few outcomes of this DSP.

### Research

Research and explore this statement:

> How can dOrg incentivize builders into receiving `DORG` tokens instead of `DAI` as payment by giving additional `REP` tokens, so that dOrg can raise funds?

### Interview

Interview peers at dOrg both during and after the research process to explore ideas, discuss findings, and better understand what might be the best for dOrg.

### Sharing

A session will be held to share findings with dOrg.

### DSP

Based on the research findings, and permitting that this is a good idea, another DSP will be put forth to implement a fair incentive.


## Cost x Timeframe

Time: ~3-4 weeks (~10 hours / week)

| Item | Hours | $/hr | Total
|-|-|-|-|
| Research | 15 | $75 | $1125
| Interviewing | 8 | $60 | $480
| Sharing Prep | 2 | $60 | $120
| Sharing | 1 | $60 | $60
| DSP Creation | 4 | $75 | $300
| Totals | 30 | | $2085

All payment for this proposal will be in `DORG` tokens.