🌡️Quid Pro Quo Policy

Quid Pro Quo Policy outlines our commitment to maintaining the integrity of quadratic funding mechanisms.

Quadratic funding is designed to amplify the impact of community contributions to projects they value, based on the principle that individuals contribute because they appreciate the project's potential outcomes. However, this goal is threatened by the emergence of external incentives that distort the intended purpose of these contributions.

Problem Identification

We've identified a significant challenge: side incentives, or motivations external to the project's objectives, that distort contribution behaviors. This distortion arises when contributors are motivated more by personal gains than by the success of the projects they support, undermining the quadratic funding model.

Current Challenges

The enforcement of the "No kickbacks" rule has been less effective than desired. Furthermore, the nuanced nature of motivations and the timing of rewards, such as airdrops after contributions, complicate efforts to police behavior and ensure fairness.

Proposed Solutions

To address these challenges, we propose the following measures:

• Policy Education: We will raise awareness of our policy. We will teach grantees how kickbacks distort quadratic funding even when the side incentives they create are non-financial

• Strengthening Enforcement: We will enhance our efforts to enforce the "No kickbacks" rule. This includes issuing immediate warnings against the use of kickbacks and removing projects that violate this principle from our platform.

• Anonymous Reporting: An anonymous form is available for the community to report suspicious activities. This tool is crucial for identifying and addressing violations.

• Longer Term Thinking: Examining solutions like MACI will be key to making these sorts of kickbacks/quid pro quo decisions technologically impossible

Implementation Strategies

Effective immediately, we will begin sending educational messages to the community about this policy, updating our documentation for greater clarity, and warnings to projects found to be using kickbacks. We should also encourage the community to utilize the form to alert us of any suspicious behavior. Our team is committed to investigating these reports thoroughly and taking appropriate actions to preserve the integrity of the funding mechanism.

Conclusion

Our goal is to foster an environment where contributions are motivated by a genuine interest in the success of community-valued projects. We invite the entire community to join us in this effort, ensuring that quadratic funding remains a powerful tool for collective action. Your involvement and vigilance are key to our success.