The contributors at klimaDAO continue to make worthwhile contributions to the protocol. While the DAO went through significant leaning down recently, as can be seen in KIP-24 there's still significant costs associated with DAO compensations (>$200k per month). Additionally KIP-24 proposes paying up to 50% of this compensation using USDC from the treasury. While the reasons outlined in KIP-24 are valid, it does bring forth the question of whether the current and KIP-24 proposed compensation structure aligns DAO members with the protocol. This proposal suggests a basic improvement to the compensation structure to do so by suggesting a compensation model similar to Equity + Base Pay model.
Suggestion 1: (this is the core part of this proposal, the next two suggestions can be spun off as their own KIPs)
- Lock 30% of every contributor's monthly compensation for 6 months in the form of wsKLIMA.
- Lock a further 20% of every contributor's monthly compensation for 12 months in the form of wsKLIMA.
- Release remaining 50% as USDC or KLIMA or any appropriate mix of both immediately (called Base Pay from here on).
this proposal believes that this allows for the contributor's to use up the Base Pay part of their compensation immediately for whatever purpose they might need it while still showing good faith alignment with the protocol.
Suggestion 2: (this can be spun off as a separate KIP if needed)
Release compensation information publicly every month using OlympusDAO's monthly allocation sheet as a template. The information can be anonymized to a higher degree if needed e.g. instead of specifying each member's discord name they can be mentioned as Marketing Team Member 1, Marketing Lead 1 etc. (although arguably this shouldn't be needed).
Suggestion 3: (this can be spun off as a separate KIP as well)
Consider the USDC being used for compensation as a 0 interest LOAN from treasury to the DAO. This should be repaid by reducing the klima cut the DAO gets from bond sales in the future until an equivalently less amount of klima has been received by the DAO than with current fees.
Please provide suggestions, improvements, and comments.