0x2aa64e6d…d35esent to0xf790a5f5…1365·#22,370,672·view on Etherscan
# Moving Flows Forward: A Sustainable Approach To Public Goods Funding
## Summary
This proposal introduces a two-tier structured model of continuous funding ("Flows") from Nouns DAO directly to selected Nouns forks (e.g., Public Nouns, Vrbs, Lil Nouns). These forks then independently govern their own continuous funding streams ("Flows") to two distinct categories of projects:
1. **Impact-Driven (Non-Revenue):** Purely public goods initiatives without expected revenue generation.
2. **Revenue-Generating:** Projects committed to sustainability with explicit revenue models, including future token launches.
Revenue-generating projects commit to a revenue-network ("revnet") model, allocating a portion of their ongoing funding streams into liquidity pools for future token launches, ensuring financial sustainability and return potential for the broader Nouns ecosystem. Nouns DAO will receive tokens through a token swap upon each project's successful token launch.
## Two-Tier Structure Explained
### Tier 1: Governance by Nouns DAO
- **Nouns DAO** establishes continuous funding streams ("Flows") to selected forks such as Public Nouns, Vrbs, and Lil Nouns.
- **Allocation of streams**: Percentages of funding to each fork are determined and adjusted by governance decisions of Nouns DAO.
- **Continuous Review**: Stream allocations can be adjusted periodically based on fork performance, transparency, and ecosystem contribution.
### Tier 2: Governance by Fork DAOs
- Each fork (e.g., Public Nouns, Vrbs, Lil Nouns) governs its received continuous funding streams ("Flows") through internal community-driven governance processes.
- **Project Funding Categories**:
- **Impact-Driven (Non-Revenue):**
- Purely philanthropic or public good-oriented projects funded via continuous streams (e.g., open-source infrastructure, educational initiatives, environmental conservation).
- Flexibility to transition to Revenue-Generating if their operational model evolves.
- **Revenue-Generating Projects:**
- Projects with explicit sustainability and revenue models funded via accelerated continuous streams at typically larger sizes (e.g., decentralized applications, community-driven marketplaces).
- Must commit to a token swap and a revenue-sharing agreement upon launch of their token, including token allocations to Nouns DAO.
### Revenue Network (Revnet) Model for Revenue Projects
- Revenue-generating projects receiving continuous streams commit to locking a portion (e.g., 10%-20%) of their allocated funds into liquidity pools.
- These liquidity pools support token stability and facilitate smooth launches upon token issuance.
- Upon successful token launches, forks and ultimately Nouns DAO benefit from accrued value in tokens and liquidity pools, creating financial sustainability.
## Governance and Allocation Mechanics
### Tier 1 Governance (Nouns DAO)
- Nouns holders propose and vote on percentage allocations to forks.
- Regular performance reports from forks inform governance decisions.
- Allocations may be adjusted based on:
- Fork performance (impact, transparency, return).
- Alignment with Nouns ecosystem goals.
### Tier 2 Governance (Fork DAOs)
- Fork token/NFT holders propose and approve continuous funding streams ("Flows") allocations to individual projects.
- Projects clearly categorized as either Impact-driven or Revenue-generating at the proposal stage.
- Fork DAOs publish regular transparency and accountability reports detailing allocation and outcomes.
## Benefits of the Two-Tier Structured Flows Model
- **Clear Governance Roles**: Nouns DAO oversees macro-level allocations, while forks manage micro-level project funding via continuous streams.
- **Financial Sustainability**: Revenue-generating projects contribute back to the ecosystem, creating self-sustaining financial loops.
- **Capital Efficiency**: Transparent and measurable criteria ensure funding effectiveness.
- **Community Empowerment**: Fork DAOs empowered to leverage local expertise and governance to maximize impact and sustainability.
## Implementation Criteria and Transparency
- **Explicit Proposal Categorization**: Fork DAOs categorize each project clearly as either Impact-driven or Revenue-generating at the point of application.
- **Liquidity Pool Commitments**: Revenue projects explicitly commit a specified percentage of received continuous funding into revnet liquidity pools.
- **Regular Reporting**: Fork DAOs report quarterly on funded projects, funds utilization, liquidity pool performance, and measurable impact.
## Example Scenario
- **Public Nouns** receives 40% of total Flows from Nouns DAO.
- Allocates continuous streams to Impact-driven initiatives such as open-source educational content.
- Allocates continuous streams to Revenue-generating ventures such as a decentralized data analytics platform. The analytics platform agrees to allocate 15% of their ongoing funds to a revnet liquidity pool.
- Upon token launch, the analytics platform executes a token swap and revenue sharing with Public Nouns, directly benefiting the fork and, by extension, the Nouns ecosystem, with additional tokens allocated to Nouns DAO.
## Conclusion
This two-tier structured funding model clearly delineates roles between Nouns DAO and fork DAOs, enhancing accountability, transparency, and long-term financial sustainability. Revenue-generating projects explicitly contribute back into liquidity pools and directly benefit Nouns DAO through token swaps, ensuring a sustainable financial loop that benefits the broader Nouns ecosystem while still allowing impactful, purely philanthropic funding. This balanced approach addresses previous sustainability concerns, empowering Nouns DAO to become a robust, innovative, and sustainable funder of public goods and impactful ventures.moving-flows-forward:-a-sustainable-approach-to-public-goods-funding