I think the ecosystem needs to put more financial resources to help projects to kickstart. This is particularly important as various ecosystems are competing for great projects. How about we make a DAO as a decentralized pre-seed VC to invest in early-stage Cosmos ecosystem projects (hubs or zones)? We should also invite institutions like ICF, AiB, Polychain to put some seed money ($atom) in that as well.
This DAO is like a Community Pool with the sole purpose to provide pre-seed funding.
A) Fund size of this DAO:
- 100 projects x 15,000 Atom on average (first check)
- 20 projects to receive 1st follow-on investment x 75,000 Atom on average
- 4 projects can receive 2nd follow-on investment x 250,000 Atom on average
Total: 1,500,000 + 1,500,000 + 1,000,000 = 4,000,000 Atom which is only about 1.55% of the total supply of Atom. If 2 of the final 4 project hit a home run (+700%), The fund can break-even and reinvest in new projects.
B) Basic eligibility:
The projects should be completely open-source, have native tokens and are built with Cosmos SDK and Tendermint.
C) Benefits of this idea:
Assuming average team size is 3, this fund can help 300 builders to kickstart in Cosmos.
Even if most of these projects will fail, their team can be merged with the existing teams/projects. They will continue to be an asset of Cosmos.
This serves as the screening stage for ICF (or other institutions/VCs/validators) to make better and faster decision whether or not they should make a larger investment/grant or support a particular project.
The application process can help the projects to understand better the expectation from the community so that they can build better products.
The application process is a marketing opportunity for the projects.
Some other concepts can be derived from this DAO such as Cosmos School, Cosmos Accelerator, Cosmos Angel List, Cosmos Recruitment… …
I understand a lot of tech and non-tech questions need to be answered. This is just a rough idea to start the conversation