Incentivizing governance is undoubtedly a fascinating topic to explore. However, our research in this area highlights the critical need for careful consideration to avoid creating disruptive financial incentives that could ultimately achieve the opposite of their intended purpose. When governance is gamified through financial mechanisms, there is a significant risk that, if not properly managed, it may undermine the principles of reputation and long-term commitment that are foundational to effective decentralized governance systems.
Building such reputation in governance requires substantial time, effort, and—most importantly—consistency in delivering value. Financially incentivized engagement, on the other hand, operates on different principles. If left unchecked, it can sideline reputation-based representatives by introducing hierarchical structures driven by financial power rather than merit. In such scenarios, influence can be “bought” rather than earned through sustained contributions and commitment.
From our perspective, losing hard-earned trust and reputation is far more damaging than losing money spent to gain temporary influence. Reputation is built on invaluable principles and long-term accountability, whereas financial incentives represent a calculated risk-reward trade-off that may prioritize short-term gains over enduring community trust.
This is why we advocate for a cautious and thoughtful approach to incentivizing governance, ensuring it aligns with the values and long-term goals of the ecosystem rather than undermining them.
I believe it is a good idea to encourage governance and motivate people to participate in the forum through a points-based system rather than a financial one. As Govmos mentions, a financial system could have a double-edged and harmful effect. On the other hand, a points-based system seems more appropriate, as it would highlight individuals and participants who engage in the forum, governance, and sound decisions for the hub’s future through a dedicated interface.
For a while now, I’ve really liked the idea of being able to log in to the Cosmos Hub forum through my wallet and have an on-chain record of my activity on the forum.
If this incentive is limited just to the forum, only existing Cosmos insiders would benefit.
Changing title from “Community engagement” to “Community enrichment” should be considered in that case and keep the doors open for “Community Building” in the future (and allocating 1/3 of total Community budget to each).
May be wrong here, but im sure all of this prooves ATOM should not be viewed as “money,” and the need for a separate “fee token.” Therefore, let us talk about nullifying Prop848 first before we talk about implementing even more features.