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Quadratic Funding Rules |
We aim to maintain fairness and effectiveness in Pots. Quadratic Funding plays a crucial role in most of our posts, serving as a mechanism to amplify community donations to projects people care about. It uses donations as an indicator of belief in a project's goals.
On Running A Successful Round Check out
{% content-ref url="../../user-guides/create-your-project/project-guidelines.md" %} project-guidelines.md {% endcontent-ref %}
{% content-ref url="../../user-guides/project-tips-for-success.md" %} project-tips-for-success.md {% endcontent-ref %}
Based on recent insights:
- A "majority" founder can participate in only one project as a key team member within the ecosystem.
- A project cannot get more than 25% of pot (or whatever threshold) to prevent from Pot “carteling”. Extra estimate amount posts all weights and rules, make be redistributed to other high value projects.
- Obvious botting attempts risk disqualification from the matching pool.
- Attempts to falsely report others for botting will result in penalties.
- Paying to donate to a particular project
Onboarding work does not translate into payments or grant entitlements in a round. The round manager can flag or penalize those who violate any rules or code of conduct. Projects may be removed during the round for misconduct.
We face the challenge of some groups offering external rewards to encourage donations. This can shift donors' focus from supporting worthy projects to seeking personal benefits. We want donations to come from genuine support for projects, not personal gain.
Not Allowed
- Personalized rewards (ex; airdrops) or services, such as consulting or coaching, in exchange for donations to a particular project
We do allow:
- Gas fee reimbursements for donating to particular projects. We also provide some gas fees for bridging, etc. Check Potlock community
- Incentives for round-specific donations instead of rewarding a single project
- General acknowledgments thanking all donors to a round or cause
- Open invitations to community events welcoming all donors, regardless of the projects they have supported. However, there must be a major focus on the entire round and covering the work of all projects. This includes Shill spaces.
- Community badges recognizing participation in the funding round as a whole
What if this is used as a whitelist for an airdrop?
- It's acceptable as long as it's not publicly advertised as an incentive
- We encourage using Potlock donors as a litmus test for rules
Even if rules are violated, maintaining a respectful tone is required. See Code of Conduct for more information.
If you witness or hear about someone violating these rules, please report it here for our team to investigate. We take all reports seriously. Violating these rules may result in removal from the matching distribution. We also welcome feedback during our challenge period.
The round manager is ultimately responsible for adhering to payout rules. Neither the Potluck Foundation nor Potluck Labs bears liability for compliance.
Some rounds include a compliance period. Projects that fail to complete appropriate Know Your Customer (KYC) verification by the claim period following the initial payout will not receive funding. We recommend completing Know Your Business (KYB)/KYC in advance (refer to specific round instructions for details).
In many of our rounds, Quadratic Funding serves as a weight, and judges may have their own allocation or blend in another factor. Round managers will communicate this to the ecosystem. Regardless, you should still promote awareness around donations, as they influence your pool allocation.
- The estimated amount displayed is not the final result.
As we upgrade contracts, see more information on the v2 Pots here.
Pot v2 also incorporates:
- Sybil rules to prevent botting
- Different mechanisms with varying rules (documentation will be linked as development progresses)
- Measures to prevent money washing, where funds flow from projects back to other donors