ADAO - Plutus Token Vesting DApp
Many teams use vesting schedules to allocate project tokens. Currently, there is no easy and secure way to automate or audit this process.
Experience
Core members of ADAO have been working closely with and collaborating with various Cardano community organizations such as, Staking DAO, SCAT DAO, Liqwid Labs and others to develop best practices, streamline design, and to ensure longevity and feasibility of our approach.
Solution
A Plutus smart contract dapp built to enable customizable token vesting, where issuers can deposit tokens and specify the parameters around a specific spending schedule.
This proposal was approved and funded by the Cardano Community via Project F9: Dapps, Products & Integrations Catalyst funding round.
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Error! Try saving againProposal Assessor Reviews
Impact / Alignment
Does the proposal effectively addresses the challenge?
Community Reviews (5)
The “ADAO – Plutus Token vesting dapp” proposal addresses Dapps, Products & Integration challenge by creating a smart contract based token vesting DApp. The DApp will be open source, free to use and highly auditable. Before this DApp, there is no easy way to verify the vesting schedule. The vested tokens are normally allocated by Devs. With this DApp, the process will be automated and auditable with the vesting schedules in token allocation. This could provide the prototype to other projects to use the dApp when doing private sales tokens and build trust between project owners and the investors which surely will drive the interest in adoption of Cardano dApps. Hence, the proposal fits the challenge very well as it would increase number of dApps and nourish the ecosystem with new use cases. The proposer cited risks of this project as the developers getting sick and lack of interest which they have proper ways to mitigate these risks.
Assessment Quality Assurance
Assessment Quality Assurance is an offered role to veteran in the Cardano Project Catalyst Community. The purpose is to review PA assessments of proposals, providing a second layer of Quality Assurance.
- Assessor ID
- z_assessor_2525
- Total QA Ratings
- 0
- QA Rating Outcome
Sadly, in other ecosystems, we have seen many cases where after an ICO, IDO, or crowdfunding event there are often large sell-offs by the founders or the early investors as soon as they are available to the public, resulting in a sharp fall in the price of the token, and almost always affecting retail investors. This is where a proper vesting strategy by the founding team becomes relevant. Thus, vesting is one of the keys to creating a successful tokenomics design. The team preparing this proposal is focused on presenting an alternative to future startups that will allow founders to offer the community a secure vesting schedule based on a previously tested smart contract. BeiSince this tool would be open source and free to use for different projects, it would have a great potential for adoption, as long as the community understands the importance of a feature like this within the Tokenomics of a new project and makes it a minimum requirement for new projects to be considered serious.
Assessment Quality Assurance
Assessment Quality Assurance is an offered role to veteran in the Cardano Project Catalyst Community. The purpose is to review PA assessments of proposals, providing a second layer of Quality Assurance.
- Assessor ID
- z_assessor_2142
- Total QA Ratings
- 0
- QA Rating Outcome
Vesting schedule is one of the important things used to help teams focus on making a great project after crowdfunding. Instead of receiving the entire token, the teams will receive the token after a vesting schedule period set by the project founder. However, there are many projects where the token price is always “pump/dump” or even Rug Pulls when the token is released without investors knowing. The reason for this is that the token release is centralized or semi-decentralized, not the decentralized model that blockchain defines and the Cardano network wants. This is not a new idea but it is still consistent with reality, it will have more options for genuine blockchain projects for investors to feel secure with the project they pursue.
Assessment Quality Assurance
Assessment Quality Assurance is an offered role to veteran in the Cardano Project Catalyst Community. The purpose is to review PA assessments of proposals, providing a second layer of Quality Assurance.
- Assessor ID
- z_assessor_2945
- Total QA Ratings
- 6
- QA Rating Outcome
This proposal attempts to solve the ever growing problem between trust and decentralization by using a 'Plutus smart contract dapp built to enable customizable token vesting where issuers can deposit tokens and specify the parameters around a specific spending schedule'. As more and more projects are built on Cardano, the need for a trustless system of fund allocation is needed to prevent any bad actors (sometimes referred to as "rug pulls") so that investors and creators alike never fear this type of action or loss taking place. Having many Cardano NFT projects representing themselves as DAOs, there's only one that I am aware of that uses Github as a source of complete transparency with transaction history to it's holders. This solution to that extra effort from a DAO or similar project or community by enabling a seamless trust with public transparency through smart contract interoperability on Cardano Dapps and protocols, would allow for greater adoption from users looking for such a solution not seen on any other blockchain. The impact rationale of token vesting dapp that is open source and free to use is a 4, based on the unforeseen audience of users but with the proper education of such a tool available, a significant rise in impact could take place in the coming years.
Assessment Quality Assurance
Assessment Quality Assurance is an offered role to veteran in the Cardano Project Catalyst Community. The purpose is to review PA assessments of proposals, providing a second layer of Quality Assurance.
- Assessor ID
- z_assessor_2883
- Total QA Ratings
- 5
- QA Rating Outcome
This proposal will attempt to address a very common problem on vesting tokens within the Cardano Ecosytem. If the challenge is to develop more useful dApps and help people to feel comfortable using Cardano as we drive more adoption then this certainly addresses the challenge of that.
The proposal has an important paragraph which I will quote a few lines from here that show how it addresses the challenge:
"Vesting tokens is a powerful instrument to build trust between a project team and their investors or users. The project teams want their users to feel comfortable that they will not immediately dump tokens on them, essentially using them as exit liquidity. To mitigate that risk the dev teams state that certain tokens will be released over time, but if we are relying on the dev teams to do as they promise, it will always leave open the possibility of them not following through and accessing their tokens whenever they wish…." For these reasons I gave five stars and I believe it clearly addresses the challenge.
Assessment Quality Assurance
Assessment Quality Assurance is an offered role to veteran in the Cardano Project Catalyst Community. The purpose is to review PA assessments of proposals, providing a second layer of Quality Assurance.
- Assessor ID
- z_assessor_2835
- Total QA Ratings
- 5
- QA Rating Outcome
Feasibility
Given experience and plan presented is likely that this proposal will be implemented successfully?
Community Reviews (5)
The ADAO team has a succinct development plan spanning between July 15 until end August with budget breakdown (based on number of hours and hourly pay rate). Tom aka. TCT is the project lead. Wish the team could have shared with the community more information on their ADAO team members although glancing through the team profile. Some members are well known within the community. The proposer, Tom, is a builder for first smart contract DAO on blockchain. The total requested budget is $33000 with 550 hours working on the project. They would request further funding if the tool is proven to be a success among the community. The project roadmap assumes that the team would have started working on the project before the voting result is known. Also the duration of one and a half month is very short with a lot to do in development hours. For these reasons, I would like to give 4 stars for project feasibility.
Assessment Quality Assurance
Assessment Quality Assurance is an offered role to veteran in the Cardano Project Catalyst Community. The purpose is to review PA assessments of proposals, providing a second layer of Quality Assurance.
- Assessor ID
- z_assessor_2525
- Total QA Ratings
- 0
- QA Rating Outcome
From the dates presented in the plan, it appears that the implementation of this project is already in progress, indicating that it is currently in the "Smart contract auditing and general testing" and "Integration development" phases (not dependent). Therefore, I attempted to inspect GitHub at a high level, but was unable to locate the repository for this project. It is possible that it is not yet public. I would have liked to see information provided regarding the team or person responsible for the implementation of this particular project as the development hours are at the core of it. However, considering the profile of the team behind this proposal and that evidence of who did what would be expected to be observable on github, it's OK to me. The budget is presented in 9 easily identifiable line items. These line items have an estimate of a range of expected hours for each line item. Unfortunately, there is no breakdown of the hourly cost, according to the type of professional profile needed. However, considering that the general amount requested seems appropriate (and even a little low?) for a project of this size, I do not think this could be a major problem.
Assessment Quality Assurance
Assessment Quality Assurance is an offered role to veteran in the Cardano Project Catalyst Community. The purpose is to review PA assessments of proposals, providing a second layer of Quality Assurance.
- Assessor ID
- z_assessor_2142
- Total QA Ratings
- 0
- QA Rating Outcome
The proposal gave a rough outline of the project milestones and timeline for its completion. They also provided budget estimates by tasks that seemed reasonable. However, I am still confused about the information about the project members that is not enough( just information about TCT only). This information it is possible to calculate the timeline as well as the budget for the project is an extremely difficult (or even impossible) task. I still want the proposer will update more information about project members so that the above parameters are clearer (at the time of this review, I still have not seen information about project members)
Assessment Quality Assurance
Assessment Quality Assurance is an offered role to veteran in the Cardano Project Catalyst Community. The purpose is to review PA assessments of proposals, providing a second layer of Quality Assurance.
- Assessor ID
- z_assessor_2945
- Total QA Ratings
- 6
- QA Rating Outcome
Based on the information provided by the proposer it is very likely this solution to the problem will be implemented successfully. The timeline for completion is fair as well as the budget requested of just $33k for front and backend development, testing and integration of the smart contract as well as auditing of implementations. This includes a period of Community Educational workshops to be done by the end of Aug 2022. It should be noted that the timeline is somewhat accelerated as the dates presented are during this assessment period, and social media updates from this proposed solution are already taking place, referenced via Twitter: (https://twitter.com/gcarrharris/status/1544343201598914562?s=20&t=OopHyuiKaQSQE9RGobk24Q) The indication of such a DAO already implementing ADAO multi-sig wallet services to better equip their project moving forward, speaks volumes to the overall success of this proposal. The only concern here is the individual or team not being clearly defined as no social media or professional profiles are easily found via the websites provided or contact information. This is somewhat a non issue, as any progress within the pre or post proposal can be found on Github, link provided (https://github.com/ADAOcommunity) The rationale for Feasibility is a 5 .
Assessment Quality Assurance
Assessment Quality Assurance is an offered role to veteran in the Cardano Project Catalyst Community. The purpose is to review PA assessments of proposals, providing a second layer of Quality Assurance.
- Assessor ID
- z_assessor_2883
- Total QA Ratings
- 5
- QA Rating Outcome
The first thing I do when looking into teams and the experience is to see if they have previously provided tools and have had success implementing.
Looking at the experience of ADAO and their education rich community, I am comfortable that they can deliver a tool like this. Also, the other communities that they mention they work closely with, are most likely asking for this type of tool and trusting ADAO with the development. I especially feel more comfy as it looks like they have already started this tool using their own money according to the roadmap. Speaking of roadmap, there seems to be a clearly laid out one.
For these reasons above I strongly believe that this will be implemented.
Assessment Quality Assurance
Assessment Quality Assurance is an offered role to veteran in the Cardano Project Catalyst Community. The purpose is to review PA assessments of proposals, providing a second layer of Quality Assurance.
- Assessor ID
- z_assessor_2835
- Total QA Ratings
- 5
- QA Rating Outcome
Auditability
Does the proposal provides sufficient information to assess and audit progress and completion?
Community Reviews (5)
The team views project success as having a vesting tool that would allow the team to lock their tokens based on the set schedules. This could become the standard practice of developers token being vested, reduce the risk of the investors and make Cardano safer and more transparent. The team provides the quantitative metrics e.g. 4 developer teams decide to use the tool within 3 months of being launched. They will host at least 4 twitter spaces to educate the community. The project will be open sourced and trackable via GitHub. I appreciate that the team will share project expense on catalystaudit.com The team has clear, understandable and effective solution (ADAO-plutus token vesting dapp) that addresses the problem (lack of automated and auditable vested tokens) with measurable definitions of success.
Assessment Quality Assurance
Assessment Quality Assurance is an offered role to veteran in the Cardano Project Catalyst Community. The purpose is to review PA assessments of proposals, providing a second layer of Quality Assurance.
- Assessor ID
- z_assessor_2525
- Total QA Ratings
- 0
- QA Rating Outcome
A good description of success is provided by the team, which addresses all of the project's expected impacts in the medium to long term. The team presents a good practice, setting up a website where the details of the expenditures of the proposals funded in past cycles are reported. This is great given how little information IOG is providing at the moment. Additionally, 3 key metrics are proposed. The first one would be to monitor the number of development teams using the tool, with an initial goal of 4 teams in the first 3 months after launching the tool, as well as the execution of 4 twitter spaces with the objective of communicating and educating the community in general about the usefulness and necessity of this type of tool, and the last one for supposed commits to GitHub of the corresponding repository or repositories. The tool is expected to be completed by the end of August. Therefore, by November the community could expect an update from the first development teams that decide to use this tool.
Assessment Quality Assurance
Assessment Quality Assurance is an offered role to veteran in the Cardano Project Catalyst Community. The purpose is to review PA assessments of proposals, providing a second layer of Quality Assurance.
- Assessor ID
- z_assessor_2142
- Total QA Ratings
- 0
- QA Rating Outcome
The proposed audit project is based on the following parameters:
- Number of teams that utilize the tool: with this parameter, it cannot help the community track the development of the project, it only supports tracking after the project has been deployed (another development teams using this tool only when it is released only).
- Education around the need for this type of tool: communication and promotion of the product to the community is necessary but I don't see how the project team will do it (they may have groups in Facebook or Telegram or channels on Youtube but not mentioned here)
- Github Activity: Github update activities are necessary with these type of projects, however as mentioned about the project members are not clear so updating the correct project milestones to Github according to the timeline or not is still difficult to check
- Expense monitoring: sharing information about project costs is verifiable if the project team is working on schedule.
Assessment Quality Assurance
Assessment Quality Assurance is an offered role to veteran in the Cardano Project Catalyst Community. The purpose is to review PA assessments of proposals, providing a second layer of Quality Assurance.
- Assessor ID
- z_assessor_2945
- Total QA Ratings
- 6
- QA Rating Outcome
As mentioned above, the roadmap and it's milestones can be seen taking place already in preparation for funding through the Github link provided in order to track the progress being made. The proposer understands the clear risks and challenges involved with successfully solving the problem presented here, but does not foresee any major delays occurring. The definition of success will be clearly transparent to the Catalyst community by the use of these references and the funds will also be allocated in a publicly shared monitoring source done by CatalystAudit.com. The educational twitter spaces planned to be held (4 minimum scheduled TBD) will help ensure that the community is aware of the solution being available. The overall success of the proposal may not be seen immediately but as a first standard of it's kind on Cardano, it could and will eventually build stronger trust between project developers with their communities as well as show others what full decentralization on chain looks like. The rationale for auditability is a 5 based on the monitoring of progress and expenses if and when funded.
Assessment Quality Assurance
Assessment Quality Assurance is an offered role to veteran in the Cardano Project Catalyst Community. The purpose is to review PA assessments of proposals, providing a second layer of Quality Assurance.
- Assessor ID
- z_assessor_2883
- Total QA Ratings
- 5
- QA Rating Outcome
When looking at the potential success and measuring the progress of the proposal, there are clear metrics provided to measure such as "…An initial goal of 4 teams incorporating the tool within 3 months of its release.." is one of them. Additionally, there is a pretty detailed timeline and task list of the items to be completed to make the proposal a success. Lastly I believe there will be monthly Catalyst progress reports in which this will be monitored. Therefore I believe there is sufficient information to audit the growth of this.
Assessment Quality Assurance
Assessment Quality Assurance is an offered role to veteran in the Cardano Project Catalyst Community. The purpose is to review PA assessments of proposals, providing a second layer of Quality Assurance.
- Assessor ID
- z_assessor_2835
- Total QA Ratings
- 5
- QA Rating Outcome
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Review/research currently available Smart contracts (complete)
Creation of open source repository
Publish high level specification
Publish internal ADAO bounty proposal for this specific project
Review/research currently available Smart contracts (completed) Creation of open source repository (completed) Publish high level specification https://github.com/ADAOcommunity/cardano-vesting-dApp Team has been formed and work/action iteams delegated to the team consisting of: -Tom TCT (ADAO/Summon) -Darlington (LidoNation) -DZ Codes (ADAO/Summon -Eric Helms (SCAT DAO) -Riley Kilgore (ADAO/Summon) -Rodrigo (ADAO/Summon)
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