Governance Fund Phase 1: How to Create a Proposal

This category is open for submissions! To apply for funding, follow the instructions below.

What is the Governance Fund?

5.4% of the total initial token supply (231,928,234 OP) will be distributed to Optimism projects and communities via the Governance Fund. The goal of the Governance Fund is to empower the OP community to proactively incentivize future growth of projects and communities in the Optimism ecosystem. You can read more about the total allocation of OP in the Allocations section of our Governance docs.

During Phase 1, any project on Optimism can submit a forum proposal to request any amount of OP tokens. The proposal must include a plan for how the tokens will incentivize growth on Optimism. Proposals will be reviewed and voted on by OP token holders and their delegates using process outlined in the Operating Manual.

How to apply for funding

To submit a proposal, follow the process outlined in the Operating Manual.

In short:

  1. Draft a proposal for your project.
  2. Share the proposal in #gov-temp-check on Discord for community feedback.
  3. After incorporating feedback, post your proposal on this Forum for feedback from delegates. Use the template below and include [DRAFT] [GF: Phase 1] PROJECT_NAME in your title.
  4. When you’re ready to submit the proposal for a vote, update [DRAFT] to [READY]. The proposal will be added to Snapshot during the next two-week voting cycle. The first voting cycle for GovFund Phase 1 proposals will begin on June 23, 2022.
  5. If your proposal is passed, the Optimism Foundation will distribute the approved funding. Note the Foundation may be in touch to collect additional information from your project in order to execute the grant.

Incentive Proposal Template

Project Name:

Author Name:

Number of OP tokens requested:

L2 Recipient Address:

Relevant Usage Metrics: (TVL, transactions, volume, unique addresses, etc.)

Optimism alignment (up to 200 word explanation):

Proposal for token distribution (under 1000 words):

  • How will the OP tokens be distributed?

  • How will this distribution incentivize usage and liquidity on Optimism?

  • Why will the incentivized users and liquidity remain after incentives dry up?

  • Over what period of time will the tokens be distributed?

  • Has your project previously received an OP token grant? If yes, what’s the status of these tokens?

  • How much will your project match in co-incentives?