Grant Misuse Reporting Process

[LauNaMu]

@system

The Grant Misuse amount in question MUST be equal to or more than 50k OP or $50k USD if not denominated in OP.

I echo some of the concerns raised by @chaselb on the amount brought up for the following reasons:

1. Sharing the exact amount publicly, does allow for parties interested in committing fraud to do so just under that amount or for lesser amounts to get away with it.

2. The current Mission Request to fund Builder Grants states that each grant will be exactly 50k OP, this means that according to the Grant Misuse amount stated above, effectively, all Builder Grants for Season 5 would be out of scope, unless the sold amount exceeds 50k USD or 100% of the grant in OP (which would be highly unlikely).
   2.1 In this instance if the violation is for the sale of the tokens, would the violation be counted for the sale of X OP tokens or the reception of X USD? Because one could leave room for inclusion into the process and the other won’t.

Could this mean that Builder Grants in Season 5 may be more vulnerable to Misuse?

[READY TO VOTE] Builders grants program mission request

Delegate Mission Request Summary: This mission request will allow the builders grants program that was run in previous seasons to continue in S5. This Mission Request focuses on continuing the builder’s grants process, as in seasons 3 and 4, to foster builder growth on OP Mainnet. S5 Intent: Aligned with Intent #2: Grow the Superchain Proposing Delegate: Gonna.eth Proposal Tier: Ember Baseline grant amount: 1.500.000 OP (50k OP Each) Should this Foundation Mission be fulfilled by one o…

In a similar light, in the current Mission Request for Growth Grants, for a violation to proceed, 1/3 of the grant would have to be Misused:

[READY TO VOTE] Growth and experiments grants program mission request

Delegate Mission Request Summary: This mission request will allow the growth experiments grants program that was run in previous seasons to continue in S5. This Mission Request is dedicated to funding experiments and initiatives aimed at drawing more users to OP Mainnet, aligning with Intent #2: Grow the Superchain. S5 Intent: Aligned with Intent #2: Grow the Superchain Proposing Delegate: Gonna.eth Proposal Tier: Ember Baseline grant amount: 1.500.000 OP (150k OP each) Should this Fou…

Based on this data, it would seem to me that the threshold is really high and. for this season, is more prone to disincentive the reporting of misused grants.

It would be good to understand what was the logic to choose 50k OP. Was this amount chosen considering what the amounts to be funded in the Grants and Mission Requests in Season 5 would be? Or based on historical data?

My second concern is bringing in the NumbaNERDs as report validators, considering the NumbaNERDs are only paid per task (an amount that has been voiced to be under market).

@system

however only NumbaNERDs can ultimately Validate or Invalidate a claim.

In terms of incentives:

1. What would be the incentives to encourage NumbaNERDs to take on the validation of reports?
2. Would NumbaNERDs be exposed to be bribed to invalidate a claim? Will it be public which NumbaNERD reviewed what? It would appear its best to keep their identities private.
3. How could we ensure NumbaNERDs have the right economic incentives to avoid becoming vulnerable to bribery?