S8 Governance Fund Missions

[system]

Grants Council Mission

1. Expected impact on the Intent:

   The Grants Council makes grants, on behalf of the Token House, in an effort to make progress towards the Intent. In Season 8, the Grants Council will work towards the below success metrics, which the Foundation believes will create progress towards the Intent:

Interop-ready TVL

Primary: X TVL/AOP that is interop readywithin the Interop set

Secondary: % share of TVL / AOP within the Interop Set that’s interop ready v.s. Total TVL / AOP

Why this metric?: Interop introduces new development and interaction patterns for application developers. Growing the volume and share of interop-compatible assets onchain increases the chance that interop is widely adopted by application developers and users alike.

Interop Transaction Fees

Primary: X ETH / Month transaction fees generated from transactions that interact with the L2ToL2CrossDomainMessenger contract

Secondary: % share of interop transaction fees v.s. non-interop

Why this metric?: The total fees spent on interoperable transactions maps to usage of the feature after launch, and is a good indicator of the net growth caused by introducing the feature to the Superchain. This metric may not be measurable until full interop launches in late Q4.

2. Total budget: 6.29M OP from the Governance Fund, as proposed by the Budget Board here
   • Please note this budget was ~9M OP in Season 7, excluding Audit grants
3. Eligibility: The Foundation recommends that all incentive programs and the chain delegation program for Season 8 be available to chains on a fully-standard, governance-approved release of the OP Stack and have opted into the Security Council (or are on track to). This corresponds to the green + yellow chains (see Superchain Index.) Projects are eligible who have deployed their own contracts on eligible OP Chains. Additional criteria may be determined by the Grants Council.
4. Selection Algorithm: It is at the discretion of the Grants Council to determine their own selection algorithm. Selection algorithms (which have taken the form of public rubrics in the past), must be made public on the forum before the first round of selection takes place.
5. Evaluation Algorithm: Projects selected by the Grants Council will be assessed, based on their ability to generate contribution towards the success metrics defined above, by OP Labs or Open Source Observer on the measurement date.
6. Measured Outcomes:

Interop-ready TVL

Primary: X TVL/AOP that is interop ready within the Interop set

Secondary: % share of TVL / AOP within the Interop Set that’s interop ready v.s. Total TVL / AOP

Why this metric?: Interop introduces new development and interaction patterns for application developers. Growing the volume and share of interop-compatible assets onchain increases the chance that interop is widely adopted by application developers and users alike.

Interop Transaction Fees

Primary: X ETH / Month transaction fees generated from transactions that interact with the L2ToL2CrossDomainMessenger contract

Secondary: % share of interop transaction fees v.s. non-interop

Why this metric?: The total fees spent on interoperable transactions maps to usage of the feature after launch, and is a good indicator of the net growth caused by introducing the feature to the Superchain. This metric may not be measurable until full interop launches in late Q4.

7. Measurement Date:
   • End of Season 8

Strategic Rationale

1. Proactive Grants are Needed to Incentive Growth: The Mission supposes that proactive grants are needed to incentivize growth in the above defined success metrics. Otherwise, these tokens could be allocated retroactively or via other means.
2. Grants Council Acts as an Extension of Growth Team: The Mission supposes that the Grants Council is an effective means of distributing user incentive grants. The Collective could, alternatively, chose to distribute user incentives via third party growth campaigns or the Foundation’s growth team.

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Developer Advisory Board Mission

1. Expected impact on the Intent:

   The Developer Advisory Board makes grants, on behalf of the Token House, in an effort to make progress towards the Intent. In previous Seasons, these grants came out of the Grants Council budget. However, in Season 8, the Developer Advisory Board will make grants that work towards a different objective than the Grants Council. The Developer Advisory Board will make grants that drive developer adoption, either in the form of Audit grants or Mission Requests (as they have in previous seasons.) These grants should make progress towards the below metric:

Verified Developer Interop Adoption

Primary: [X ] Atlas deployers with contracts interacting with interop L2ToL2CrossDomainMessenger per month

Why this metric?: We believe it’s an early indicator of developer adoption and verified developers set a quality bar.

2. Total budget: 949k OP from the Governance Fund, as proposed by the Budget Board here
   • Please note this is relative to 1.285M OP in Season 7
3. Eligibility: All incentive programs and the chain delegation program for Season 8 will be available to chains on a fully-standard, governance-approved release of the OP Stack and have opted into the Security Council (or are on track to). This corresponds to the green + yellow chains (see Superchain Index.) Projects are eligible who have deployed their own contracts on eligible OP Chains.
4. Selection Algorithm: It is at the discretion of the Developer Advisory Board to determine their own selection algorithm. Selection algorithms (which have taken the form of public rubrics in the past), must be made public on the forum before the first round of selection takes place.
5. Evaluation Algorithm: Projects selected by the Developer Advisory Board will be assessed, based on their ability to generate contribution towards the success metrics defined above, by OP Labs or Open Source Observer on the measurement date.
6. Measured Outcomes:

Verified Developer Interop Adoption

Primary: [X ] Atlas deployers with contracts interacting with interop L2ToL2CrossDomainMessenger per month

Why this metric?: We believe it’s an early indicator of developer adoption and verified developers set a quality bar.

9. Measurement Date:
   • End of Season 8

Previous Budgeting Data

• In Season 7, the 3 Foundation Missions totaled 295k OP
• In previous Seasons, audit grants totaled ~2.5M OP (within Grants Council Budgets) as outlined below:
  • S4: 200.000 OP
  • S5: 665.000 OP
  • S6: 640.000 OP
  • S7: 990.000 OP

Strategic Rationale

1. Proactive Grants are Needed to Incentive Growth: The Mission supposes that proactive grants are needed to incentivize growth in the above defined success metric. Otherwise, these tokens could be allocated retroactively or via other means.
2. Developer Advisory Board has Unique Ability to Drive Developer Growth: The Mission supposes that the Developer Advisory Board is an effective means of distributing grants that result in developer growth. These grants include more technical aspects such as audits or previous Foundation Mission Requests:
   • Foundation Mission Request: Interop Oracle Standards & Infra for OP Superchain
   • Foundation Mission Request: EIP-7702 UX & Developer Tooling
   • Foundation Mission Request: ERC-7683 Integration with Native Interoperability

[Gonna.eth]

@system

Futarchy Mission

Given the fragmented informaiton on mission and budget I added my feedback on the Futarchy experiment here:

Season 8 Council and Board Mandate Guidance

The Grants Council should not be asked to reserve a portion of their budget to evaluate grants related to the futarchy Mission. I want to provide feedback based on our experience with the previous futarchy experiment. In Season 7, the Grants Council was asked to rank a list of projects selected by the Foundation, based on which would produce the most TVL by the end of the season. These rankings were compared to the community (Butter) ranking. However, this setup provided no benefit to the Cou…

[lavande]

Also porting over the response to the above comment from the Foundation, to close out this thread.

[system]

This post has been edited to remove the Futarchy Mission. While the Foundation will still pursue whether or not it makes sense to run a v2, given the set of constraints we must work within, we will not have detailed enough implementation details by the time this Mission needs to move to a vote. We are prepared to support any experimentation with Futarchy in Season 8 via the Foundation budget.

[MBBCH15]

Feedback on Season 8 Grants Council & Developer Advisory Board Missions

Appreciate the clear separation of roles this Season. Aligning the Grants Council with user incentive growth (via Interop-ready TVL & fees) and the Developer Advisory Board with technical adoption (via Verified Dev Interop Adoption) reflects a maturing strategy.

Key Points:

Outcome-Driven Metrics: Grounding funding in measurable outcomes enhances strategic alignment and accountability. It’s great to see clearer KPIs guiding each body.

Proactive Grants: Strong rationale here. Proactive funding enables infrastructure and standards to be built ahead of need. Consider exploring hybrid models with milestone-based retroactive elements to balance flexibility and follow-through.

Eligibility Requirements: Tying eligibility to governance-approved OP Stack + Security Council participation strengthens shared trust and security across the Superchain.

Transparency in Selection & Evaluation: Publishing rubrics early is crucial. Suggest also sharing post-round insights to improve applicant quality. Would be helpful to clarify how feedback from OP Labs/OSO will inform future rounds.

Looking Ahead:

A unified Interop Maturity Score could help evaluate both chains and projects long-term. A lightweight coordination channel across all grant programs could reduce duplication and increase impact.

Overall, the direction is strong. These updates reflect a more structured and focused approach to ecosystem growth. Excited to see it in action.

[system]

Please note the above Governance Fund Missions have been updated to include the budgets proposed by the Budget Board here.

[system]

To widen the aperture and better align with the updated interop development timelines, the Foundation has decided to slightly adjust the success metrics for the second objective (”Grow TVL on the Superchain”). The two existing success metrics will remain but without the interop-specific focus. Instead of only prioritizing interop-ready TVL and interop transaction fees, progress towards this objective will now be evaluated based on generic TVL and total transaction fees. This shift aims to create optimal ecosystem conditions that will help interop thrive once it goes live. The proposed impact measurement methodology for S8 is detailed in this post. You can follow the upgrade timelines for Upgrade 16a and Upgrade 17 at the links provided.

[system]

In addition to the above comment to better align with the updated interop development timelines, the Foundation, with input from the Developer Advisory Board, has decided to adjust the metric by which developer adoption will be measured for the Developer Advisory Board Mission.

Developer adoption will now be measured against # of contract interactions or # of developers in lieu of measuring L2ToL2CrossDomainMessenger interactions.

[brichis]

@system

public roadmap.

GM! The link is broken

[DanSingjoy]

GM! Are there any Builder Missions available this season where teams or developers can earn grants by building new apps or new features for an existing app?

[Sov]

All of the grants that are currently available can be found here: https://atlas.optimism.io/

[op_julian]

Just updated the comment above! Thanks for flagging

500×500 5.4 KB

To widen the aperture and better align with the updated interop development timelines, the Foundation has decided to slightly adjust the success metrics for the second objective (”Grow TVL on the Superchain”). The two existing success metrics will remain but without the interop-specific focus. Instead of only prioritizing interop-ready TVL and interop transaction fees, progress towards this objective will now be evaluated based on generic TVL and total transaction fees. This shift aims to create…