Funding

A funding initiative can be proposed for a vault or non-vault project through governance.

A proposer has the option to fully fund their own proposal—meaning they only require the community's approval to go ahead. Or they can fund the minimum, and allow the rest of the community to contribute funds to the proposal.

Boosting

The action of funding a community proposal is known as Boosting. What this means is that fYFD holders can contribute stablecoins alongside their vote tokens, and become a Booster Voter. However, this comes with certain restrictions:

• Stablecoins are accepted until the Development Funding Total is reached.

• Individual contribution of stablecoins is limited by the Individual Funding Limit.

Individual Funding Limit is $0.01 in stablecoins for every 1 fYFD points the wallet has, which is $1 per 100 fYFD, or $10 per 1000 fYFD, etc.

• Minimum Stablecoin Deposit is the amount needed to receive the profit from one NFT.

• Maximum Deposit means one Booster can only fund 10% of the Total Booster Funding.

• Total contribution from fYFD holders is the difference between total cost and Strategist funding.

Safeguards

If a booster's contribution amount exceeds the maximum limit for funding a proposal, the booster's contribution will be rejected. If that is the case, the user can resubmit the vote without funding.

When funding is reached the proposal voting continues until voting block time has expired. There is no early execution.

Minimums and maximums for funding are set by initial governance parameters for safety. These can be changed via governance. There will be at least 1 stablecoin whitelisted for use of funding proposals at MVP. A DAO vote is needed to whitelist additional tokens to be used for funding.

Any funding amount is deposited into the rpoposal by the Proposer and Boosters. The Developer is not required to deposit any value, but this role must be whitelisted by the community through a Whitelist Vote, giving them approval to work on YFD projects.

Developer role does not require fYFD to be able to work on the project.

Strategists must stake $YFD to get fYFD points equivalent to the amount they want to fund the proposal.

Payout is on a set schedule and is determined by the Strategist. It is locked in place at the time of the initial proposal and it is approved at every milestone. Milestones are determined at the time of the proposal submission.

Boosters and the Strategist must vote to release the funds to the developer. This ensures maximum capital efficiency by making sure funds are released when work is actually being done. Everything is 100% on-chain, meaning the audit process requires no intermediary.