Iota Indie Web of Trust DAO proposal

last change to this doc - 4th Dec 2021

authors: @dumdave @Linus(smooth brain = no sad) @Rafael Brochado (iota Discord)

Overview of the Iota Indie Web of Trust DAO Proposal

This DAO is a combination of a delivery method for grants to individuals who are building the Iota ecosystem with a voting and allocation method that is based on a democratic '1 vote per person'. The two things go well together, individuals known in the Iota Ecosystem vote, individuals building new elements to the Iota Ecosystem receive grants.

This proposal is submitted as part of the Idea-a-Thon concept on the Iota Discord. That offers funding of Euro 20,000 to up to 3 DAOs in addition to 2 pre-determined ones. This proposal is an application for Euro 20,000 of that funding.

This project also has the longer term objective of being in place and ready to accept far larger funding should the Treasury DAO vote be positive. If funded by the Idea-a-Thon it will ensure that it has in place robust systems to be able to distribute funds measured in millions.

Distribution Principles for the Iota Indie Web of Trust DAO

The aim of the Iota Indie Web of Trust DAO is to funds community individuals, not groups of individuals or projects. This has a number of advantages. Individuals with multiple interests within the Iota Ecosystem do not have to choose between them. Also, accountability is far greater as the contribution the individual makes can be more clearly seen - allowing grants to be extended or terminated more easily.

In a post Treasury vote world, the Iota Indie Web of Trust DAO would distribute sufficient funds to be able to provide stable grants to individuals sufficient to allow them to spend more time developing the IOTA ecosystem than theyy would otherwise have available.

A typical applicant might be a developer who works on Iota in their spare time and who has already contributed to the Ecosystem in a tangible way. An Iota Indie Web of Trust DAO grant might allow them to devote one or two days per week to it for a period of three months, allowing far faster progress and dedication to their projects.

In the shorter term, and looking at the fairly restricted funding of the Idea-a-Thon project, the Iota Indie Web of Trust DAO will, each month, issue 'motivation grants' of Euro 250 each, renewable up to 3 times. This will allow the processes involved to be tested ready for the availability of more significant sums later.

Voting Principles for the Iota Indie Web of Trust DAO

Who can vote? Any voter with a DID Verifiable Credential stating that they are a 'contributing member of the Iota Ecosystem' can vote.

DID Verifiable Credentials are issued by the Web-of-Trust team. Since 4th Dec 2021, the Web-of-Trust team has the following DID. Follow the link to see the DID Document on the Tangle.


DID Document for the Iota Web-of-Trust team

The process for issueing Verifiable Credentials is more fully outlined below. The important thing is that each person who has such a credential can join the DAO and participate fully in the voting system. They can also use the Private Key associated with their DID to vote, and the outcome of all votes can be seen in terms of a DID listing for each voting option.

Obtaining an Iota DID

An individual gets a DID Verifiable Credential from the Iota Web-of-Trust team by first getting their own DID using a self-service system. This is as simple as going to the following page, running the Replit there and recording the results as explained on the page.

Place to get an Iota Web-of-Trust DID

Important. Record your DID (the long string beginning did:iota) AND your keypair. It isn't as vital as your Iota seed as you can always issue yourself another DID if you lose it. Don't share the Keypair though - or someone else may be able to impersonate you.

Obtaining a Verifiable Credential

The Verifiable Credential needed to participate in the voting is that issued by the Web-of-Trust team (DID above) saying that the individuals DID is a 'contributing member of the Iota Ecosystem'. The process for proving that is as follows:

[1]. Contact the Web-of-Trust team on Discord and explain your contribution. For most people this is a very short conversation if they fall into the following categories.

[a]. They work for IF and a Moderator confirms that if they are not well known.

[b]. They have a Discord handle that has an established history of contribution (outside of spec!). Easily checked using Discord search. No need to be a top mover and shaker though, we are just trying to eliminate people who don't have a real interest in helping with Iota project.

[c]. They do not frequent Discord but are well known for their Iota related project work.

The Web-of-Trust team will develop 'sorting rules' over the first few weeks of existence and then put those for comment and decision on a regular basis to those who are already accredited.

Note. The initial process is expected to be straightforward as the community is currently tightly integrated, but the extension to the wider ecosystem as it grows is challenging. A concept of 'reputation colonies' is being developed to meet that challenge.

[2]. The Web-of-Trust team will use the DID you supply them with to issue a Verifiable Credential. That does not appear on the Tangle. It is given to you as something that can be produced to prove the right of your DID to vote. It will also contain your IHID (Iota Human ID) number which is a shorthand way (though non secure) of providing your ID within the Web-of-Trust ecosystem.

NB The intention is that the core Web-of-Trust team themselves will be subject to regular AUDIT and ELECTION to avoid it becoming centralised - which is not the long term intention.

Example Verifiable Credential. The following is a Verifiable Credential issued by the Web-of-Trust team. It was issued 4th Dec 2021 to @dumdave [no. 777] who has this DID:

DUMDAVE DID: did:iota:EoQWjMLvtTN3QMjaDiCTZBBq7kscSJztoebYFBhLH9Se

Remember that this was the DID of the Issuer, the Web-of-Trust team

ISSUER DID: did:iota:H9TkfyaSZzQo6tkjvPntgyunLSDi7JLnaUtJBJrP7RDn

  '@context': '',
  id: 'did:iota:H9TkfyaSZzQo6tkjvPntgyunLSDi7JLnaUtJBJrP7RDn',
  type: [
    'Contributing member of the Iota Ecosystem'
  credentialSubject: {
    id: 'did:iota:EoQWjMLvtTN3QMjaDiCTZBBq7kscSJztoebYFBhLH9Se',
    IHCT: 'cm',
    IHID: '777',
    alias: 'dumdave#5233 Discord',
    contribution: '',
    name: 'none given'
  issuer: 'did:iota:H9TkfyaSZzQo6tkjvPntgyunLSDi7JLnaUtJBJrP7RDn',
  issuanceDate: '2021-12-04T15:19:36Z',
  proof: {
    type: 'JcsEd25519Signature2020',
    verificationMethod: '#newKey',
    signatureValue: 'hFHq2u2pqwyBwpvizHVpTyFsgvRwycDy8r1mWfczfjbhxzb8t76BAj4LE5jhLK8UejR4SyqNcULna399yanaFGJ'

Verifying a Verifiable Credential

Obviously anybody could say that they have a Verifiable Credential, so there has to be an easy way to prove that it is genuine. The page linked to below gives anybody a way to check any Verifiable credential that they have in JSON form.

Place to check an Iota Verifiable Credential DID

Notice that the VC states that the person is a 'Contributing member of the Iota Ecosystem'. That means that their DID can be used to vote in DAO elections.

Incentives for Participating in the Iota Web-of-Trust

Airdrop potential. Lots of our fellow ecosystem members plan to do an airdrop and want them to be distributed fairly. To show what the Iota Web-of-Trust is capable of, Farmer DAO (@ebk1960) have agreed the following, (subject to events,of course).

FarmerDAO. FarmerDAO have agreed to consider issuing their first token issue to certified members of the Iota community via the Web-of-Trust as that meets their requirements for a democratic launch.

Now get this, one time free drop of FarmerDAO tokens with a follow-on capped discount during the official pre-launch. No ID, no participation.

NB. Legal Sinking Fund. Around 8% of all airdrops and other Web-of-Trust benefits, from whatever source, will be reserved to the DAO for a 'legal and compensation sinking fund' to deal with disputes - that is, people denied certification and taking legal action. This fund will be held securely by a third party (to be agreed) and subject to full audit. Any 'surplus' to reasonable requirements would be redistributed to Web-of-Trust members.