Kusama and Polkadot Announce New Bounty Spending Mechanism for Token Holders

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Sharded blockchain protocol Speckle and its Canarian network Kusama posted details on a brand new bounty extension that curators can use to secure funds for projects they deem valuable. The so-called budget mechanism was developed to give council members more autonomy and to support scaling.

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Giving people power

Up until the introduction of the spending mechanism, both networks had to rely on off-chain mechanisms to initiate proposals for the Treasury Department, and the council members’ ability to curate was severely limited. The concept of a bounty extension was further developed by members of the Kusama community who wanted to reward projects that helped support the Polkadot ecosystem.

Under the Treasury Bounty Extension, the council will approve the allocation of bounties before delegating the curation of spending proposals to an expert known as a curator. Curators are defined how Addresses with the agency through a percentage of the Treasury Department with the aim of resolving a bug, vulnerability, or monitoring task that relates to a specific topic. Once approved, active bounties will be blocked in the Treasury and earmarked for the agreed purpose. Curators are also charged with closing the bounty after all milestones have been met.

The mechanism, which can be used by all KSM and DOT holders, allows the council “to extend its powers over part of the Treasury without constantly monitoring how the funds are being spent,” said Councilor Raul Romanutti. Any token holder can submit a bounty proposal and set the reward, with the Treasury Department being able to accommodate multiple active bounties and curators.

In addition to curating spending proposals, curators can request charges from the council or contributors to help advance the work being done. In the future, they may also be able to sub-reward the assignment and work with different teams if necessary.

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Ethereum rival Polkadot is making progress

The introduction of a Bounty extension should arouse the interest of the developers, who have certainly taken note of the success of Polkadot in the past few months. The Minutes have made headlines lately after they originally were DOT token became one of the top 10 cryptocurrencies by market capitalization shortly after launch. DOT, used for network governance, staking and bonding, is approaching $ 400 million in volume with a market cap of $ 3.4 billion.

The multichain network Kusama is Polkadot’s little cousin, an experimental development environment (like Polkadot) created by former Ethereum CTO Gavin Wood. Kusama belongs to a community of network participants who vote on and control the development of the network. Designed specifically for early-stage Polkadot deployments, it allows developers to create and deploy their own parachutes or interact with Polkadot’s governance and participation in a user-friendly environment.

Last month, Polkadot enabled its first successful transfer of assets between chains using the new XCM standard as detailed by Gavin Wood. It is an alternative to Ethereum 2.0, with both projects pursuing goals geared towards security, scalability and innovation.

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