Name of Project: Inverter Network
Project Treasury Address: eth:0x10666d9c6295E838d3b8B84ffcC97d62EF7e6120
Proposer:
Ataberk Casur → metaberk@inverter.network
Dora Celebi → dora@inverter.network
Proposal Summary
We propose a partnership with UMA to bring optimistic mechanisms to funding management, by integrating UMA’s technology we aim to reduce administrative overhead and encourage community participation while promoting trust-based flows in a trustless infrastructure. Inverter wants to be the platform for UMA to grow its adoption by organizations and experiment with impact funding. The partnership includes becoming a UMA voting delegate and offering UMA staking on Inverter, directing a portion of staking rewards to fund regional projects.
Project Description
The Inverter dApp is inspired by the Operation Portals that are used to fund over 1.2 trillion USD in development projects worldwide by organizations like the United Nations, World Bank, and European Union. Our goal is to connect the novel technologies of web3 with the established funding infrastructure of traditional organizations, in order to improve access to funding and promote distributed ownership for the builders and funders of the next generation of the internet, regardless of their backgrounds.
In simpler terms, Inverter is an “Operations Portal” for funders and projects to coordinate streamlining of performance-based funding with integrated processes of treasury management & operations, one-for-all project funding management, on-chain equity and asset issuance, automated multi-asset funding & liquidation to a single asset, and project & credentials database.
Inverter Product Main Features TLDR:
Initial Release:
- Milestone-based long-term project/workstream funding and joint funding with reduced overhead
- Transparency around funded projects for communities
- Organizations can manage and track incoming and funded proposals from one organizational page
- Teams can have one standard proposal that can be used for applying to, streaming funding from, maintaining accountability with, and receiving continuous feedback from many organizations
- Ability to withdraw funding from a project
(2023)
- Funder Treasury accounts that can run yield earning and diversification strategies with continuous payment abilities
- On-chain milestone-based investment based on KPIs and due diligence
- Multi-token funding with fluid funding governance
- Convertible loans and customizable grant&investment programs
- On-chain organization (DAO, Association, etc.) establishment
- On/Offramp integrations for creating virtual debit cards and connecting to bank accounts
- Community conviction signaling and matched funding
Value Add
UMA is one of the few special organizations driving true innovation in incentive alignment and optimistic mechanisms. As Inverter, we feel strongly aligned with the vision of building infrastructures based on optimistic principles.
We prefer to explore optimistic mechanisms because we believe that it can be an effective tool for reducing administrative overhead in funding management while maintaining accountability. In Inverter, we bring optimistic streaming to milestone-based projects. Projects receive milestone-based funding where each contains a set of deliverables/KPIs, a timeline, and a requested budget. Projects report documentation or data to complete each deliverable and unlock the next milestones. A project receives streamed funding until a funder objects. Funders can withdraw their funds if the project doesn’t produce a satisfactory report. With UMA, we aim to integrate Optimistic Oracles to provide a softer check for milestone completion in addition to withdrawal ability without compromising the reduced administrative burden.
We also see optimistic mechanisms as offering a novel way to encourage community participation. As optimistic oracles open transactions to dispute, they allow the community to have a say over transactions and check on malicious activity. It only takes one community member to say that a transaction or a report doesn’t look right, which then takes it to a vote. This is an effective way of giving the community a voice beyond simply participating in governance voting. In other words, it offers a different paradigm than the discussions around the “problem” of voter apathy and enables new approaches to scale delegatory governance.
Finally, it offers a robust way of bringing trust-based flows to a trustless infrastructure. It is true that the blockchain ecosystem expanded with the protocols built upon the principles of trustlessness, yet the social layer of the p2p economy needs communities to delegate trust to give agency to the initiators and decentralize away from red tape bureaucracies. Enabling impact and innovation requires trust-based systems that provide free, agile, and unbureaucratic movement space for creation with checks against the abuse of the trust.
We want to be the flagship platform for the UMA community to grow the adaption of their optimistic mechanisms by organizations. Starting with an optimistic oracle, we want to expand the set of stakeholders and use cases UMA’s mechanisms can offer value.
We aim to become an UMA voting delegate and offer UMA staking on Inverter dApp to enable UMA takes to direct a percentage of their staking rewards to fund or invest in regional projects that Inverter onboards to Web3. While helping UMA decentralize through expanding its delegate pool, we will be experimenting with a novel way of impact funding by funneling a portion of the value generated through validating the oracles towards on-the-ground projects.
Deliverables
Proposal Timeline 5 months
Visual Representation of the Proposed Roadmap
Total Budget Requested
Proposal Total Ask 150K UMA for Voting Delegation
Inverter aims to use $25k of the staking rewards from the allocated UMA to fund scoping, developing, and auditing for integrating UMA’s optimistic mechanisms to Inverter Protocol. Rest of the funding from yield will be used to allocate to regional funding pools that Inverter will set up to funnel sustainable funding to on-the-ground projects. The UMA staked for voting participation will not be sold.
| If we give as a StartingAmt: | Inverter gets in 12 months | Est. Balance in 1 year | At $2 UMA, worth | Funding Funelled to Regional Investment Pools | UMA Tokens Participating | UMA Fixed Emissions |
|---|---|---|---|---|---|---|
| - | - | - | - | - | 20,000,000 | 5,677,200 |
| 100,000 | 28,245 | 128,245 | $56,490 | $31,490 | 20,100,000 | 5,677,200 |
| 125,000 | 35,262 | 160,262 | $70,524 | $45,524 | 20,125,000 | 5,677,200 |
| 150,000 | 42,262 | 192,262 | $84,524 | $59,524 | 20,150,000 | 5,677,200 |
Team
Inverter Core Team
Alp Ergin: Strategy & Business
Head of Partnership & BD @PrimeDAO
https://www.linkedin.com/in/alp-ergin-401a9883/
Ataberk Casur: Product & Mechanism Design
Ex-Steward at PrimeDAO; Researcher and Designer at Curve Labs
https://www.linkedin.com/in/ataberk-casur-136513196/
Baran Baloglu: Product Owner & Solutions Architect at Inverter
Ex-Solution Architect at Vodafone.
https://www.linkedin.com/in/barancanbaloglu/
Marvin Kruse: Protocol Architect
CEO and Founder at Byterocket; developed with Kollektivo and PrimeDAO
https://www.linkedin.com/in/marvinkruse/?locale=en_US
Lea Filipo: Design
Ex-DAOStack/Genesis, Gnosis DAO, Glassnode
Pablo Carra: Smart Contracts
Bora Baloglu: Backend
Ex-Raspodo
https://www.linkedin.com/in/bora-baloglu/
Elif Nisa Polat: Lead Program Manager at Inverter
Consultant at World Bank
https://www.linkedin.com/in/elif-nisa-polat-b122b6141/
Carlo Mallone: Technology Advisor
Ex-Molecule
https://www.linkedin.com/in/carlomallone/?originalSubdomain=it
Additional Information
On Mutual Governance
The granted UMAs for voting participation will not be sold. Inverter aims to be a long term participant in UMA’s governance and active contributor to the UMA ecosystem.
Moreover, Inverter will also give UMA Inverter Guardian Badges, which are the initial set of key stakeholders that will underpin the gradual decentralization process of the Inverter Network. Their first active governance role will be approving the steward squads who will be forming and managing regional funding pools. The Guardians will direct the funding budget Inverter accumulates through different forms of revenue and validator yield amongst the regional funding pools. Lastly, through Optimistic Governor, they will have a veto right over the funded projects the regional funding pool stewards allocate funds to. This mutual governance staking ensures that both communities participate in helping each other’s governance serve its purpose.