hi everyone this is charles hoskinson live from warm sunny colorado always warm always sunny sometimes colorado so i saw a really interesting post on reddit that specifically asked about accountability behind the distribution of funds from voltaire and actually this is a really good question and so good i actually wanted to do a quick whiteboard video to discuss a little bit about this so the whole point of the catalyst project the whole point of voltaire is to resolve the who pays and who decides so the challenge that we have is that the blockchain itself cardano lacks agency okay it doesn't have agency it is not a real person it's not a thinking person now in having ben gortz all around maybe we can figure out an agi and cardano can become awake uh but as it stands right now uh in its current instantiation cardano as an entity uh doesn't actually have the ability to judge whether it got a good roi a return on intention we use that word for its grants that it gives out so what we've done is we've started breaking this down into a multi-stage process so there's kind of the submission and discussion process okay and submission discussion is what is happening with the idea scale platform and we already have the last time i checked 2500 people certainly more at this point because that was last week who are in this phase and there's lots of back and forth about priorities and structure and ramaras lots lots of things going on and there's some good ideas that we poached out of mit to basically get through this okay so then at some point it evolves from submission and discussion into a question of final ballot and then you have voting okay now that final ballot when you get to that final part right there uh basically you have to have a situation where there are two things that are sorted out there is the who is going to get the money and then there's the other who in fact i'll write this who in blue okay who holds them accountable now the thing that people aren't getting is that you actually do not need centralization for the accountable step what you can do is on a case-by-case basis ballot by ballot you can fund both entities at the same time somebody who comes in maybe a pwc or the cardano foundation or maybe a prominent community member or corporation whatever and their job is to act as kind of the oversight so they would ensure things like for example weekly reports or monthly reports are produced they would audit the code they would verify the claims being made by the fundee are actually there and basically they act as a stand-in for the fact that cardone lacks agency they act as basically the eyes and ears of the community and their job is to be a professional service that does this for each ballot that's funded now it's an interesting open question of well do we need this for all endeavors certain things like for example the funding of a podcast that's really a qualitative matter and it's very clear to the entire community whether they do the job or they don't do the job and you're finding people based on their personal reputation so for small amounts where you have kind of a good external ins uh ideas about where these things come from that's fine but for larger projects it's essential to have this mechanism this counterparty who will hold the person receiving funding accountable and their job and they're paid to do that job is to do that the good news is this is a whole industry people live in this industry they're all around and it's very easy to do that and part of the voltaire experiment is building out these networks that people take their role some people are going to live here and they're like vc style people ideation people innovation management people and they're very creative and they're talking around and then some people live here which is you know how do we make sure it's accountable how do they deliver how do they actually do the things they say they're gonna do and then voting occurs and then voting will go ahead and result in some approved ballots okay and those approved ballots the funding goes to both parties now for very large sums of money you may want to actually break it up and introduce a third entity and this is a custody partner so what you do is you don't pay them all up front some of the money goes here actually we're paying an eta so the ada goes there the bulk of the ada goes here and you know some of the data goes here or you could have an approach like this where it all goes to the custodian and then it first goes to pay the auditor the oversight and then it goes to pay and this entity is a client of the physical entity here okay so there's all types of contractual pairings and relationships that are going to exist and actually we're hiring a dedicated product manager to think about the business and social structures that are required for this why because io global's going to ask for a renewal of its contract and we're not just going to go and say give us a big pile of money and we'll figure it all out don't worry about it we're actually going to come with a group of organizations some to keep us accountable some to make sure that there's auditing and oversight some to be custodians and so forth some to deal with liquidity and volatility concerns and as a group say okay let's go vote on this and let's go think about this and so these particular structures structures of accountability that's our term of the day are another thing that we are actually exploring with the catalyst project okay we're not just thinking about how do you get participation how do you create incentives how do you get great ideas and transform them into uh fundable grantable ballots but we're also asking how do we make sure we have good outcomes now even with these great structures and these great auditing entities and so forth you will have failures a lot of them a lot of these things will be failure to launch or issues okay so the last part of it is that feedback loop where the knowledge that we gain from these failures it goes all the way up zoom out a little bit all the way up here to the submission discussion phase and we get another loop to the structures of accountability we tend to get rid of ballots that we have historical high failure rate with for a variety of reasons and we tend to change the way that we fund and work with people over time with these structures of accountability because well it turns out it's not really doing the job for us this is why uh catalyst is like this it's like a reverse funnel and we're starting with 250k and over time the funds get larger and larger until they get into a natural monthly cadence of the same size only increasing as the price of ada goes up okay so this is the learning phase this is the beta phase where we're kind of learning how to vote we're learning how to talk to each other we're learning how to write ballots we're learning how to build roles and responsibilities and some people are very good at being critics some people are very good at being executed some people are very good at checking the t's and dotting the eyes and so forth and those roles and responsibilities those structures of accountability are emerging and then eventually gets to a point where the system is stable and we're comfortable and there's kind of a natural way of doing business for big guys like my company all the way down to hey i want to get a little bit of money to have a booth at a cryptocurrency conference the cardinal booth and man that okay there's going to be a scale there where there's structures in place for each and every one of these asks and then the single most important thing is we just make sure that we have good feedback in the system and you know what we'll keep adding should our contract get renewed one of the partners that will be in that consortium that comes together will be a dedicated firm that studies the management innovation management the execution all of these things uh probably from like a prominent place like mit or you know some other major business school there's dozens in our network well and we'll bring some professors and some practical business people together and some consultants together who basically look at the whole thing and they'll regularly examine the structures of accountability they'll take a look at the quality of our feedback loop and these other things now it'll take years for all of this to get to a point where it is stable and completely reasonable but you know there are milestones along the way good enough to get us to the next stage of evolution good enough to get us to the next stage of the evolution and does it particularly matter if it takes 25 years for the entire evolution to occur no because by the time we're done with it we will have the single best innovation management platform in the world built right into the heart of our system with tens of thousands if not hundreds of thousands of people actively participating with that across the globe doing amazing things this is the vision of catalyst this is the vision of voltaire this is why we do what we do so i love questions like this because it tells me you guys are thinking we have the smartest community in the cryptocurrency space we really do and nobody just takes things axiomatically they don't say oh that is the way okay we'll just go with that no no no no no they say hey wait a minute i wasn't born yesterday what's the story here and then we talk about it uh so uh we're definitely having great success there's great town halls going on right now tons of feedback tons of knowledge is being gained and as we get into the very first voting round i would highly encourage you to ask yourself does this ballot need a counterparty to hold them accountable or am i comfortable with them being self-regulating with community oversight for that if for a large amount of money there needs to be accountability partners at the 250 000 range for many different funding proposals probably not especially given that people's reputation would be destroyed if they don't deliver but when we talk about millions tens of millions hundreds of millions of dollars which eventually will be in the purview you need accountability partners to connect them together and hold you accountable for that delivery and make sure that you are honest to look at all the things that you do and then those structures of accountability will build all throughout 2021 and feedback loops will tell us basically uh if these things are right or wrong and we'll keep adding so we'll add people who study this stuff for a living they'll come from a very diverse background from the sociocracy side all the way down to good old management theory and you know business school type people and uh you know they've been thinking about this a long time and there's lots of consultancies that are chomping at the bit to get involved in these things because it's very exciting for them as well they very rarely work on something so innovative okay so thank you all for listening i hope this video helps a little bit about accountability and you know keep asking your questions i i read the reddit questions i read the telegram questions sometimes it takes me a little bit of time to answer them because i'm busy and there's other things going on but this is how we learn and that's how our ecosystem gets better until next time have a nice day cheers
