Deep Dive: AladdinDAO’s Governance Mechanism and Incentives Design

A three sided marketplace

Talent hunters attract the Best Brains

Strategy developers

Marketplace incentives alignment

  1. The project they support becomes an outperforming pool
  2. The project they reject becomes an underperforming pool

How are incentives calculated?

  1. Adjusted profits of listed pools. The adjusted profit of each pool is the profit generated from this pool for Aladdin users adjusted by the time decay factor. The time decay factor is designed to make sure that boule members constantly work on new quality projects rather than sitting on the returns from existing finds.
  2. Relative profits of listed pools. The relative profit of each pool is its adjusted profit minus the average of adjusted profits of all listed pools.
  3. Voter weight of boule member i in pool j. If boule member i voted “Yes” for pool j and N members in total voted “Yes” at the same time, then the voter weight of member i in pool j is 1/N. If boule member i voted “No” in pool j and M members in total voted “No”, then the voter weight of boule member i in pool j is -1/M.
  4. Contribution Value (CV) of boule members. CV of each member is the sum of relative profits of the pools they voted for, weighted by the corresponding voter weights.

How to get listed on AladdinDAO?

  1. Over 50% of boule members vote and a majority of the votes are “Yes”.
  2. The percentage of “Yes” votes is 20% more than the percentage of “No” votes
  1. A quorum of over 20% circulating token holders participating
  2. Over 51% agreement

What is unique about AladdinDAO?

  1. Proof of Talent: talent hunters compete to recommend the best possible DeFi faculty to the system. They are rewarded based on the collective performance of their recommended members.
  2. Proof of Brain Power: boule members compete to curate the most profitable liquidity mining programs. They are incentivized based on these liquidity pools’ performance and returns generated for the Aladdin community.
  3. Proof of Liquidity: mining users enjoy the curation and one stop shop liquidity mining services and get incentives based on their share of the liquidity contribution to the platform.

Incentives Structure

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Examples of incentives calculation




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