RFPs to drive value for the Cosmos Hub

With the Partial Set Security version of Interchain Security going live on the Cosmos Hub, consumer chains no longer need the full 180 validators of the Cosmos Hub to secure their chain.

Consumer chains can now select either:

• Top-N Security: Use a specified top-set of the Hub validators (e.g. top 40%) to provide security. The total staked amount on those validators would be the economic security this consumer chain will receive (not the full TVL of the Hub)
• Opt-in Security: Consumer chains can use a whitelist/blacklist to specify exactly which validators they want to validate their chain (decisions that could also be based on validator performance data)

The full economic model built by Pro Delegators, through an AADAO Grant, can be seen here: PSS Economics

The project is expected to be delivered within 3 weeks of the approval date. We are hoping to approve by 14 June 2024.

The selected team is expected to work with Pro Delegators (creator of the spreadsheet model) to finalize the web interface.

For queries, contact Syed or Joni.

Project Specs

What we are now looking for:

• A team to replicate this spreadsheet into a set of web pages
• The pages will be integrated into the AADAO website:
  • Worst case as embedded iframes, though ideally would be fully integrated via code snippets
• Where blockchain data needs to be queried, you must utilize a SaaS-like RPC provider, so that AADAO can maintain these calculators in the long term without requiring to run a dedicated node (e.g. Lava, Kyve, GetBlock, Numia)
• There will be at least 3 interfaces generated from the spreadsheet above:

• For Hub Stakers: To work out PSS deal revenue, allowing them to plug in figures from a Consumer Chains proposal, to work out how much revenue the ATOM staker and/or Community Pool will receive.
• For Validators: To work out the costs of running the chain, user and transaction volumes needed on the chain to break-even the costs for their node, depending on the tx fees and other incentives the Consumer Chain is offering
• For Consumer Chains: To work out the cost for the economic security they want, cost/security they get by going with Top-10% or Top-40%, or if they go for opt-in security, give them the metrics and interface to generate their white/blacklist of validators (using onchain data to provide validator metrics, including Voting Power). This will be the most time consuming interface, and likely will be a few different pages/views.

1. CONTEXT

A lot has happened on the Cosmos Hub since the rejection of proposal 82 in November 2022. Since then, we’ve seen, in a chronological order :

A. the community pool tax increase from 2 to 10%B. The launch of the ATOM Accelerator DAO through proposition 95C. The v9 Lamba upgrade which de facto marks the launch of Replicated SecurityD. The upcoming launch of Neutron as a consumer chain secured by the Cosmos Hub

Yet, although the propositions above are a net positive for the ATOM ecosystem, the Hub is still missing a shared long term vision ratified through public governance.The initiatives described above are all interesting and will each drive value to ATOM but they cannot replace the tremendous added value that a community-scale social consensus can bring to get everyone working in the same direction.

Having our very first RFP about the Hub’s vision and the future of ATOM is highly symbolic. We recognize we cannot put together individual pieces without knowing first what we aim to build.

We also recognize that it might be difficult to reach broad community consensus, but we believe that having the conversation and doing our best to work towards a rough consensus within the community will be productive!

2. THE PROCESS

The ATOM Accelerator is willing to fund teams to lead the process of working-up to 3 possible visions for the Cosmos Hub from ideation to development. To make the process as inclusive as possible, we’re willing to award ~ 3 grants of 30,000 USD each to undertake a research project to create a vision framework that can be discussed within the community and later be acted upon. We want to favor a bottom-up approach to make the entire process as organic and community-driven as possible.

Once grant winners are awarded, they will have 45 days to publish their research on the forum so a discussion can start. There will be ~ 3 separate forum discussions, one for each research product. Depending on the convergence of the proposals and the community feedback, proposers might or might not want to merge their proposals into one unique proposal for on-chain voting.

There are 2 possible scenarios: one on-chain proposal or up to ~ 3 on-chain proposals. In case there are more than one proposal on-chain, the one with the highest voting results wins, provided the quorum is reached, the NWV is less then 33.4%, and there are more YES than NO.

The last phase of the process is selecting and funding one or multiple teams to contribute to the implementation roadmap.

The Atom Accelerator DAO would love to see a strong bottoms-up, community consensus form around the long-term vision for the project. Ultimately, the teams interested in making the vision a reality can also apply to win grant funds from AADAO.

3. GUIDELINE

• The research should be digestible and user friendly enough to reach a larger ATOM audience.
• The research should touch on tokenomics, roadmap, and any envisioned liquidity, governance, or administrative services that could be value-added within ATOM Zone to enhance the Hub’s role in the ecosystem and value of ATOM.
• This RFP aims to be an initiative that starts with intellectual creativity and develops a plan at a modular level of detail that is suitable so that a consensus can be reached within the community through an on chain signaling proposal
• Teams that apply for the grant should expect to go through the on chain public governance process to validate their signaling proposal
• The research team that gets awarded a grant doesn’t need to be equipped to implement their proposal. However, the research itself should be practical enough that it can provide a pathway to guide implementation efforts
• The research should take into consideration the current opportunities for ATOM, notably Shared Security, Liquid Staking, the Allocator, CosmWasm, and the ATOM Zone build-out.
• The research should include recommendations on the sequencing of implementation (ie: what is the order of implementation of major modules, what can be done in parallel, what needs to be done in sequence? )
• Teams that apply for this grant should actively manage their proposal and link to their presentation document on the forum and other relevant social media platforms. As such, each team is required to reveal their Cosmos forum and Twitter handles of the person (or group of persons) who’ll be interfacing with the ATOM community.
• At the AADAO, we have a lot of knowledge about the status of the different initiatives in motion in the ecosystem, and we can share our knowledge with the teams who take-up the challenge of working on a long-term vision concept on behalf of the community.
• The winning proposals for RFP #1 should have a strong team-based approach incorporating diverse skills.

4. INDICATIVE TIMELINE

• April 4th AADAO applications for RFP #1 are open
• May 4th: AADAO applications for RFP #1 are closed
• May 15th: grant recipients are announced
• June 30th-July 7th: Grant recipients publish their proposals on the Cosmos Hub forum
• July 7th to Aug 7th: Forum discussion and alignment between proposals
• August 14th: One or more proposals go on-chain
• August 31st: Winning proposal is known
• August 31st- thereafter: Applications to AADAO are open for implementation of winning proposal concepts

5. HOW TO APPLY

Visit our website and apply here