TIP: 0012
Title: A mechanism for establishing director salaries for the Telos Foundation
Authors: EOS Detroit (Adam Zientarski, adam@eosdetroit.io) and Amplified Telos (Ian Panchevre)
Status: Adopted
Type: Informational
Created: 2018-10-09
Adopted: 2018-10-16
This proposal calls for a separate voting procedure for establishing the salaries of all Telos Foundation directors and board members.
The Telos Foundation must avoid the fates of previous cryptocurrency foundations (e.g., the Bitcoin Foundation) that have been hampered by cultures of cronyism. Accordingly, the proposal authors are concerned that directors and board members may use their positions to enrich themselves and that the close-knit nature of participants in the Foundation may breed favoritism that further corrupts the organization. This not as an indictment against any particular individual or organization, but rather as an acknowledgement of the human tendency to become corrupted by power and potential to profit.
By restricting the board’s and director’s ability to set salaries themselves, and instead empowering the broader TFVT voter base with this task, the Telos Foundation may ensure that directors and board members are motivated not by financial gain but by a sense of service. Moreover, by extracting the salary-setting mechanism from the board, it reduce the odds of quid pro quo cronyism between the board (which ought to maintain oversight of the Foundation) and the executive team (which has operational responsibility for the Foundation).
Telos Foundation directors and board members may receive a salary in TLOS. This TIP proposes that the salaries of directors and board members should be voted upon by all Telos Foundation Voting Token (TFVT) holders. Independent salary proposals that are separate from overall budgets may be put forth and presented to a vote by TFVT token holders. Ideally, salaries should be voted upon at least once a year, at which point the salary line items will be folded into subsequent, quarterly budget proposals. New salaries may be proposed at any time; if approved, the new salaries will go into effect during the next quarter.
(discussion is closed) Adopted by the Telos Contributors Group 2018-10-16. Voting: 42 yes / 0 no / 0 abstain
This document is in the public domain