RE: DeCentra Steem - revised proposal of a now 99%(!) decentralised design of the "foundation"

Hey there! I’m just reviewing the questions here again to ensure I understand each proposal fully, I did want a bit make clarification though on the description of the first initial working circles (which will be selected by a poll vote)

a “trustee” circle distributing budget according to the foundations’ rules and strategic allocation

Does this mean there will be one centralized working circle that will be responsible for allocating funds? How do the funds get approved? Or as long as a separate working circle brings forward a project for funding, it’s accepted? How does the community hold this one working circle accountable? Also, would funds then be kept on chain?

I hope that’s not too much! I just wasn’t clear on how that aspect would work and I wanted to be sure I asked for clarification. Thanks!

Hey! Thanks for asking. We have received some questions on this circle of trustees and will revise the description for the final version to be voted on.

The trustees circle is a pure administrative circle, taking care that rules are obeyed. It is not responsible for any approvals. Rule 1 describes the process of approval:

When a group makes a proposal for a new working-circle, it has to get the approval of at least two other already existing working circles.

Framework for this approval are the purpose of the foundation and the results of the working circle for strategic budget planning. Thus, the trustee circle is purely active in an administrative way distributing funds.

Legally and technically the whole process would work like this.

Money allocated by someone for the purpose of the foundation would be transferred to a specific account. In case of big allocations, keys to this account would be held by the donor and at least two members of the trustee working circle. In other cases - such as membership fees or revenue flow from a working circle being active as business entity - at least two members of the trustee working circle hold the keys to the account (there will be several accounts). Legally at this state of the process, funds are dedicated to finance the purpose of the foundation but not yet legally transferred. They still belong to the giving party.

As soon as a working circle asks for money according to its approved plan, the parties holding the keys (giving party and trustees) perform the transfer of the money together using multisig. Legally this would be a direct transfer between giving party and receiving party.

Establishing this process of distributing money, leads to peer2peer transfer of funds, without a necessity for the foundation to be any kind of legal entity, since it doesn't join any contracts or liabilities. We will change this in our final proposal as well.

The trustees working circle is held accountable like any other working circle:

If Steemians think, a working-circle doesn’t act in favor of the purpose anymore, they may step up and ask the circle to do a correction or in the worst case stop the work completely. Any group of at least two Steemians may ask for a correction. Asking to stop a working circle requires five Steemians with at least 2000 SP. In case of arguments a mediation process is initiated, which in the worst case leads to a voting process amongst the members of all active working circles whether to stop this working-circle or not.

I do hope this answers your questions. If not, don't hesitate to ask again. I'll try to be present this evening.