Council Members Present:
- Hart Lambur
- Jeremy Sklaroff
- Jonathan Alexander
- Juan Garre
- Tomasz Stańczak
Opening
The Council meeting opened at approximately 8:00 pm (UTC) on November 15, 2022. It was noted that proper notice had been provided to the Council in accordance with the Bylaws. Five of the Council members were in attendance and the meeting had a quorum. The Council consented to the appointment of third-party notetakers.
Update on Action Items and Administrative Matters
The Council began the meeting by providing updates on previously approved matters. It was noted that the Slashing Policy administered through Polygon was published to the Forta Forum and that the Arbiter role had been delegated by the Forta Governance Council to the 2-of-3 Gnosis Safe multisig dubbed the Community Arbitration Committee pursuant to the Policy. A Council member explained that no slashing proposals had been submitted on Polygon since the policy was approved and implemented following the community’s approval of FP-2.
The Council then attended to various administrative matters, including how it formally follows best on-chain security practices. Following discussion, the Council carried out certain related actions.
Funding Product Manager
A Council member proposed that the Foundation could fund a full-time role in the Forta community akin to a product manager in a web2 company. This product manager could help facilitate interaction between Forta network participants and users and development teams working on Forta, so that they could collectively execute on product initiatives in the Forta ecosystem. The Council discussed the potential duties and compensation range for the role and it was agreed that the Council should approve any funding for such a role in accordance with the bylaws.
Network Economic Analysis
A consultant to the Foundation gave a presentation to the Council regarding the effect of the programmatic reduction in FORT rewards for node runners that began the week of November 7, 2022 reducing weekly rewards in a step function to 300,000 per week. The Council reviewed the average reward distribution since the reduction in weekly rewards began, and a Council Member asked what effect the initial reduction in rewards had on the Network. It was noted that the initial reduction caused a deceleration of node operator growth, but that growth still occurred, andnode staking numbers had marginally increased. The consultant presented a capacity analysis of the Forta Network, which indicated that there is still excess capacity for detection bots despite the reward reduction. It was proposed that weekly rewards programmatically be reduced to 200,000 per week in a similar step function, based on the data presented. The Council agreed that prior to any action being taken, the rewards schedule related to a reward reduction should be drafted, reviewed, approved, and published to the community.
Following the meeting, a reward reduction schedule was prepared and circulated amongst the Council as a written proposal, which would reduce weekly rewards to 200,000 in a step function beginning the week that ends on December 11, 2022 and ending the week that ends on January 1, 2022.
The proposal to reduce weekly FORT rewards was passed by the Council as a written proposal following approval of more than half of the active Council members in accordance with the Bylaws.