Funding Mechanisms

Understand the different approaches to capital allocation. From quadratic funding to retroactive rewards, explore how each mechanism works and when to use it.

Showing 8 mechanisms

Allocation

Quadratic Funding

A democratic funding mechanism that matches community contributions quadratically, amplifying the impact of many small donors over few large ones.

Best for:

Community grants programsOpen source funding+2 more
4 implementations
Allocation

Retroactive Public Goods Funding

Rewards projects after they've demonstrated impact, rather than funding promises. "It's easier to agree on what was useful than what will be useful."

Best for:

Ecosystem rewardsDeveloper incentives+2 more
1 implementation
Voting

Conviction Voting

A continuous voting mechanism where support accumulates over time, allowing preferences to be expressed without discrete voting periods.

Best for:

DAO treasury allocationGrants programs+2 more
0 implementations
Allocation

Direct Grants

Traditional grant-making where a committee or individual directly allocates funds to selected projects based on applications and evaluation.

Best for:

Technical infrastructureResearch grants+2 more
4 implementations
Streaming

Token Streaming

Continuous, real-time transfer of tokens from sender to recipient, enabling salary streams, subscriptions, and ongoing funding flows.

Best for:

Ongoing salaries and compensationSubscription services+2 more
3 implementations
Allocation

Milestone-Based Funding

Funding released in tranches as projects complete predefined milestones, reducing risk and ensuring accountability.

Best for:

Large development projectsInfrastructure builds+2 more
3 implementations
Trust-based

Attestation-Based Funding

Using onchain attestations and reputation signals to determine funding eligibility and amounts.

Best for:

Recurring grantsReputation-gated programs+2 more
0 implementations
Voting

Quadratic Voting

A voting mechanism where the cost of additional votes increases quadratically, allowing for nuanced preference expression.

Best for:

Budget allocationMulti-issue voting+2 more
0 implementations

Know a mechanism we're missing?

Help us document the full landscape of funding mechanisms. Submit new mechanisms or suggest improvements to existing documentation.

Submit a Mechanism