XX Council Incentive Program (CIP)

Democracy
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:receipt: XX Network Council Incentive Program (CIP) — Summary

:bullseye: Purpose:

To fairly and consistently compensate active XX Network Council members for their governance participation and strategic contributions to the ecosystem.

:money_bag: Compensation:

75,000 XX coins per eligible council member, paid monthly

Payouts issued at the start of the following month

:white_check_mark: Eligibility Requirements:

To receive monthly compensation, a council member must:

Attend at least 75% of scheduled council meetings during the month (if any)

Demonstrate active involvement, which includes:

Contributing to governance decisions or proposals

Supporting dApp or ecosystem development

Actively participating in discussions, working groups/social networks, or partnerships

Maintaining a consistent and constructive presence in council operations

Participation is evaluated collectively by the council.

:repeat_button: Program Oversight:

Quarterly review to assess:

Member eligibility

Program effectiveness

Budget sustainability

Non-participating members forfeit that month’s payout

Changes require a majority vote by the council

Finally, I propose that the following members, Ilkay, Darren, Flowertree & John, be compensated immediately 75,000 coins each for their work over the past number of months.

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Finally, I propose that the following members, Ilkay, Darren & John, be compensated immediately 75,000 coins each for their work over the past number of months.

Please add FlowerTree to this list. He is not active in chat but he has been doing a lot of work making connections for xx.

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These requirements would include Robbie, Cryptowell, and myself (perhaps others). I am OK with this but as operational staff nominated by the foundation (albeit unpaid) it feels like somewhat of a conflict of interest. I’ll defer to community but I would be OK with an additional “is not nominated by or paid operational staff of the foundation” requirement.

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To begin with, I would like to know what exactly have Ilkay, Darren, and John contributed over the past few months that justifies the proposed 75,000 XX payment each?

Also for each council member nominated for CIP, please provide specific examples of their council involvement, initiatives, governance contributions, ecosystem or dApp support, etc. Without a clear understanding of the scope and value of their work, it’s difficult to fairly assess the merit of this compensation.

I’m also concerned about the idea of introducing a regular fixed “salary” for council membership. This approach could:

Incentivize performative or pseudo-activity, where members appear active mainly to qualify for payment;

Distort market dynamics, especially if payouts are regularly sold into the open market;

Gradually turn the council from a strategic body into a bureaucratic one, which goes against the principles of the network.

Instead, I suggest considering a more flexible, milestone- or grant-based reward system tied to measurable impact and initiatives, rather than ongoing participation. This would better align incentives with real value creation and maintain the strategic integrity of the council.

3 Likes
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  1. The evaluation criteria for paying 75,000 xx are ambiguous.
    Do I just need to attend the council meeting? The evaluation criteria are ambiguous, and do the members who receive 75,000 xx evaluate each other?
    There is a conflict of interest problem.

  2. I feel that the council is centralized because the members who are close to each other are becoming council members.

  3. What does the council think the future target price of xx coin is?
    If you think there is a vision, do you think it is $10? $100?
    Then, do you think you will receive $750,000 or $7,500,000 every month? Or do you think you will receive $1,500 at the current value?
    Isn’t the original purpose of the council a volunteer concept?

  4. Other chains have more whale members than general holders as council members. That in itself is motivational. But

  5. If there is one person who regularly posts professional advertisements on X, TikTok, Medium, YouTube, and personal blogs, isn’t it enough, and if there is someone who is elected to be a council member voluntarily, wouldn’t it be in line with the purpose to do it unconditionally?

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:white_check_mark: Eligibility Requirements:

To receive monthly compensation, a council member must:

Attend at least 75% of scheduled council meetings during the month (if any)

Demonstrate active involvement, which includes:

Contributing to governance decisions or proposals

Supporting dApp or ecosystem development

Actively participating in discussions, working groups/social networks, or partnerships

Maintaining a consistent and constructive presence in council operations

Participation is evaluated collectively by the council.

Isn’t the entire list of activities above a list of activities that general council members voluntarily participate in?
Considering the future of xx, how about not receiving compensation as originally intended? Isn’t volunteering itself voluntary rather than mandatory?
Current node operators are almost like volunteers. With a minimum of 15,000xx stake and 18~25% stake interest, the income that a validator can earn is 30~50xx per day.
That’s not even 1500xx per month.
Even if you invest 120,000~300,000xx stake and operate a node, it’s 5,000xx per month and 60,000xx per year.
However, if you invest 75,000 for 12 months, it will be 900,000xx.
It’s similar to the annual income of Cryptocaliber, which operates 18 node validators. I think running an 18 node validator contributes much more to the xx network than being a council member who gets 75,000xx. That’s harder.

4 Likes
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Isn’t the staking reward going to be around 12-14% next year? It’s this high, so is it right to increase the distribution by 200k xx ~300k xx every month? Wouldn’t it be better if the council reduced the staking reward by 1/3— and said they would continue to increase the value of the xx network through volunteering? recommend staking reward interest - 3~4% APR

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I am absolutely against this proposal.

Although I do consider this movement positive. It’s a process of cutting the cord. A process of the xx network moving towards further development toward autonomy and independence. The path is the destination. I think this movement is in line with David and Jim’s spirit.

A project must go through various stages to achieve independence. Waiting and trusting are not further development. Impatience leads to change. I doubt whether the desired change will have a lasting positive impact on the project. If you think it’s right, you can try. Failures are also part of further development.

The proposal is only about the personal enrichment of the people who already own large amounts of xx coins. They already earn money from the network through nodes and staking. That should be motivation to keep the network alive and develop it further.

Besides, these people have already been working on the project for the past few years. Will 75,000 xx per capita per month suddenly cause their capabilities to explode?

3 Likes
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In most other blockchain projects, governance committees are typically voluntary and unpaid.
If no one is willing to participate without compensation, the core value of a PoS system loses its meaning.
I don’t understand why the committee is being paid to make suggestions and decisions about the direction of the xx network. If the council members truly believe in the value of the network, they should focus on reducing operational costs instead.
I’m very disappointed in this proposal and firmly oppose it.

1 Like
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council members are meant to serve the community with vision and integrity not for compensation.
this should remain a volunteer position as it is in most serious projects
the council should make important suggestions or decisions about the network or governance
please do not ask for compensation for it
if you are a developer, develop the necessary dapps and ask for compensation accordingly

and if you truly believe in the future vision of the xx network, shoud not you as a council member, be doing everything you can to reduce fixed costs or expance?? especially when the coin price is currently so much low?

1 Like
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First, I want to introduce myself for anyone tuning in who doesn’t know me or my past and present involvement in the xx Network.

I’m Keith. I worked with some of the earliest “teams” that were overseen by David Chaum. On Discord I’m keith.aka.lord.vetinari. On Telegram @KeithakaLordVetinari and Haven I’m complexManifestation. I am currently in the xx Foundation FOG (Foundation Operating Group). I’m also on the Tech. Comm. and Council. I just want to state this as it may provide useful context as the discussion goes on.

So with that out of the way …

Honestly, I’m on the fence if there should be a CIP. I’m not able to put all of my thoughts succinctly into one post so I’m not going to try. I see pros and cons. Nearly all pros and cons lead down a rabbit hole. So for now, a few question posed to others on the Council. I just want to touch on a few things to better help myself assist with crafting a CIP is it happens.

First and foremost regarding …

Finally, I propose that the following members, Ilkay, Darren, Flowertree & John, be compensated immediately 75,000 coins each for their work over the past number of months.

I have voted to approve these 4 specific tips. I genuinely feel those folks’ participation, much of what the public does not see, is justified. But by me approving those tips this time should not be considered an endorsement of the CIP being proposed. I got questions :smiley:

:white_check_mark: Eligibility Requirements:

I wear a lot of hats for xx Network. I think about my current list of roles (See above) and while it might be able to compartmentalize and itemize the “participation” of each role, its not hard to see the lines can quickly get blurred and quite honestly a PIA. My gut reaction is I should not be eligible.

Should Council members that wear multiple hats be eligible to receive CIP compensation?

75,000 XX coins per eligible council member, paid monthly

I don’t agree or disagree with this number at this time. I don’t know what the right amount of compensation would be so I would just like to understand why 75k? Why not 10k or 100k?

Also regarding the compensation, regardless of what the final number may be, let’s stick with 75k for now. If Alice works her butt off and genuinely deserves the 75k for her work and Bob does 1/3 the work comparatively to Alice, does Bob get 75k, 25k or nothing?

I’m going to leave it at that until I hear back. :vulcan_salute:

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i appreciate their work, but no one has ever forced them to work
it’s not like the council has done that much work just they do opinion and meeting sometime and decision

1 Like
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That much i do not earn as node per year.Mine current ROI is in minus.
Invesment of $$$ in equipment/vps/electricy is in minus 1500 $ if i sell all xx coins now
I didn’t calculate mine time inovolved in this network.
I am strong against this proposal.

And job is done very bad form begining
If that proposal pass i will leave xx network

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If anyone is getting compensated it should be node operators like yourself.