# Builder Protocol Rewards ### Why - Builder spend is outpacing revenue. We need the protocol to become sustainible. - We want more developers to create platforms on top of the builder protocol and have an easy path for revenue generation. - Founders want an option to earn rewards in ETH instead of only recieving DAO tokens. Founding a DAO is hard work and we should have more options for rewards. ### How - A protocol level fee on the final bid of a DAO token. - This is **not a fee for users** it is a fee for DAOs. - The fee is split three ways - % to BuilderDAO for protocol development. - % to the website the final bid is placed from (could be a platform like Agora or a DAO website like purple.construction) called an Auction Referral. - % to the DAOs founder. - BuilderDAO decides on the % for - BuilderDAO - Auction Referral - DAO founders can set the founders % and that DAO has the ability to remove this founders fee over time via a proposal. ### What - We are calling this system Builder Protocol Rewards. - Founders now have an option to earn rewards in eth to bootstrap a DAO. - Platforms built on top of Builder Protocol earn rewards for bids they bring to DAOs. If a DAO deploys their own website that users love they can capture this reward for themselves. - BuilderDAO earns rewards from DAOs to fund future protocol upgrades. - An inital implementation of this system [has been developed already](https://github.com/ourzora/nouns-protocol/pull/117) and is ready for audit. - We are seeking a heat check from the community on if this is the correct way we want to approach fees.