# ADA: Allo Domain Allocations <div style="font-size:20px;margin-bottom: 18px;"> ADA is a platform for <a target="_blank" href="https://www.allo.expert/mechanisms/dedicated-domain-allocation">Delegated Domain Allocations</a> where Allocation Pools are created with specific <em>Objective Functions</em> and governed by a panel of domain experts using a <a target="_blank" href="https://docs.safe.global/advanced/smart-account-overview#safe-smart-account">Safe Multisig</a> for multi-approval transactions. </div> ## Core Concepts **Allocation Pools:** The pools are defined with a title, description, eligibility criteria, and a designated list of domain expert email addresses governing it. Pools are funded with tokens up to a predefined maximum, ensuring capital efficiency and preventing over-funding. Each pool is self-contained, with its unique objective function and funding community. The expert panel evaluates applications to ensure that funds are allocated efficiently and effectively. **Application Process:** Projects and initiatives apply for funding from these pools. An AI-driven screening system initially reviews applications to boost efficiency and help improve application quality before submission. **Approval:** A committee of domain experts reviews incoming applications and votes on funding requests. The decision-making process leverages a Safe Smart Account—a smart account with built-in multi-signature functionality—where a threshold of expert approvals is required to execute a transaction. This design offers a secure default without relying on additional contracts or modules. **Project Profiles:** Projects present their background, track record, and related links to support their funding applications. ## Workflow - **1. Funding & Pool Creation:** - Allocation Pool is created with a title, description, objective function, eligibility criteria, funding token and max amount. - Funders contribute tokens to Allocation Pools. - Each pool has a maximum token limit, acting as a “battery” charge to ensure disciplined capital allocation. - **2. Application Submission & AI Screening:** - Projects submit their funding applications to a chosen pool. - An AI system screens and rates these applications, enhancing review efficiency and improving proposal quality. - **3. Expert Review & Approval:** - A panel of domain experts reviews the screened applications. - Experts cast their votes using a Safe Smart Account with multi-signature functionality. This requires a predetermined threshold of approvals before a transaction (fund release) is executed. - Every approval and fund disbursement is recorded transparently on the Ethereum blockchain. - **4. Fund Disbursement & Attestation:** - Upon receiving the necessary approvals, funds are released. - An attestation is generated, providing an immutable record of the funding decision and the transaction details. ![image](https://hackmd.io/_uploads/Bkb8nUd5kg.png) *Figure 1: Project Application Funding Lifecycle* ## Examples ### Allocation Pool **Economic Development & Innovation** *Stimulate local economic growth by funding small businesses, startup incubators, digital transformation projects, and innovation hubs.* - **Funded:** $3,7M / $6M - **Domain experts:** `one@allo.capital`, `two@allo.capital`, `three@allo.capital` ### Application **Local Entrepreneurship Accelerator** *This accelerator program offers mentorship, seed funding, and networking opportunities to early-stage startups and innovative small businesses. The goal is to foster local economic growth by nurturing creative ideas and transforming them into viable market solutions.* ... - **Requesting:** $200,000 ### AI Screening Report **Screening Result:s** - **Alignment with Pool Objectives: 90/100** The proposal clearly targets economic development by fostering local startups and innovative business models. - **Feasibility & Implementation: 85/100** The program outline is robust with mentorship and seed funding, though additional details on milestone tracking were noted. - **Impact Potential: 88/100** Expected to stimulate local economic growth with tangible benefits for early-stage businesses. - **Clarity & Completeness: 80/100** Overall, the application is well-structured; however, a more detailed timeline and success metrics are recommended. **Overall AI Score: 86/100** **AI Recommendations:** - Provide a more detailed project timeline with specific milestones. - Include quantitative targets for measuring economic impact over time. - Consider elaborating on risk mitigation strategies related to market fluctuations. ### Expert Review and Voting Outcome | Expert Email | Vote | Comments | |-------------------------|------------|---------------------------------------------------------------| | one@allo.capital | Approved | *Strong alignment with objectives; minor clarifications needed.* | | two@allo.capital | Approved | *High potential impact; timeline details should be expanded.* | | three@allo.capital | Rejected | *Concerns about implementation details and milestone tracking.* | **Final Outcome:** - **Decision:** Approved - **Vote Tally:** 2 Approvals, 1 Rejection - **Funding Released:** $200,000 USD ### Architecture ## Future Work Keeping the core of ADA simple makes it easy to extend with further functionality. The core being: - **Smart Contract** for Pool creation + funding + distribution - **Application Register** to keep track of project funding applications and their approvals - **Safe Multisig** for approving funding requests Additional extensions: - **AI-assisted** application screening for both 1. before submit to ensure higher quality applications and 2. after to assist reviewers to be more effective and better decision-making. - **Impact Attestations** for external evaluation of the impact the project is creating. - **Prediction Market** for which applications get funded ## Sketchbook **Allocation Pools** ![image](https://hackmd.io/_uploads/BkotFY4qkx.png) **Allocation Pool Objective Function** ![image](https://hackmd.io/_uploads/Sy4BttN91x.png) **Landing Page** ![image](https://hackmd.io/_uploads/Hkkxy249ye.png) **Allocation Pool Details Page** ![image](https://hackmd.io/_uploads/H1QzJnV5ye.png) Domain experts simply sign in with their email ![image](https://hackmd.io/_uploads/SJ2IQ9nK1g.png) When creating Pools the emails are used instead of wallet addresses ![image](https://hackmd.io/_uploads/B1YTXcnK1g.png) ![image](https://hackmd.io/_uploads/BJmPy5nYkx.png) ![image](https://hackmd.io/_uploads/B1l8M4tYyg.png)