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# System prepended metadata

title: CPSR v2

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# Product Requirements Document (PRD): Common Pools of Shareable Resources (CPSR)

## **Introduction**

### **Purpose**
The **Common Pools of Shareable Resources (CPSR)** is a modular and scalable system for decentralized resource allocation. Built on **Allo Protocol**, CPSR aims to distribute financial, reputational, human, and material resources to community-driven projects, enabling enhanced governance, transparency, and impact tracking.

### **Scope**
CPSR will initially focus on financial and reputational resources, progressively incorporating human and material resources. The system is designed to integrate seamlessly with existing Gitcoin tools, fostering alignment with Gitcoin’s 2025 strategy for decentralized funding.

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## **Objectives**

1. Establish CPSR pools to address community-specific needs.
2. Leverage Allo Protocol as the base layer for resource distribution.
3. Enable transparent tracking of resources using Gitcoin Passport and KarmaGap.
4. Foster decentralized governance through $ENG token staking and voting.
5. Incentivize community participation via matching funds and event-triggered allocations.

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## **System Architecture**

### **Base Layer: Allo Protocol**

- **Core Functionality:** Programmatic funding, governance mechanisms, and smart contract infrastructure.
- **Scalability:** Modular APIs support integration of additional resource types.

### **Core Components**

1. **Resource Tokens:**
   - **$FIN (Financial):** Monetary allocations.
   - **$REP (Reputational):** Reputation-weighted governance.
   - **$HUM (Human):** Time-banked contributions (future iteration).
   - **$MAT (Material):** Tangible/digital assets tracked via NFTs (future iteration).

2. **Governance Mechanisms:**
   - **$ENG (Energy):** Meta-token for voting and pool power amplification.
   - **Pool Managers:** Oversee resource allocation and proposal approvals.

3. **Matching Fund Mechanism:**
   - Pools with high engagement unlock additional funds from external partners.

4. **Event-Triggered Allocations:**
   - Resources dynamically released upon milestone completion.

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## **Phased Implementation**

### **Phase 1: Financial and Reputational Pools (Q1 2025)**

#### Deliverables:
1. Deploy financial and reputational resource pools using Allo Yeeter.
2. Enable governance through $ENG staking and Gitcoin Passport integration.
3. Launch pilot pools:
   - **DeSci Innovation Pool:** $10,000 targeting 10 projects.
   - **Climate Action Pool:** $10,000 targeting 12 projects.
   - **Regen Education Pool:** $10,000 targeting 15 projects.

#### Success Metrics:
- 30 projects funded across three pools.
- 500+ $ENG tokens staked.
- Matching fund contributions secured from at least two external partners.

### **Phase 2: Human and Material Resource Pools (Q3 2025)**

#### Deliverables:
1. Integrate time-banking for human resources via Charmverse.
2. Implement NFTs to manage material resources.
3. Introduce inter-pool resource sharing and governance upgrades.

#### Success Metrics:
- Launch two new resource pools.
- Achieve 70% milestone completion rate for funded projects.

### **Phase 3: Scalability and Advanced Features (2026)**

#### Deliverables:
1. Develop real-time analytics for resource tracking.
2. Implement agent-based exchanges for dynamic resource reallocation.
3. Expand CPSR adoption across Gitcoin community rounds and external ecosystems.

#### Success Metrics:
- Onboard 50+ projects across all resource types.
- Establish interoperability with at least three external platforms.

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## **Key Features**

1. **Transparent Allocation:**
   - Use Gitcoin Passport for reputation-weighted scoring.
   - Enable milestone-based tracking via KarmaGap.

2. **Dynamic Governance:**
   - $ENG token staking influences voting and matching fund allocation.
   - Pool Managers ensure accountability.

3. **Matching Funds Flywheel:**
   - Amplifies pool impact through external contributions.

4. **Interoperability:**
   - Integrate with Gitcoin’s ecosystem and external platforms like FlowState.

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## **Risks and Mitigation**

1. **Adoption Barriers:**
   - **Mitigation:** Offer educational workshops and onboarding resources.

2. **Complex Governance:**
   - **Mitigation:** Simplify initial governance models, gradually introducing complexity.

3. **Resource Mismanagement:**
   - **Mitigation:** Implement milestone-based verification and community reporting.

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## **Expected Outcomes**

1. **Enhanced Efficiency:**
   - Tailored resource allocation improves project success rates.

2. **Increased Engagement:**
   - Incentivized participation drives governance and resource contributions.

3. **Scalability:**
   - Modular design supports future iterations and ecosystem integrations.



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## **Macro Analysis: CPSR System Ontology, Architecture, and Primitives**

### **Ontology: Conceptual Framework**

#### **Key Elements of the Ontology**
1. **Base Layer: Allo Protocol**
   - Allo Protocol provides the fundamental infrastructure for **decentralized fund allocation**, **smart contract integration**, and **governance mechanisms**.
   - Serves as the backbone for resource allocation via **Allo Yeeter** and extends to CPSR’s multi-resource pools.

2. **Resource Dimensions (Ontology Primitives):**
   - **Financial ($FIN):** Monetary resources managed and distributed through the Allo Protocol.
   - **Reputational ($REP):** Reputation scores sourced via integrations like Gitcoin Passport, GreenWill, and Celo Prosperity Passport.
   - **Human ($HUM):** Voluntary labor and expertise recorded via time-banking systems like Charmverse and Hypercerts.
   - **Material ($MAT):** Tangible or digital resources tracked through on-chain mechanisms like NFTs.

3. **Governance Primitives:**
   - **Energy ($ENG):** Meta-token for governance influence, earned through participation and resource contributions.
   - **Pool Managers:** Designated roles responsible for resource distribution and proposal evaluation, with governance tied to $ENG.

4. **Interactions:**
   - **Yeeting:** Resource transfers executed via Allo Protocol’s Yeeter contract.
   - **Matching Funds:** Layered on top of Allo Protocol, matching funds incentivize impactful contributions and governance engagement.
   - **Cross-Pool Interactions:** Allows dynamic resource allocation between CPSR pools.

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### **Architecture: System Design and Allo Protocol Integration**

#### **Layered Architecture**
1. **Base Layer: Allo Protocol**
   - Implements the **core funding mechanisms**, such as quadratic funding, reputation weighting, and resource distribution through Allo Yeeter.
   - Provides modular APIs and contracts that CPSR can extend for multi-resource management.

2. **Resource Allocation Layer:**
   - Leverages Allo Yeeter’s **programmatic fund distribution** to support multi-dimensional resources like financial and reputational.
   - Extends the Allo Registry to include applications for non-financial resources (e.g., human and material).

3. **Governance Layer:**
   - Builds on Allo Protocol’s governance mechanisms to support **energy-weighted voting** and **dynamic role assignment**.
   - Integrates with Gitcoin Checker for transparent project evaluations.

4. **Resource Management Layer:**
   - Tracks resource flows across pools and ensures accountability using Gitcoin Passport, KarmaGap, and milestone verification.

5. **Scalability Layer:**
   - Facilitates **easy pool creation** for new resources and **interoperability** with external ecosystems like Gitcoin and ReFi DAO.

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### **Primitives: Foundational Building Blocks**

#### **1. Allo Protocol Integration**
   - Acts as the **base layer**, enabling CPSR to inherit Allo’s mature infrastructure for programmatic funding and governance.
   - Ensures compatibility with existing Gitcoin tools (e.g., Gitcoin Passport, Gitcoin Checker).

#### **2. Multi-Resource Pools:**
   - **Financial Pools ($FIN):** Allocate funds via Allo Protocol's Yeeter.
   - **Reputational Pools ($REP):** Incorporate reputation scoring from Gitcoin Passport or Celo Prosperity Passport.
   - **Human Pools ($HUM):** Leverage time-banking systems for shared talent pools.
   - **Material Pools ($MAT):** Manage tangible assets via NFTs or decentralized registries.

#### **3. Governance Primitives:**
   - **Energy ($ENG):** A meta-token for governance, allowing staking and voting.
   - **Pool Managers:** Use $ENG-based voting to manage resources and approve proposals.

#### **4. Matching Mechanisms:**
   - Build on Allo Protocol’s matching infrastructure to reward high-impact pools with additional funding.

#### **5. Interoperability Primitives:**
   - Enables external organizations (e.g., Gitcoin, ReFi DAO) to integrate with CPSR through **matching fund contributions** or **resource exchanges**.

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### **Key Advantages of Allo Protocol as the Base Layer**

#### **1. Simplified Resource Management:**
   - **Financial Resources:** Allo Yeeter handles monetary allocations efficiently, reducing operational overhead.
   - **Reputation-Based Decisions:** Existing integrations like Gitcoin Passport provide a seamless reputational framework.

#### **2. Modularity for Expansion:**
   - Allo Protocol’s API design allows CPSR to scale from financial resources to human, reputational, and material resources without re-engineering the core.

#### **3. Transparent and Accountable Governance:**
   - Built-in governance primitives enable fair decision-making and transparent resource flows.

#### **4. Proven Infrastructure:**
   - Leveraging a tested protocol like Allo reduces risks and accelerates development timelines.

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### **Critical Design Considerations**

#### **1. Role of Pool Managers:**
   - Define clear responsibilities and governance mechanisms for pool managers (e.g., earning $ENG for approvals, staking $ENG for governance).

#### **2. Non-Financial Resource Scaling:**
   - Integrate human and material resources progressively, ensuring operational feasibility.
   - Use NFTs or similar mechanisms to track material resources.

#### **3. Community Contribution:**
   - Allow community members to add funds or resources to pools, subject to governance approval.

#### **4. Matching Funds Flywheel:**
   - Introduce dynamic matching funds based on $ENG staking, incentivizing active governance and higher-impact pools.

#### **5. Event-Triggered Flows:**
   - Enable conditional resource flows based on project milestones or community-verified events.

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### **Conclusion**

**Allo Protocol as the base layer** provides CPSR with a solid foundation for decentralized, transparent resource allocation. By leveraging Allo’s mature infrastructure, CPSR can seamlessly integrate financial and reputational resource pools while scaling to support human and material resources in future iterations. This layered approach ensures modularity, scalability, and alignment with community-driven governance, setting a strong precedent for multi-resource funding in decentralized ecosystems.