without escrow on our bounties, an agreed-upon price is subject to volatility and there isn't established trust between a funder & contributor
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- JavaScript
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Description
### Circumstance
As a funder, when I post bounties on Gitcoin, I want to avoid as much price volatility on my end, and mean what I pay and pay what I mean.
As a developer working on bounties or hackathons, I'm confused and feel cheated because it isn't clear if I'll be paid a specific number of tokens (2 ETH) or a specific amount of tokens based on a pegged USD value ($X worth of ETH), which is subject to market volatility and is sometimes listed in the bounty details as compared to the actual bounty listing.
This can happen when the funder assumes they're rewarding off a peg, which could mean less tokens to a contributor if the token price rises OR they payout the correct number of tokens but it doesn't hit the dynamic USD value because the tokens have dropped in price. In both scenarios, the contributor complains. The problem isn't that the funders want a peg, it's that the agreed-upon price is subject to volatility and there isn't established trust using an escrow service.
### Current Functionality
The prize listed on the bounty is what the funder enters on the form, and the bounty details are what the funder writes in the description area of the form, which is subsequently synced by Github.
Our system currently is based on tokens, with the USD price dynamically displayed, so the trust assumption is that funders will pay out the tokens as promised when they submit that information on the bounty form like it was when we were doing escrowed Standard Bounties. Currently, rules about adhering to additional prize clauses in the bounty details section do not exist.
### Possible Solutions
- https://gitcoincore.slack.com/archives/CAXQ7PT60/p1612280703033900
- explicitly delineate that bounty prize amounts take precedence over additional amendments or clauses in the bounty details (funder education)
- disallow prize clauses in bounty details (funder education)
- peg bounties to a stable value so price volatility doesn't change the amount of tokens awarded (protects funder)
- explicit rule that says funders pay out a number of tokens they promised, regardless of price (contributor advantage)
- just use stablecoins only (gitcoin rule change)
- rage rebuild all of bounties
- other solutions
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Assessment
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