Tezos Foundation delegation grants

This idea may complicate custody, but I was wondering if it would be a possibility to have a separate grant process to fund projects TF XTZ delegations? As an alternative to using USD to fund projects via the grant process, could we have the foundation delegate TEZ to a projects baker? This idea has a few plus points:

1)This would incentivize more people to start bakers(decentralizing the network)
2) Speed up the grant process and reduce administrative overhead(paying out in XTZ reduces tax complications for the baker, especially if it is a public goods project)
3) Raise the overall image of Tezos by utilizing an extremely creative method of using XTZ’s LPOS to fix multiple issues with one(many birds with one stone). As of this post we have NO working testnet (except for Hangzhou which means developers need to re-deploy ALL of the Granada contracts).

This idea came about when I was brainstorming idea’s of how to incentivize a persistent testnet. We could start a mainnet baker to pay out testnet bakers with the Tezos foundation’s delegation. TRD could be manually configured to pay out proportional rewards to each testnet baker. Please give constructive criticism or add your idea’s to this proposal.


If feasible, this is a great idea.

I have pointed out several ways to fund a perpetual testnet. What were your thoughts on the approaches I shared?


Nope. Foundation should be selling their btc and eth to fiat to fund this. Not dumping xtz.


Well, either way they will be dumping XTZ, It’s just a matter of how they dump it. Dump to diamond hand wannabe bakers on testnet? Or dump it directly to an exchange. The point for Kaizen would be to recruit want to be bakers who cannot afford to run a full baker. We would have them apply, we could make a deal to get them a VPS and pay for that, then pay them a monthly stipend to run the baker(in XTZ), they could save that XTZ to start a real baker after a few years. We would also have extra bonuses for tutorials, onboarding other bakers, efficiency, etc.

This isn’t about dumping anything. It’s about having the Tezos Foundation delegate some of their XTZ to a baker’s account. The foundation would still be in possession of all their delegated funds, and could withdraw their delegation at any time.


IT must be done in a way that anyone can claim the reward for contributing by running node and baker in this perpetual test net. Instead of TF choosing the winners and the losers.

Some sort of safe deposit box smart contract in mainnet, and a way to prove who you were in perpetual test net, so you are able to retrieve reward in XTZ from the safe deposit box.

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One of the easiest ways to do that would be to send the rewards to the same address on mainnet. Then it’s pretty obvious that the owner matches the testnet baker. We can just export a list of testnet bakers, cross reference with the registered testnet bakers, and send out a batch payment. Send the CSV to the TF every month in a report format.

I think we should require an uptime of 85-90% with a small bonus to 95% + reliability rating(Tzstats/tzkt). But we could have the experienced bakers team up together and decide the exact % in order to keep testnet stable and incentivize people to fine tune their bakery.

The admin work for all of this would only be a few hours every month. Something I could handle. Applying for a grant every few months with all the the paperwork, transferring from the bank, etc would greatly increase the workload quite a bit.

Another option would be for the TF to hire someone to do this full time, and make tutorials and such and pull the test-net baker community together. I wouldn’t mind applying for this position.

I mean, I doubt TF will accept to fund this. They didn’t want to fund LB with their block rewards, why would they fund a perpetual test net? We will probably need to tax ourselves by printing XTZ to fund this initiative, like with LB.


yeah… starting to lose a bit of faith in Agora, it doesn’t seem like anything but shutdowns happen here.

Why don’t you contact the TF and ask? Contact us - Tezos Foundation


Sure I thought they read the Agora, maybe asking via email is better.

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No, they def not read agora nor participate, since we expose them mixing transaction to dump in exchanges, they haven’t come back here.

Or when they promised to stop TF bakers when the network was stable, remember that one? That was years ago, not even 1 TF baker they have stopped. They don’t post here anymore, to avoid answering questions because they don’t have integrity.

I don’t think they read Agora - their role is to receive grant applications and fund some of them. It’s pretty different from most crypto foundations, which tend to be far more hands-on.