🌍Overview of the Livepeer Treasury

Since December 2023, Livepeer’s onchain treasury has been governed by LPT stakers and accrues 10% of Livepeer Token (LPT) rewards from every round. The current Treasury LPT inflow is ~150,000 LPT per quarter (~600,000 yearly LPT) and the Treasury currently holds ~500,000 LPT (Link to Dune Analytics dashboard). The treasury is crucial in funding public goods that benefit the Livepeer ecosystem. As outlined in LIP-90, there are two key social conventions which shape Livepeer’s governance framework and determine eligibility for funding from the Treasury:

• Funding Public Goods: Proposals should aim to benefit the entire Livepeer ecosystem, rather than just individual applicants. This ensures that funds are directed toward projects that promote the long-term innovation and development of the network.
• Use of Special Purpose Entities (See Section 3 for more details): Special Purpose Entities (SPE) are responsible for distributing treasury funds to individual applicants. This approach ensures that funding decisions are handled by experts with a clear focus on specific areas within the ecosystem, rather than individual applicants seeking funding directly from the treasury.

🏦Treasury Allocation Principles and evaluation criteria:

The criteria for evaluating treasury funding proposals are centered on ensuring that funds are directed toward projects that provide significant value to the Livepeer ecosystem. Proposals are assessed based on their alignment with Livepeer’s mission, the public goods they aim to support, and their potential long-term impact on the network. Here are some examples of evaluation criteria:

| Alignment with Livepeer’s Mission | • Public Goods Focus: Does the SPE support projects that benefit the entire ecosystem? • Decentralization: Will the SPE promote network decentralization and reduce reliance on centralized actors? • Ecosystem Growth: Will the SPE’s activities contribute to the overall expansion and success of Livepeer? | | --- | --- | | Clarity and Specificity | • Clear Goals: Are the objectives well-defined and measurable? • Scope and Implementation: Is there a detailed roadmap with steps, milestones, and timelines? | | Governance and Accountability | • Decision-making Model: How will decisions be made? Is this structure transparent and inclusive? • Reporting and Transparency: Will the SPE regularly update the community and be accountable for fund usage? | | Financial Responsibility | • Detailed Budget: Is the funding request clear and justified? • Milestones: Are there specific funding phases tied to progress? • Cost-Efficiency: Is the request proportional to expected outcomes? | | Team Expertise | • Track Record: Does the team have relevant experience and a strong reputation in the ecosystem? • Ability to Deliver: Is the team capable of executing the proposal successfully? | | Risk and Mitigation | • Risk Identification: Does the proposal outline potential risks and strategies to address them? • Contingency Plans: Are there plans if the SPE faces challenges? | | Impact and Scalability | • Ecosystem Impact: Will the SPE’s work have a meaningful effect on Livepeer? • Scalability: Can the SPE’s efforts grow beyond initial goals? | | Community Engagement | • Support: Does the proposal have positive community feedback? • Collaboration: Is the SPE working with other ecosystem participants for greater impact? |

🔎Examples of funded SPEs and treasury allocations

• Livepeer Video AI SPE Proposal requested 25,000 LPT over four months to seed a new SPE focused on developing AI-based video compute capabilities for the Livepeer network. A second iteration requested an extra 25,000 LPT over 4 months to enhance the Livepeer AI subnet’s performance, scalability, and user accessibility for AI video compute.
• Livepeer Cloud SPE Proposal requested ~6,000 LPT over 4-6 months to launch the "Livepeer Cloud" SPE, focused on enhancing accessibility and adoption of the Livepeer network through the development of a public broadcaster and integration with open-source media server Owncast.
• Realtime Interactive Video SPE requested 11,000 LPT over 6 months to develop a platform targeting high-demand video streaming use cases.
• Liverpeer.Cloud SPE requested 14,000 LPT over 3 months to develop an AI Job Tester and a Livepeer Explorer AI Performance Leaderboard.
• Livepeer LLM SPE requested 23,500 LPT with a milestone-based structure to add Large Language Model (LLM) capabilities to the Livepeer network, allowing applications similar to ChatGPT to be built directly on Livepeer’s decentralized infrastructure.

Find the most updated information about SPEs, their allocations and members in the SPE Dashboard.