---
type: entity
entity_type: decision_market
name: "COAL: Establish Development Fund?"
domain: internet-finance
status: failed
parent_entity: "coal"
platform: "futardio"
proposer: "AH7F2EPHXWhfF5yc7xnv1zPbwz3YqD6CtAqbCyE9dy7r"
proposal_url: "https://www.futard.io/proposal/DhY2YrMde6BxiqCrqUieoKt5TYzRwf2KYE3J2RQyQc7U"
proposal_date: 2024-12-05
resolution_date: 2024-12-08
category: "treasury"
summary: "Proposal to allocate 4.2% of mining emissions to a development fund for protocol development, community rewards, and marketing"
tracked_by: rio
created: 2026-03-11
---

# COAL: Establish Development Fund?

## Summary
Proposal to establish a development fund through a 4.2% emissions allocation (472.5 COAL/day) to support protocol development, reward community contributions, and enable marketing initiatives. The allocation would increase total supply growth by 4.2% rather than reducing mining rewards. Failed after 3-day voting period.

## Market Data
- **Outcome:** Failed
- **Proposer:** AH7F2EPHXWhfF5yc7xnv1zPbwz3YqD6CtAqbCyE9dy7r
- **Proposal Account:** DhY2YrMde6BxiqCrqUieoKt5TYzRwf2KYE3J2RQyQc7U
- **DAO Account:** 3LGGRzLrgwhEbEsNYBSTZc5MLve1bw3nDaHzzfJMQ1PG
- **Duration:** 2024-12-05 to 2024-12-08 (3 days)
- **Autocrat Version:** 0.3

## Proposal Details
- **Allocation Rate:** 4.2% of current mining emission rate
- **Daily Amount:** 472.5 COAL (from 11,250 base rate)
- **Distribution:** Weekly claims to DAO-managed multisig
- **Transparency:** Public tracking of all expenditures
- **Impact on Miners:** No reduction in mining rewards; increases total supply growth by 4.2%

## Significance
This proposal represents a critical governance decision for COAL's transition from pure fair-launch model to sustainable development funding. The failure indicates community preference for maintaining the original zero-allocation tokenomics despite the project's stated need for development resources. The rejection suggests either:
1. Strong miner resistance to any dilution of their share
2. Lack of trust in DAO treasury management
3. Preference for alternative funding mechanisms

The 4.2% rate was designed to avoid reducing mining rewards, but the proposal still failed, suggesting the community values supply scarcity over development funding.

## Context
COAL launched in August 2024 as a fair-launch project with no pre-mine or team allocation. This proposal was the first attempt to establish ongoing development funding through emissions rather than one-time treasury actions.

## Relationship to KB
- [[futardio]] - governance platform
- [[MetaDAOs Autocrat program implements futarchy through conditional token markets where proposals create parallel pass and fail universes settled by time-weighted average price over a three-day window]] - mechanism used