COSEM — Compound Selection Model
The most important task of any launchpad is to bring potentially promising projects and conduct seamless fundraising operations. There are lots of launchpads present in the crypto industry which fail at it due to a lack of systematic approach, unattractive business models and unfair allocations.
Lunastarter is proud to announce its own unique project selection mechanism known as Compound Selection Model. We have tried to solve above mentioned problems by introducing a systematic and thoroughly tested and calculated approach. COSEM envelops the triangular bridge between launchpad, venture capitals/KOLs and community which is the important problem a project has to solve in its initial stage.
This model brings democracy and disowns monarchy. We have a vision to bring power back to the community as they are the ones investing in it. Taking opinions from community through a well-defined methodology ensures mutual respect between each other and also brings out the true essence of the word trust-less.
Compound Selection Model consists of the following processes:
· Project application process.
· Data validation process.
· Live Project Screening round.
· Votes evaluation + Feedback process.
· Feedback/queries response process.
· Project re-evaluation round.
Flow Chart depicting Compound Selection Model:
Project application process
This is the first and most basic part of our model. Project will have to provide few important details about their project in an application form.
This application will be a key to distinguish between valid and invalid application submissions.
Details may include:
i) Project description.
ii) Team details
iii) Social media links.
iv) Business model.
v) Vision/Purpose.
vi) Fundraising plans.
Data validation process
Our team will validate and evaluate the details submitted by the projects in a professional manner. We will also reach out to the project to clarify the details submitted by them and scrutinize it in a friendly way. If the project is genuine, it will be selected for the next round, else it will be rejected or given time to prepare their data again.
Live Project Screening round
This is the most interesting part of our model. Here, the project will be asked to pitch their idea and asked a defined set of questions from the panelists. Panelists will consist of our team, venture capitals, KOLs and people of importance. Our dream is to take it to the level of live shows like Dragons’ Den or Shark Tank. However, in these live shows, only panelists/judges invest their own money while in ours, community will also be given a chance to get involved as an investor in the project. This will escalate our community’s conscience and their investment methodology.
Votes evaluation + Feedback process
After the project screening round, community will be asked to do their due diligence and vote whether they are willing to invest in the given project or not.
The governance model will work in the following way:
· Each $LST staker will have a certain voting power known as “KRAZ”. Let’s suppose, there are 5 stakers and they have 15, 12, 10, 9 and 7 KRAZ respectively. If the first two stakers vote yes and others vote no, the net will be calculated as the following: net KRAZ effect / avg voting power = (+15+12–10–9–7)/ ((15+12+10+9+7) / 5) = 1/11 = 9.09%. This is known as the general vote percentage.
· If the ”net KRAZ effect” comes out to be negative, it will be taken as 0 and then the project will simply be sent to re-evaluation round.
· Each of the panelists will have a single vote of yes or no. Let’s suppose, there are 5 panelists and they vote yes, no, yes, yes, no. Thus, 60% vote is affirmative. This is known as the exclusive vote percentage.
· Compound vote percentage: (general vote percentage + exclusive vote percentage)/2. In case of the above example: (9.09 + 60)/2 = 69.09/2 = 34.55%
· If the Compound vote percentage is greater than 50%, then the project will be selected, else it will be rejected.
· Each staker can also provide feedback on why they are accepting or rejecting this project.
Feedback/queries response process
Feedbacks will be passed to the project along with the wallet address of the users who gave that particular feedback.
Project will be asked to answer valid queries. This is important to build trust between community and the project and also clear all the doubts/misconceptions the investor has.
In case of project failing the selection process, it will be mandatory for them to answer all the queries for re-evaluation.
Project re-evaluation round
After the feedback responses are passed back to the community, they will be asked to vote again in case their doubts are clear. This particular process will take place only once.
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