The Syndicate is a decentralized investment fund located on the Ethereum Blockchain. You can find the Syndicate's exact blockchain address at 0xb04bc4eddaaa6e9fe70b9c811ef73aed885dcc21407e059c64505b90e15ad562. The Sydicate's democratic governance is based on the solidity code created by the Ethereum community and can be examined here.
In summary, all Syndicate members:
- Join the Syndicate with maximum of 1 original Dapp idea.
- Raise an investment proposal for any member's Dapp.
- Vote to fund a proposed Dapp with the Syndicate's fund.
At its heart, The Syndicate is meant to be a non-profit "dapp incubator" that leverages the insights of the Ethereum community to invest in innovative and creative dapps.
The Syndicate is a trustless, decentralized organization built by and for its members.
We cannot talk about the benefits of the Syndicate without referencing of the blockchain technology used by Ethereum. What you see on the Syndicate's website is merely a styled graphical user interface of the data living in the Syndicate's contract on Ethereum's blockchain. Because the Syndicate's contract exists on Ethereum's blockchain it cannot be changed by any person and ensures that the Syndicate is governed by decentralized parameters. In other words, there is no owner, no manager, no 'trusted' third party who will skim off the top.
The Syndicate provides an accessible space for Ethereum develops to get honest feedback and trustless crowdfunding for their dapp ideas.
This application requires an active connection to the Ethereum blockchain. The simplest way to connect to the Syndicate is by installing the MetaMask browser extension for Google Chrome. Visit MetaMask's Chrome Web Store page to download the extension and learn more about it's role in running Ethereum applications.
To participate in the Syndicate, you must be a member. As part of your application to the Syndicate, you must submit a username, a description for your dapp, a link to your dapp, your personal Ethereum contact information, and submit a membership fee. The fee is deposited in its entirety into the pool of investable capital for the Syndicate. Not a single wei is taken by any principals or administrators.
As a member, you can raise an "investment proposal" for any members' dapp. Raising a proposal is simple. Users must input a proposed investment amount (in ether) and a reason for their suggestion. Upon submission, proposals become viewable by the entire Syndicate for a pre-determined "debate period".
During this time, members can either vote "yes", to support the proposal, or "no", if they disagree with the proposal. At the end of the debate period, the Syndicate runs an internal process to:
- Determine if a minimum quorum was reached.
- Tally the votes and check for a majority.
- Execute the proposal if the minimum quorum and "yes" vote majority conditions are met.
The proposed funding amount is immediately debited from the Syndicate's aggregate investment pool and sent over the blockchain to the creator of the dapp.
The Syndicate harnesses the two best features of the Ethereum blockchain: autonomy and decentralization, and exemplifies how they can be applied to the world of private investment.