This is a techincal committee proposal whose proposer address (FhLMxxkXxfgRRnv8hyRbNkpUMZ9umASMsRmKpZruVayaqhL) is shown in on-chain info below. Only this user can edit this description and the title. If you own this account, login and tell us more about your proposal.

Extending Encointer's common good lease by 48 weeks

Encointer Runtime Upgrade v8

Encointer Runtime Upgrade to Full Functionality

Register Encointer As a Common Good Chain

Encointer intends to propose a treasury spend for the expenses of running its common good parachain on Kusama

[**detailed proposal**](https://docs.google.com/document/d/1Ev_7t8j3w9w12mTDbXme9LVgKWLwKkNYkByndScj4jA/edit?usp=sharing) covering:

* detailed expenses structure with sunk cost in Jan/Feb 2022
* transparency report on overall expenses in 2021
* brief roadmap

For general discussion on the common good parachain, please find [our application to become a gommon good parachain](https://kusama.polkassembly.io/post/610)

For updates on our progress, please refer to [our blog](https://encointer.org/blog/)

Do not miss our [vision piece for a more inclusive web3](https://polkadot.network/blog/introducing-encointer-making-web3-truly-inclusive/)

## Treasury Spend Summary
* ongoing cost of running the Encointer common good parachain **USD 27'300.-** for 3 months Jan-March 2022
* Subscan Indexing, **initially USD 15’000.-**

**total: USD 42'300.-**

## KSM rate to be used
[30day moving average](https://kusama.subscan.io/tools/charts?type=price) at the date of filing the proposal


Encointer parachain infrastructure and maintenance Q1 2022

Encointer is ready to bootstrap its first productive community and has finalized its initial governance structure to have enough freedom to finetune its protocol parameters without frequent intervention by Kusama democracy.

Encointer’s common good parachain is currently a shell without functionality beyond testing teleporting of KSM tokens. This [runtime upgrade to V7](https://github.com/encointer/encointer-parachain/releases/tag/1.0.1) will bring the full encointer protocol and the [first community in Zurich](https://leu.zuerich) can start.

[Runtime code](https://github.com/encointer/encointer-parachain/tree/master/polkadot-parachains/encointer-runtime)

[Encointer protocol pallets](https://github.com/encointer/pallets)

## Fees and Treasury

In order to reach Encointer's [vision for web3 inclusivity](https://polkadot.network/blog/introducing-encointer-making-web3-truly-inclusive/), tx fees can be paid in KSM or community currencies.
If paid in KSM, the fees are transferred to the Encointer parachain treasury, which is planned to be at the disposal of the parachain council for spend proposals

## Governance Design

As Encointer is a common good parachain, root origin is only available for Kusama relay chain governance. In order to adjust the encointer protocol parameters, the Encointer Association members form the council of the Encointer parachain which is authorized to

* Adjust ceremony schedule
   * [`next_phase`](https://github.com/encointer/pallets/blob/91cbd7c9c0d47c4a80c096d3b2b501625a6bb724/scheduler/src/lib.rs#L151): force progress to next ceremony phase
   * [`push_by_one_day`](push_by_one_day): postpone next phase change by one day push_by_one_day
   * [`set_phase_duration`](https://github.com/encointer/pallets/blob/91cbd7c9c0d47c4a80c096d3b2b501625a6bb724/scheduler/src/lib.rs#L173): adjust ceremony schedule phase durations
   * [`set_next_phase_timestamp`](https://github.com/encointer/pallets/blob/91cbd7c9c0d47c4a80c096d3b2b501625a6bb724/scheduler/src/lib.rs#L184): arbitrarily define the time for next phase change
* Manage communities
   * [`new_community`](https://github.com/encointer/pallets/blob/91cbd7c9c0d47c4a80c096d3b2b501625a6bb724/communities/src/lib.rs#L76): Register new communities
   * [`add_location`](https://github.com/encointer/pallets/blob/91cbd7c9c0d47c4a80c096d3b2b501625a6bb724/communities/src/lib.rs#L143): add meetup location for community
   * [`remove_location`](https://github.com/encointer/pallets/blob/91cbd7c9c0d47c4a80c096d3b2b501625a6bb724/communities/src/lib.rs#L189): remove meetup location for community
   * [`update_community_metadata`](https://github.com/encointer/pallets/blob/91cbd7c9c0d47c4a80c096d3b2b501625a6bb724/communities/src/lib.rs#L214): change name, currency, artwork IPFS cid for community
   * [`update_demurrage`](https://github.com/encointer/pallets/blob/91cbd7c9c0d47c4a80c096d3b2b501625a6bb724/communities/src/lib.rs#L238): change how fast balances are demurraged per community
   * [`update_nominal_income`](https://github.com/encointer/pallets/blob/91cbd7c9c0d47c4a80c096d3b2b501625a6bb724/communities/src/lib.rs#L258): the amount of basic income per ceremony per person per community
   * [`set_min_solar_trip_time_s`](https://github.com/encointer/pallets/blob/91cbd7c9c0d47c4a80c096d3b2b501625a6bb724/communities/src/lib.rs#L279): security parameter to calculate minimal location distance
   * [`set_max_speed_mps`](https://github.com/encointer/pallets/blob/91cbd7c9c0d47c4a80c096d3b2b501625a6bb724/communities/src/lib.rs#L289): security parameter defining the maximal speed over ground of an adversary
   * [`purge_community`](https://github.com/encointer/pallets/blob/91cbd7c9c0d47c4a80c096d3b2b501625a6bb724/communities/src/lib.rs#L299): Remove a community by from the registry entirely, wiping all balances, reputation and locations
* Manage Ceremony Parameters and Memory
   * [`set_inactivity_timeout`](https://github.com/encointer/pallets/blob/91cbd7c9c0d47c4a80c096d3b2b501625a6bb724/ceremonies/src/lib.rs#L386): define how many ceremonies a community can be idle before getting purged
   * [`set_endorsement_tickets_per_bootstrapper`](https://github.com/encointer/pallets/blob/91cbd7c9c0d47c4a80c096d3b2b501625a6bb724/ceremonies/src/lib.rs#L396): define how many endorsement tickets bootstrappers should get to invite people they trust
   * [`set_reputation_lifetime`](https://github.com/encointer/pallets/blob/91cbd7c9c0d47c4a80c096d3b2b501625a6bb724/ceremonies/src/lib.rs#L396): define how long proof-of-personhood reputation is valid for and stored
   * [`set_meetup_time_offset`](https://github.com/encointer/pallets/blob/91cbd7c9c0d47c4a80c096d3b2b501625a6bb724/ceremonies/src/lib.rs#L396): finetune meetup time difference to high sun
   * [`purge_community_ceremony`](https://github.com/encointer/pallets/blob/f37679a922a675f7a98a9006704d32fe6c3874ec/ceremonies/src/lib.rs#L451): garbage collect outdated reputation if necessary due to parameter changes
   * [`set_time_tolerance`](https://github.com/encointer/pallets/blob/1d52b0775471270bbcb42686f02555d5367aa68f/ceremonies/src/lib.rs#L452) set how precisely the meetup time needs to be attested to be considered valid
   * [`set_location_tolerance`](https://github.com/encointer/pallets/blob/1d52b0775471270bbcb42686f02555d5367aa68f/ceremonies/src/lib.rs#L464) set how precisely the meetup location needs to be attested to be considered valid
* Manage Currency/Fee Parameters
   * [`setFeeConversionFactor`](https://github.com/encointer/pallets/blob/1d52b0775471270bbcb42686f02555d5367aa68f/balances/src/lib.rs#L104) tune community currency extrinsic fees relative to KSM fees and community income

* Treasury
   * [accept / reject treasury spend proposals](https://github.com/encointer/encointer-parachain/pull/100) (the treasury receives KSM fees for extrinsics plus potential donations

In the beginning, onboarding of new communites will be permissioned, subject to the Encointer Association's approval. The team sees no other way to avoid bot communities squatting the earth's surface. Over time, a web-of-trust will build and new communities can be onboarded by endorsement of other communites


Encointer seeks for financing of its planned activities for the remaining time of its current common-good parachain lease, split into two proposals. The current proposal shall cover the funding until the end of September 2022. 

The amount of the proposed treasury spend is **CHF 340’000**.

Encointer has onboarded as a common good parachain on Kusama on Jan 9th 2022. In May 2022, a first real community in Zurich was launched and has steadily grown to 130 users within 40 days doing almost 800 transactions in community currency. More communities are in preparation currently

The main focus of Encointer is currently:

* to grow its Zurich community in order to prove the viability of its protocol and implementation as well as its economics with a pioneer community.
* to onboard new communities around the world, especially in less developed regions in order to follow its vision.
* to integrate with other parachains in the DotSama ecosystem for sybil-defense and one-person-one-vote democracy.

So far, Encointer was able to finance its past activities mostly thanks to the appreciation of the DOT and KSM tokens it received as web3 or DOT/KSM treasury grants. The association was also able to collect private donations and significant amounts of work were provided pro bono. Encointer’s financial strategy has been to keep around 70% of its capital in DOT and KSM which proved to be a good strategy so far, as our detailed numbers will show below. Due to recent market corrections, however, the runway of Encointer has dramatically decreased and Encointer can currently only maintain its current activity (development, operation, marketing, community building) for ~2 more months.  As a common-good, Encointer has no way to promise any return on investment, so the project relies on grants and donations.

See our [Proposal with full details](https://docs.google.com/document/d/1eTyZGCTCzo7ZGonVtAmJmc5QYYI0qYHab6z8w56B_F0/edit?usp=sharing)



Encointer Growth Treasury Proposal

After  Launching its first community in Mai 2022, The Encointer team was able to gather a lot of experience how the protocol can be improved for better growth possibilities and user experience. Moreover, a minor attack vector has been discovered and [one critical bug](https://github.com/encointer/encointer-parachain/issues/138) needs fixing through runtime upgrade that has only been fixed through a workaround currently.

Please find the release notes along with the srtool build here:
[https://github.com/encointer/encointer-parachain/releases/tag/1.2.0](https://github.com/encointer/encointer-parachain/releases/tag/1.2.0)

## Changelog

### relevant for communities
* allow reward payout immediately after ceremony in happy flow cases [#233](https://github.com/encointer/pallets/pull/233)
* allow registering for next ceremony already during attesting phase [#224](https://github.com/encointer/pallets/pull/224)
* make meetup validation more tolerant of real-life failures [#232](https://github.com/encointer/pallets/pull/232)
* allow anyone to trigger reward issuance for a meetup, not only assignees (free of charge) [#244](https://github.com/encointer/pallets/pull/244)
* endorsement possible after registration [#202](https://github.com/encointer/pallets/pull/202)
* add `transfer_all` extrinsic [#223](https://github.com/encointer/pallets/pull/223)
* add more events for better accounting [#234](https://github.com/encointer/pallets/pull/234)

### deep-tech changes
* refactor meetup validation to fix possible attacks [#221](https://github.com/encointer/pallets/pull/221)
* [future-feature] allow simplified attestations (no strict need for QR code signing anymore) [#231](https://github.com/encointer/pallets/pull/231)
* dependency upgrade to polkadot-0.9.24

### bugfixes:
* fix bogus garbage collection of active communities [#241](https://github.com/encointer/pallets/pull/241)
* fix reputation caching by node rpc [#245](https://github.com/encointer/pallets/pull/245)

## Testing

The most invasive changes have been successfully tested on our Testnet Gesell during our demo at decoded 22

Testing pallets on Testnet Gesell (solo) [completed](https://github.com/encointer/encointer-node/issues/240)

Testing on Testnet Lietaer (rococo) [completed](https://github.com/encointer/encointer-parachain/issues/141)

## Update Process

As a common-good parachain, Encointer runtime can only be upgraded through Kusama governance. It is important that the runtime upgrade happens during the registering phase of Encointer's ceremony lifecycle. We will therefore submit a preimage later this week and propose a referendum to be timed with support of the Kusama's technical committee such that the enactment happens during the desired range of days.

Best option: Enactment between Aug 4th and 9th

Fallback: Enactment between 14th and 19th

## Preimage

[runtime V8 srtool deterministic build](https://github.com/encointer/encointer-parachain/releases/download/1.2.0/encointer_runtime-v8.compact.compressed.wasm) hash: `58ebd7242e71cdd0b2942d4bf14c6e865a394cce5aa9ddd8272dd7adb889f18f`

parachainSystem.autorizeUpdate encoded call data on Encointer parachain
`0x01026857f609068cf38a8fa84ce18ca06429bb2de870618e98be24f6c2f16d1b95fa`

encoded proposal on Kusama: `0x630001000100a50f01060200ca9a3b0000000088010258ebd7242e71cdd0b2942d4bf14c6e865a394cce5aa9ddd8272dd7adb889f18f`

preimage hash: `0x5af45b3b80210579bb07a417984735e907e95856f31060efe33d29fcf4c639c6`

[Registered preimage](https://kusama.subscan.io/extrinsic/13743150-4)



Encointer's common good lease will run out on Dec 12th 2022.

Based on the following progress reports, we ask the community to appreciate our work done so far and grant us another 48 weeks

1. Our recent [treasury proposal](https://docs.google.com/document/d/1eTyZGCTCzo7ZGonVtAmJmc5QYYI0qYHab6z8w56B_F0) includes a detailed report on what we have achieved until June 2022 and what our plans are for the future
2. Our [delivery report](https://kusama.polkassembly.io/motion/510#3f6f0d94-639f-49ec-a0ee-1f4ace1a37c8) on above treasury grant updates the information with achievements in the June-Sept 2022 period

We think Encointer has achieved a lot and is gaining momentum, both with its [pioneer community in Zurich](https://leu.zuerich/), but also with [newly launching communities worldwide](https://trello.com/b/1Yhln6NT/encointer-community-leader-applications). 

Our original argumentation for common good is still valid and can be found [here](https://kusama.polkassembly.io/post/610). What we'd like to add to our value proposition of pure sybil resistance is our approach for [inclusivity](https://polkadot.network/blog/introducing-encointer-making-web3-truly-inclusive/) which has resonated well in  the community.

The initial passed referendum to register Encointer as common good is [here](https://kusama.polkassembly.io/referendum/158)

While the Encointer team is aiming to diversify its funding sources, support by the Kusama treasury will be necessary for the upcoming period to continue working at the current pace. Therefore, we will submit our next treasury proposal soon.

Preimage hash: `0x3249b18124aab52cd632f6759c7e46e10bac60b6f3411247e92b44babc67fd41`

![preimage](https://i.ibb.co/L1jJcwk/Capture-2.png)

We are looking forward to discuss our common good claim here with the community

Encointer seeks for financing of its planned activities for the remaining time of its current common-good parachain lease, split into two proposals. The first part of the funding has already passed as [Motion 510](https://kusama.polkassembly.io/motion/510). The current proposal is the second of two and shall cover the funding from beginning of October to the end of December 2022. Encointer’s common good lease lasts until end of lease period 25, which is currently expected by Dec 12th 2022. Please also consider our [request for common good lease renewal](https://kusama.polkassembly.io/post/1900)

The amount of the proposed treasury spend is CHF 257’500 = **USD 261'491** 

Encointer has onboarded as a common good parachain on Kusama on Jan 9th 2022. Please find our earlier progress reports here:
1. Our recent [treasury proposal](https://docs.google.com/document/d/1eTyZGCTCzo7ZGonVtAmJmc5QYYI0qYHab6z8w56B_F0) includes a detailed report on what we have achieved until June 2022 and what our plans are for the future
2. Our [delivery report](https://kusama.polkassembly.io/motion/510#3f6f0d94-639f-49ec-a0ee-1f4ace1a37c8) on above treasury grant updates the information with achievements in the June-Sept 2022 period
 
The main focus of Encointer is currently:

* to grow its Zurich community in order to prove the viability of its protocol and implementation as well as its economics with a pioneer community.
* to onboard new communities around the world, especially in less developed regions in order to follow its vision.
* to integrate with other parachains in the DotSama ecosystem for sybil-defense, inclusivity and one-person-one-vote democracy.

As a common-good, Encointer has no way to promise any return on investment, so the project relies on grants and donations.

See our [Proposal with full details](https://docs.google.com/document/d/18J6qN0vRNjCpII4BAgitjav0O2JbgV6vCvsKfdQGkFg/edit#heading=h.3mhoboeg6pv8)



Encointer Growth Treasury Proposal 2/2

Encointer has a new code upgrade which
* allows participants to unregister from ceremony cycles. This will help us decrease noshows and increase security by doing so
* allows reputables to endorse newbies. This is a massive improvement for growth. Before, only bootstrappers could endorse a one-off amount of newbies. Now, everybody that has recently proven their personhood can endorse a small number (~2-5, TBD) of newbies with every cycle. This is very much in line with the "word of mouth" growth strategy 
* upgrades our dependencies to polkadot-0.9.28

Detailed changes to our [runtime](https://github.com/encointer/encointer-parachain/compare/1.2.0...1.3.2) and to our [pallets](https://github.com/encointer/pallets/compare/1.2.0...1.3.2)


[runtime release v12 in our GH repository](https://github.com/encointer/encointer-parachain/releases/tag/1.3.2)

# OpenGov Theory

We would like our runtime upgrade to be whitelisted by the fellowship. As a common good parachain we can't upgrade ourselves and the runtime upgrade needs a knowledgeable review which the fellowship is able to provide. It would be possible to submit to the root track directly, but that is expected to take too long to be practical (~28d) because of very restricitive support thresholds.

The gov2 process in pseudocode for sending a whitelisted XCM with Superuser origin is as follows:

```
// The actual proposal to enact. (no need to note this as a preimage)
let proposal = xcmPallet.send(...);

// Whitelist the `proposal` for dispatch from `WhitelistedCaller`.
let whitelistProposal = whitelist.whitelistCall(hash: hash(proposal));
let preimageWL = preimage.notePreimage(whitelistProposal);

// Whitelists the `proposal` from the Fellowship. 
// This has to be submitted by any member of felllowship (No matter the rank)
let fellowshipReferendum = fellowshipReferenda.submit(
  proposalOrigin: Origins.Fellowship3Dan,
  proposal: Lookup {
    hash: preimageWL.hash, 
    len: preimageWL.len
  },
  ...
);

// Now the fellowship has to vote.....

// The following public referendum can already start. However, the proposal must be whitelisted before the public referendum is enacted

// Dispatch the `proposal` from `WhitelistedCaller`.
let dispatchProposal = dispatchWhitelistedCallWithPreimage(
  call: proposal,
);
let preimageD = preimage.notePreimage(dispatchProposal)

// Dispatches the proposal as long as it has been whitelisted before enacted.
let publicReferendum = referenda.submit(
  proposalOrigin: Origins.WhitelistedCaller,
  proposal: Lookup {
    hash: preimageD.hash,
    len: preimageD.len
  },
  ...
);
```

# Practise

## The call to be executed on the Encointer parachain with root privilege

[authorizeUpgrade call on Encointer](https://polkadot.js.org/apps/?rpc=wss%3A%2F%2Fkusama.api.encointer.org#/extrinsics/decode/0x0102ccdfc804e0482f951ef7ad15fda0d38ead81c42e93a8276e60a45c663b8a3b91
)

## the proposal

[proposal call xcmPallet.send to be executed on Kusama](https://polkadot.js.org/apps/?rpc=wss%3A%2F%2Fkusama.api.onfinality.io%2Fpublic-ws#/extrinsics/decode/0x630001000100a50f0204060202286bee880102ccdfc804e0482f951ef7ad15fda0d38ead81c42e93a8276e60a45c663b8a3b91
) yields hash `0x7776194086d1496a812cb61670080157d2f511cbcbaafddd44ff248a753788e7`

## whitelisting by fellowship

[whitelistProposal](https://polkadot.js.org/apps/?rpc=wss%3A%2F%2Fkusama.api.onfinality.io%2Fpublic-ws#/extrinsics/decode/0x2c007776194086d1496a812cb61670080157d2f511cbcbaafddd44ff248a753788e7) encodes to `0x2c007776194086d1496a812cb61670080157d2f511cbcbaafddd44ff248a753788e7`

[note preimageWL](https://polkadot.js.org/apps/?rpc=wss%3A%2F%2Fkusama.api.onfinality.io%2Fpublic-ws#/extrinsics/decode/0x2000882c007776194086d1496a812cb61670080157d2f511cbcbaafddd44ff248a753788e7)

preimageWL hash =  `0xb98f987a58c1cda0cb8b8fd07d441e2e5b67a809742e6eb3bd2ec5f2976cb29c` len = 34
has been noted 

Now, propose to fellowship 

[submit fellowship referendum](https://polkadot.js.org/apps/?rpc=wss%3A%2F%2Fkusama.api.onfinality.io%2Fpublic-ws#/extrinsics/decode/0x17002b1402b98f987a58c1cda0cb8b8fd07d441e2e5b67a809742e6eb3bd2ec5f2976cb29c2200000001f9c9ed00) (must be submitted by member of fellowship. decision deposit is 0.333 KSM)

The decision period for the fellowship whitelist referendum [is 7 days](https://github.com/paritytech/polkadot/blob/bc65cf22a359859c20bc4aae94bcffad1846d5b6/runtime/kusama/src/governance/fellowship.rs#L112-L130)

## public referendum

propose to dispatch the whitelisted call

[dispatchProposal](https://polkadot.js.org/apps/?rpc=wss%3A%2F%2Fkusama.api.onfinality.io%2Fpublic-ws#/extrinsics/decode/0x2c03630001000100a50f0204060202286bee880102ccdfc804e0482f951ef7ad15fda0d38ead81c42e93a8276e60a45c663b8a3b91) encodes to `0x2c03630001000100a50f0204060202286bee880102ccdfc804e0482f951ef7ad15fda0d38ead81c42e93a8276e60a45c663b8a3b91`

[note preimageD](https://polkadot.js.org/apps/?rpc=wss%3A%2F%2Fkusama.api.onfinality.io%2Fpublic-ws#/extrinsics/decode/0x2000d42c03630001000100a50f0204060202286bee880102ccdfc804e0482f951ef7ad15fda0d38ead81c42e93a8276e60a45c663b8a3b91)

hash = `0xd394967583efb9b8fe1dd4ad84d3bcb7c5382cae19319b2cfc1682e227ce76d3` len = 53

*not yet executed:* 

[publicReferendum submission](https://polkadot.js.org/apps/?rpc=wss%3A%2F%2Fkusama.api.onfinality.io%2Fpublic-ws#/extrinsics/decode/0x15002b0d02d394967583efb9b8fe1dd4ad84d3bcb7c5382cae19319b2cfc1682e227ce76d33500000001c4caed00) (may be submitted by proposer. Must have submission deposit of 100KSM)

Then, the decision deposit of 33.333 k KSM :lol: must be provided (can be a different party providing it)




Encointer runtime upgrade v12

This is the second of two planned treasury proposals for the current lease of the Encointer common-good parachain. The first share for Q1 and Q2 2023 had been [approved](https://kusama.polkassembly.io/treasury/235) by Kusama OpenGov in Dec 2022.

Since the previous proposal, significant changes have occurred around Kusama's Treasury. The implementation of OpenGov resulted in unsustainable spending levels, leading to a restrictive voter backlash aimed at safeguarding the remaining funds in the KSM Treasury. Considering the remaining funds available, Encointer recognizes the need to adapt its funding strategy. Instead of solely proposing to the KSM Treasury, we will now extend our proposals to the DOT Treasury as well, supported by the assertion that Encointer benefits not only Kusama but the entire Dotsama ecosystem. As DOT treasury proposals experience congestion and OpenGov is soon to be implemented on Polkadot, it is imperative to secure uninterrupted funding for our team and prevent any disruptive downramp-upramp scenarios. Therefore, we propose the following measures:
1. This proposal to the KSM treasury shall cover our expenses for July and Aug 2023
2. As soon as OpenGov lands on Polkadot, we shall submit a proposal to the 
DOT treasury to cover our expenses from Sept onwards

**The amount of the proposed spend (1.) is CHF 213’000 ≃ USD 234’000**

A growing part of KSM voters is in favor of **retroactive funding** by the treasury. Encointer claims that enforcing retroactive funding for common goods has significant downsides: Asking teams to front the costs themselves in cases where there is no return on investment will keep those teams small and impacts low. Besides Encointer’s established track record, we’d like to emphasize that the founder of Encointer, Alain Brenzikofer, has worked for Encointer without pay from the beginning, which amounts to well above a person-year by now. So, if you insist on retroactive funding, please consider approving this proposal on the grounds of Alain’s pre-investment. 

[Detailed proposal Document](https://docs.google.com/document/d/1lUVpmTjE81_rwBR38H80rSiwYd3eoPZHE6TGykwlsSo/edit?usp=sharing)


Encointer Lease2 Treasury Proposal 2/2

Encointer has a new runtime upgrade ready with new features:
Release 1.5.0 for runtime v15:&nbsp;<a href="https://github.com/encointer/encointer-parachain/releases/tag/1.5.0">https://github.com/encointer/encointer-parachain/releases/tag/1.5.0</a>
<ul>
<li>add <a href="https://book.encointer.org/tutorials-faucets.html">faucet</a> functionality</li>
<li>add reputation commitments for <a href="https://forum.polkadot.network/t/a-privacy-preserving-proof-of-personhood-certificate/2756">personhood oracle</a></li>
<li>this runtime is built on polkadot-v0.9.42</li>
<li>Changes since v12: <a href="https://github.com/encointer/encointer-parachain/compare/1.3.2&hellip;1.5.0">https://github.com/encointer/encointer-parachain/compare/1.3.2&hellip;1.5.0</a></li>
</ul>
<h3>proposed call</h3>
<a href="https://polkadot.js.org/apps/?rpc=wss%3A%2F%2Fkusama.api.encointer.org#/extrinsics/decode/0x0102dfcb7cf28fa3d9af8810d0aec33d2b8e1d5a7164cc7b33d1cab7e7282bd73689">authorizeUpgrade call on Encointer</a>:
`0x0102dfcb7cf28fa3d9af8810d0aec33d2b8e1d5a7164cc7b33d1cab7e7282bd73689`
<a href="https://polkadot.js.org/apps/?rpc=wss%3A%2F%2Fkusama.api.onfinality.io%2Fpublic-ws#/extrinsics/decode/0x630001000100a50f0204060202286bee880102dfcb7cf28fa3d9af8810d0aec33d2b8e1d5a7164cc7b33d1cab7e7282bd73689">xcmPallet.send call on Relaychain</a>:
`0x630001000100a50f0204060202286bee880102dfcb7cf28fa3d9af8810d0aec33d2b8e1d5a7164cc7b33d1cab7e7282bd73689`
yields hash: `0x0dcf106a853eab01d26ed6fcd74fa5aff89f503fdc25495e304bbb52fedbfefa`
Using Joe's <a href="https://github.com/joepetrowski/opengov-cli#submit-a-referendum-on-kusama">opengov-cli</a>
`./target/release/opengov-cli submit-referendum --proposal 0x630001000100a50f0204060202286bee880102dfcb7cf28fa3d9af8810d0aec33d2b8e1d5a7164cc7b33d1cab7e7282bd73689 --network "kusama" --track "whitelistedcaller" --after "10"` --no-batch
we get
Submit the preimage for the Fellowship referendum: <a href="https://polkadot.js.org/apps/?rpc=wss%3A%2F%2Fkusama-rpc.polkadot.io#/extrinsics/decode/0x2000882c000dcf106a853eab01d26ed6fcd74fa5aff89f503fdc25495e304bbb52fedbfefa">https://polkadot.js.org/apps/?rpc=wss%3A%2F%2Fkusama-rpc.polkadot.io#/extrinsics/decode/0x2000882c000dcf106a853eab01d26ed6fcd74fa5aff89f503fdc25495e304bbb52fedbfefa</a>
yields preimage hash: `0xe5a56f481921e1c4ae9769eb10f849998898dda6a52273e63fed39e49c8fc5ec`
The following call must be signed by a member of fellowship:
Open a Fellowship referendum to whitelist the call: <a href="https://polkadot.js.org/apps/?rpc=wss%3A%2F%2Fkusama-rpc.polkadot.io#/extrinsics/decode/0x17002b0f02e5a56f481921e1c4ae9769eb10f849998898dda6a52273e63fed39e49c8fc5ec22000000010a000000">https://polkadot.js.org/apps/?rpc=wss%3A%2F%2Fkusama-rpc.polkadot.io#/extrinsics/decode/0x17002b0f02e5a56f481921e1c4ae9769eb10f849998898dda6a52273e63fed39e49c8fc5ec22000000010a000000</a>
Submit the preimage for the public referendum: <a href="https://polkadot.js.org/apps/?rpc=wss%3A%2F%2Fkusama-rpc.polkadot.io#/extrinsics/decode/0x2000d42c03630001000100a50f0204060202286bee880102dfcb7cf28fa3d9af8810d0aec33d2b8e1d5a7164cc7b33d1cab7e7282bd73689">https://polkadot.js.org/apps/?rpc=wss%3A%2F%2Fkusama-rpc.polkadot.io#/extrinsics/decode/0x2000d42c03630001000100a50f0204060202286bee880102dfcb7cf28fa3d9af8810d0aec33d2b8e1d5a7164cc7b33d1cab7e7282bd73689</a>
Open a public referendum to dispatch the call: <a href="https://polkadot.js.org/apps/?rpc=wss%3A%2F%2Fkusama-rpc.polkadot.io#/extrinsics/decode/0x15002b0d022cc4f0ccb5085c999c3ab8345b06cdc9f22536b62fd822bb25ab3e9868c4f4aa35000000010a000000">https://polkadot.js.org/apps/?rpc=wss%3A%2F%2Fkusama-rpc.polkadot.io#/extrinsics/decode/0x15002b0d022cc4f0ccb5085c999c3ab8345b06cdc9f22536b62fd822bb25ab3e9868c4f4aa35000000010a000000</a>
&nbsp;
&nbsp;

Encointer runtime upgrade to v15

We ask the Kusama Treasury for&nbsp;CHF 89&rsquo;000 ≃ USD 103&rsquo;240 ≃ 2706 KSM for the period Sep-Dec 2023 (4 mt)
<span style="font-family: Poppins, sans-serif; font-size: 14px; font-style: normal; font-variant-ligatures: normal; font-variant-caps: normal; font-weight: 400; letter-spacing: normal; orphans: 2; text-align: start; text-indent: 0px; text-transform: none; widows: 2; word-spacing: 0px; -webkit-text-stroke-width: 0px; white-space: normal; text-decoration-thickness: initial; text-decoration-style: initial; text-decoration- display: inline !important; float: none;">The <a href="https://encointer.org/">Encointer</a> team has scaled down significantly after rejected proposals on Polkadot but continues to deliver:
work done:
<ul>
<li>Conceptualize a <a href="https://forum.polkadot.network/t/towards-encointer-self-sustainability/4195/1">self-sustainable economy</a> which can plausibly be reached within few years.</li>
<li>integrate<a href="https://github.com/polkadot-fellows/runtimes/pull/80"> encointer runtime into fellowship repository (RFC22)</a></li>
<li>stabilize and refactor Encointer mobile app to use <a href="https://github.com/leonardocustodio/polkadart">PolkaDart</a></li>
<li>grow Nyota community in Tanzania</li>
<li>prepare community in Puerto Madryn, Argentina</li>
<li>establish an association of acceptance points in Zurich to grow the network and close economic cycles</li>
</ul>

outlook:
<ul>
<li>with a minimal but powerful team we aim to keep the Encointer parachain running and well-maintained</li>
<li>we aim to focus on supporting and growing the global south communities where our tech promises the biggest impact at low costs</li>
</ul>

<a href="https://docs.google.com/document/d/1ep0MCQDMr--1y5CSYkIKS09oRwnnuyusDfH2S0j6oCw/edit?usp=sharing">Full Proposal Document</a>

Encointer Retroactive Funding for Sep-Dec 2023

Encointer aims to become a common-good parachain on Kusama. This post shall make a case for granting Encointer the privilege of a system-parachain slot.

# Why is Encointer a Common Good?

As a not-for-profit endeavor, Encointer does not fit the Kusama parachain crowdloan model. Parachain crowdloans rely on DOT holders to lend their DOT. They do so for a financial incentive exceeding their opportunity costs for disclaiming their right to stake DOT on the relay chain. Encointer cannot offer such an incentive as there is no revenue model and if there were one it would inevitably conflict with Encointer's goal to reduce inequality globally. 

Learn more about Encointer's vision to reduce inequality:

[Encointer ELI5 video (3min)](https://youtu.be/80SdkjtHcr4)

We believe an Encointer parachain is of common interest to the Kusama and Polkadot ecosystem because it offers a sybil defense mechanism and a basis for democracy.

# Value Proposition: Sybil Defense

Encointer is a _unique identity system_ and solves one of Vitalik Buterin's [hard problems in cryptocurrency](https://github.com/ethereum/wiki/wiki/Problems/89fd07ffff8b042134e4ca67a0ce143d574016bd#metrics). The Encointer protocol ([whitepaper](https://github.com/encointer/whitepaper/raw/master/encointer_whitepaper.pdf)) enables every human to maintain a unique proof of personhood (uPoP) through pseudonym key-signing parties.

Among its contenders ([Idena](https://idena.io/), [BridghtId](https://www.brightid.org/), [Trustlines](https://trustlines.network/), [CirlesUBI](https://joincircles.net/)), Encointer claims to have the most secure sybil defense mechanism. It requires physical participation at concurrent key signing meetups with randomized participants in randomized locations within a limited region in regular intervals. If the majority of a community is honest, there can be no sybils. Other projects use social graph approaches or randomized bilateral video chats which may be less involved and more inclusive - but also less secure.

Encointer also goes to great lengths to [protect your privacy](https://book.encointer.org/ssi.html#privacy-considerations) - which is even more important if you can only maintain _one_ _single_ _unique_ identity.

See our [Sybil-defense DEMO video (6min)](https://youtu.be/Fw2dalJO1hM)

## Democracy

Kusama is governed by free-market capitalism. Who has more coin has more say, or: who has _more to loose_ has more say. For many financial applications this might be a sound governance design. But there are other applications where we require democratic governance, where every human should have one vote. Such applications are:
- Self-sovereign identiy
- Reputation systems
- Decision making on off-chain matters, not represented by on-chain token holdings
- Global commons governance (human rights, fighting climate change, nuclear disarmament, AI and bioengineering regulations. (See [GloCo](https://www.gloco.ch/))

Encointer enables online democracy - on a local to global scale.

## Airdrops

Encointer itself leverages its uPoP sybil defense for issuing a universal basic income to every human. Other platforms may want to use uPoP for their token airdrops or faucets.

# Native Token, Fees and Financing of operation

As a _common good parachain_, Encointer does not seek to have its own native token.

Encointer will use DOT/KSM as its native token. Transaction fees will be charged in DOT/KSM and will be collected in Encointer's treasury to be spent on infrastructure maintenance and protocol improvements.

Encointer will take measures to adjust fees to mitigate the volatility of DOTs and ensure inclusion of the global south. Midterm, purchasing-power adjusted fees are planned to be used on [SubstraTEE sidechains](https://polkadot.polkassembly.io/post/111) where participants pay fees in their local currency in a reasonable relation to their basic income in such currency. As soon as this is established, parachain fees will only be paid by sidechain validators and 3rd party parachains requesting sybil-defense, not by Encointer community members anymore.

Encointer doesn't plan to rely on Kusama Treasury funding. Depending on circumstances and adoption rates, we might propose treasury spending if needed to fulfill Encointer's purpose.

# Governance

The Encointer parachain will feature a similar [governance design like Kusama](https://polkadot.network/polkadot-governance/). However, decision making will be based on democratic voting instead of coin voting. Every person participating in Encointer ceremonies regularly will have one vote to elect council members or vote on referenda.

During an initial phase, the [Swiss Encointer Association](https://encointer.org/about/) will define the set of trusted communities whose members will be allowed to vote with equal power. Over time, an unpermissioned web-of-trust will evolve based on inter-community attestations and trade.

Certain governing rights touching Kusama Ecosystem Stakeholders' interests may be delegated to the Kusama Relay Chain Council.

Encointer governance is designed to be subsidiary: Decisions are taken at the lowest possible level.

1. Decisions regarding one local community (like demurrage rate, UBI nominal value a.s.o) are voted on **democratically by community members**
2. Decisions regarding the Encointer ecosystem globally (like ceremony schedule, community reputation system) are made by the **Encointer Council** (with the option of a public referendum, like Polkadot)
3. Decisions regarding the Kusama ecosystem (like sybil-defense design changes and respective fees) shall be made by **Kusama council / Relay-chain governance**

# Interoperability

Any third party application can register an application token on our parachain. Encointer ensures that every human can only claim a single account for that application for a certain time period.

Parachains can use Polkadot's XCMP to benefit from Encointer sybil defense. Off-Chain applications can use the Encointer Collator API.

## Polkadot and Kusama

Encointer aims to be deployed on both Polkadot and Kusama. It will synchronize the ceremony schedule on both parachains to ensure that meetups happen on both platform concurrently, ensuring compatibility of their sybil defense systems. It will also aim at bridging uPoP between the two.
Depending on technical developments and availability of bridging between Kusama and Polkadot, these plans may be adjusted in the future. What will remain unchanged is our ambition to provide sybil-defense on both Polkadot and Kusama.

# Timing

Due to the pandemic, plans to launch the first productive communities have been postponed, given the need to meet other people physically in proximity at Encointer ceremonies. The tech would be ready to be deployed, two testnets are constantly operated since early 2020.

Given the success of many countries to recover from the pandemic, we think summer 2021 would be a good time to launch our productive mainnet on Kusama

# Acknowledgements

We thank the 
* web3 foundation for their [grant](https://github.com/w3f/General-Grants-Program/blob/master/grants/accepted_grant_applications.md#surfing_woman-wave-5---first-quarter-2020) to develop our cantillon testnet
* Polkadot council for a treasury [grant for developing sybil-defense](https://polkadot.polkassembly.io/post/52)


Encointer application for a common good parachain slot

In order to move our [common good parachain proposal](https://kusama.polkassembly.io/post/610) forward, we have prepared a [treasury spend proposal for pre-launch maintenance](https://docs.google.com/document/d/1Hfofao18fZBK2XxLTZaYAougW2-_tB8UVsEUKVQi4n0/edit?usp=sharing) to become a first motion towards an Encointer common good parachain. 

This vote shall demonstrate the current opinion of the council on the common good nature of Encointer.

If the vote turns out in our favor, we will propose the pre-launch maintenance on-chain for the Kusama treasury. The exact timing of the slot shall be negotiated later.

Council Vote: Shall Encointer be granted a common good slot before slot 20?

We ask the Kusama Treasury for&nbsp;CHF 89&rsquo;000 ≃ USD 103&rsquo;240 ≃ 2706 KSM for the period Sep-Dec 2023 (4 mt)
<span style="font-family: Poppins, sans-serif; font-size: 14px; font-style: normal; font-variant-ligatures: normal; font-variant-caps: normal; font-weight: 400; letter-spacing: normal; orphans: 2; text-align: start; text-indent: 0px; text-transform: none; widows: 2; word-spacing: 0px; -webkit-text-stroke-width: 0px; white-space: normal; text-decoration-thickness: initial; text-decoration-style: initial; text-decoration- display: inline !important; float: none;">The <a href="https://encointer.org/">Encointer</a> team has scaled down significantly after rejected proposals on Polkadot but continues to deliver:
work done:
<ul>
<li>Conceptualize a <a href="https://forum.polkadot.network/t/towards-encointer-self-sustainability/4195/1">self-sustainable economy</a> which can plausibly be reached within few years.</li>
<li>integrate<a href="https://github.com/polkadot-fellows/runtimes/pull/80"> encointer runtime into fellowship repository (RFC22)</a></li>
<li>stabilize and refactor Encointer mobile app to use <a href="https://github.com/leonardocustodio/polkadart">PolkaDart</a></li>
<li>grow Nyota community in Tanzania</li>
<li>prepare community in Puerto Madryn, Argentina</li>
<li>establish an association of acceptance points in Zurich to grow the network and close economic cycles</li>
</ul>

&nbsp;

outlook:
<ul>
<li>with a minimal but powerful team we aim to keep the Encointer parachain running and well-maintained</li>
<li>we aim to focus on supporting and growing the global south communities where our tech promises the biggest impact at low costs</li>
</ul>

&nbsp;

<a href="https://docs.google.com/document/d/1ep0MCQDMr--1y5CSYkIKS09oRwnnuyusDfH2S0j6oCw/edit?usp=sharing">Full Proposal Document</a>
Appearance on <a href="https://twitter.com/TheKusamarian/status/1752037309413793928">AAG 102</a>

After its first year as a common good parachain, Encointer has been granted another 48 weeks on Kusama. The Encointer Association seeks for financing of its planned activities for the new common-good parachain lease period, split into two proposals. The current proposal shall cover the funding for Q1 and Q2 2023 (until the end of June 2023). 

The amount of the proposed treasury spend is CHF 610’000 = 22’089 KSM.

Our [**Detailed Proposal**](https://docs.google.com/document/d/173FnUyaemsHD9wnGMipZWnanO23yZUVhco55RxBXKBw#) encompasses all of:
1. What is Encointer?
2. What have we achieved so far?
3. What are we planning to do in 2023?
4. How we funded our past activities
5. What we spent our funds for in the past
6. What we plan to spend in 2023 (Budget)
7. Proposal terms


Encointer lease 2 Treasury Proposal

Encointer seeks for financing of its planned activities for the remaining time of its current common-good parachain lease, split into two proposals. The current proposal shall cover the funding until the end of September 2022. 

The amount of the proposed treasury spend is **CHF 340’000 = USD 350'892 = KSM 6271.63**.
*using [EMA50](https://kusama.subscan.io/tools/charts?type=price) and today's bid price for CHF*

Encointer has onboarded as a common good parachain on Kusama on Jan 9th 2022. In May 2022, a first real community in Zurich was launched and has steadily grown to 130 users within 40 days doing almost 800 transactions in community currency. More communities are in preparation currently

The main focus of Encointer is currently:

* to grow its Zurich community in order to prove the viability of its protocol and implementation as well as its economics with a pioneer community.
* to onboard new communities around the world, especially in less developed regions in order to follow its vision.
* to integrate with other parachains in the DotSama ecosystem for sybil-defense and one-person-one-vote democracy.

So far, Encointer was able to finance its past activities mostly thanks to the appreciation of the DOT and KSM tokens it received as web3 or DOT/KSM treasury grants. The association was also able to collect private donations and significant amounts of work were provided pro bono. Encointer’s financial strategy has been to keep around 70% of its capital in DOT and KSM which proved to be a good strategy so far, as our detailed numbers will show below. Due to recent market corrections, however, the runway of Encointer has dramatically decreased and Encointer can currently only maintain its current activity (development, operation, marketing, community building) for ~2 more months.  As a common-good, Encointer has no way to promise any return on investment, so the project relies on grants and donations.

See our [Proposal with full details](https://docs.google.com/document/d/1eTyZGCTCzo7ZGonVtAmJmc5QYYI0qYHab6z8w56B_F0/edit?usp=sharing)



Encointer proposes a treasury spend for the expenses of running its common good parachain on Kusama

[**detailed proposal**](https://docs.google.com/document/d/1Ev_7t8j3w9w12mTDbXme9LVgKWLwKkNYkByndScj4jA/edit?usp=sharing) covering:

* detailed expenses structure with sunk cost in Jan/Feb 2022
* transparency report on overall expenses in 2021
* brief roadmap

For general discussion on the common good parachain, please find [our application to become a gommon good parachain](https://kusama.polkassembly.io/post/610)

For updates on our progress, please refer to [our blog](https://encointer.org/blog/)

Do not miss our [vision piece for a more inclusive web3](https://polkadot.network/blog/introducing-encointer-making-web3-truly-inclusive/)

## Treasury Spend Summary
* ongoing cost of running the Encointer common good parachain **USD 27'300.-** for 3 months Jan-March 2022
* Subscan Indexing, **initially USD 15’000.-**

**total: USD 42'300.-**

## KSM rate used
[30day moving average](https://kusama.subscan.io/tools/charts?type=price) at the date of filing the proposal: 140.155 USD/KSM

Encointer is determined to launch its "mainnet" as a common good parachain on Kusama. This proposal is the next step and covers the preparation tasks and operation expenses to prepare for the onboarding.

Thanks to all the councillors who have already expressed their support for Encointer's ambition by casting their [off-chain vote](https://kusama.polkassembly.io/post/914) or letting us know privately.

* [proposal description, budget and roadmap](https://docs.google.com/document/d/1Hfofao18fZBK2XxLTZaYAougW2-_tB8UVsEUKVQi4n0/edit?usp=sharing)
* [In depth polkassembly discussion on the common good character of Encointer](https://kusama.polkassembly.io/post/610)
* [Kusama council town hall video recording](https://drive.google.com/file/d/1TSf1vfsA_O3wVhgmFa_Fw22vpuAmSIOY/view?usp=sharing)

# common good social contract

If you support this treasury proposal, you're also expressing your current support for Encointer to get a common good parachain slot:
* before slot 20 
* for 8 lease periods (Encointer communities grow slowly by design, so we need time to show impact)

Towards the end of our granted lease, the following shall be assessed to decide about extending the common good slot lease:
* Has Encointer implemented a viable solution with regard to its [whitepaper](https://arxiv.org/pdf/1912.12141.pdf)?
* Has a first pioneer community evolved into an active ecosystem where a growing number of participants is actively using Encointer currency?
* Has an integration with another parachain been demonstrated to provide sybil-defense?
* Is there an interest to launch more communities? How many communities have evolved and how active are they?
* Has the Encointer Association shown good governance and is there a plausible roadmap towards full decentralization?

# funds

The proposed treasury spend of 35'800 USD has been translated to KSM at today's 30d average on [subscan EMA30](https://kusama.subscan.io/tools/charts?type=price) of 364.947 USD

Encointer pre-launch expenses to become common good parachain

Encointer has a new bugfix release for its runtime
 <a href="https://github.com/encointer/encointer-parachain/releases/tag/1.5.1">release 1.5.1</a>, runtime spec version 16
&nbsp;
<ul>
<li>fix sufficients counting bug:
<a href="https://github.com/encointer/pallets/pull/345">PR pallets#345</a>
</li>
<li>fix cycle gathering assignment bug:&nbsp;
<a href="https://github.com/encointer/pallets/pull/346">PR pallets#346</a>
</li>
<li>
update to polkadot-v1.0.0 dependencies <a href="https://github.com/encointer/encointer-parachain/pull/194">PR #194</a>
</li>
<li>
allow Encointer council to set faucet reserve amount <a href="https://github.com/encointer/encointer-parachain/pull/197">PR #197</a>
</li>
</ul>
We would welcome swift upgrade because these bugs can lead to undesirable situations for members of Encointer communities, even if these bugs are not likely to occur in standard usage patterns.
Generating the calls for this referendum
<ol>
<li>Encointer parachain: authorizeUpgrade 0x010268b2b7197585341346ebb1851d85532ed31192d63f4f2059a0a2514cc186485300</li>
<li>relaychain: xcmPallet.send 0x630001000100a50f0204060202286bee8c010268b2b7197585341346ebb1851d85532ed31192d63f4f2059a0a2514cc186485300</li>
<li>call hash 0x1402ad75d10184d754f727fa72d7f7deb7d6012365641341bacba9dd6098ac05</li>
</ol>
./target/release/opengov-cli submit-referendum --proposal 0x630001000100a50f0204060202286bee8c010268b2b7197585341346ebb1851d85532ed31192d63f4f2059a0a2514cc186485300 --network "kusama" --track "whitelistedcaller" --after "10" --no-batch
Submit the preimage for the Fellowship referendum: <a href="https://polkadot.js.org/apps/?rpc=wss%3A%2F%2Fkusama-rpc.polkadot.io#/extrinsics/decode/0x2000882c001402ad75d10184d754f727fa72d7f7deb7d6012365641341bacba9dd6098ac05">encoded call</a>
<ul>
<li><a href="https://polkadot.js.org/apps/?rpc=wss%3A%2F%2Fkusama-rpc.polkadot.io#/explorer/query/0xa9d2f1e1b32efda221ae8175ea8217769ee04f9afc43a7de1e943b3e2dc512c4">executed</a></li>
</ul>
Open a Fellowship referendum to whitelist the call: <a href="https://polkadot.js.org/apps/?rpc=wss%3A%2F%2Fkusama-rpc.polkadot.io#/extrinsics/decode/0x17002b0f02e274c9326f75528c9a638beddfabc049fd5ac33d67eae6c828b27cac5e1f0e2722000000010a000000">encoded call</a>
<ul>
<li><a href="../member-referenda/49">https://kusama.polkassembly.io/member-referenda/49</a></li>
</ul>
Submit the preimage for the public referendum: <a href="https://polkadot.js.org/apps/?rpc=wss%3A%2F%2Fkusama-rpc.polkadot.io#/extrinsics/decode/0x2000d82c03630001000100a50f0204060202286bee8c010268b2b7197585341346ebb1851d85532ed31192d63f4f2059a0a2514cc186485300">encoded call</a>
<ul>
<li><a href="https://polkadot.js.org/apps/?rpc=wss%3A%2F%2Fkusama-rpc.polkadot.io#/explorer/query/0xb7bf3c32284f020ce31dac7e7d958421d5529fcb1d0e69161521d9bfd2895c5f">executed</a></li>
</ul>
Open a public referendum to dispatch the call: <a href="https://polkadot.js.org/apps/?rpc=wss%3A%2F%2Fkusama-rpc.polkadot.io#/extrinsics/decode/0x15002b0d022ba82999d966123c37ce48bd2c47559b27cd8a56f8cb2569ae18dfb75d34155d36000000010a000000">encoded call</a>
<ul>
<li><a href="https://polkadot.js.org/apps/?rpc=wss%3A%2F%2Fkusama-rpc.polkadot.io#/explorer/query/0x693e5a9bd6fdb1800b30233c5d3a4b3aa4c903e3ed2d017cb6448fb2e502a1c1">executed</a></li>
</ul>
&nbsp;
&nbsp;

Encointer runtime upgrade to v16

Encointer has a new runtime upgrade ready with new features:
Release 1.5.0 for runtime v15: <a href="https://github.com/encointer/encointer-parachain/releases/tag/1.5.0">https://github.com/encointer/encointer-parachain/releases/tag/1.5.0</a>
<ul>
<li>add faucet functionality</li>
<li>add reputation commitments for personhood oracle</li>
<li>this runtime is built on polkadot-v0.9.42</li>
<li>Changes since v12: <a href="https://github.com/encointer/encointer-parachain/compare/1.3.2&hellip;1.5.0">https://github.com/encointer/encointer-parachain/compare/1.3.2&hellip;1.5.0</a></li>
</ul>
&nbsp;
proposed call:&nbsp;authorizeUpgrade call on Encointer:
<code>0x0102dfcb7cf28fa3d9af8810d0aec33d2b8e1d5a7164cc7b33d1cab7e7282bd73689</code>
&nbsp;
for whitelisting referendum, see:&nbsp;
<a href="2597">https://kusama.polkassembly.io/post/2597</a>

Encointer runtime upgrade to v15 (whitelisted)

This is a resubmission of our runtime upgrade which has been whitelisted by fellowship already.
The resubmission is necessary because of several reasons:
1. [referendum 9](https://kusama.subsquare.io/referenda/referendum/9) would have enacted after 15M blocks instead of instantly
2. our joint [referendum 17](https://kusama.subsquare.io/referenda/referendum/17) with Statemine has been executed, but during that time, Encointer was no parachain because of:
3. [referendum 243](https://kusama.polkassembly.io/referendum/243) passed, but failed to execute due to transition to gov2. This was fixed in [referendum 25](https://kusama.subsquare.io/referenda/referendum/25)

So, now we are finally ready to execute our runtime upgrade with the help of the community voting in favor of this referendum.

## runtime upgrade v12

Encointer has a new code upgrade which
* allows participants to unregister from ceremony cycles. This will help us decrease noshows and increase security by doing so
* allows reputables to endorse newbies. This is a massive improvement for growth. Before, only bootstrappers could endorse a one-off amount of newbies. Now, everybody that has recently proven their personhood can endorse a small number (~2-5, TBD) of newbies with every cycle. This is very much in line with the "word of mouth" growth strategy 
* upgrades our dependencies to polkadot-0.9.28

Detailed changes to our [runtime](https://github.com/encointer/encointer-parachain/compare/1.2.0...1.3.2) and to our [pallets](https://github.com/encointer/pallets/compare/1.2.0...1.3.2)


[runtime release v12 in our GH repository](https://github.com/encointer/encointer-parachain/releases/tag/1.3.2)

## The call to be executed on the Encointer parachain with root privilege

[authorizeUpgrade call on Encointer](https://polkadot.js.org/apps/?rpc=wss%3A%2F%2Fkusama.api.encointer.org#/extrinsics/decode/0x0102ccdfc804e0482f951ef7ad15fda0d38ead81c42e93a8276e60a45c663b8a3b91
)

## the proposal

[proposal call xcmPallet.send to be executed on Kusama](https://polkadot.js.org/apps/?rpc=wss%3A%2F%2Fkusama.api.onfinality.io%2Fpublic-ws#/extrinsics/decode/0x630001000100a50f0204060202286bee880102ccdfc804e0482f951ef7ad15fda0d38ead81c42e93a8276e60a45c663b8a3b91
) yields hash `0x7776194086d1496a812cb61670080157d2f511cbcbaafddd44ff248a753788e7`

## whitelisting by fellowship

Has already passed and call `0x7776194086d1496a812cb61670080157d2f511cbcbaafddd44ff248a753788e7` has been whitelisted

## public referendum

propose to dispatch the whitelisted call

[dispatchProposal](https://polkadot.js.org/apps/?rpc=wss%3A%2F%2Fkusama.api.onfinality.io%2Fpublic-ws#/extrinsics/decode/0x2c03630001000100a50f0204060202286bee880102ccdfc804e0482f951ef7ad15fda0d38ead81c42e93a8276e60a45c663b8a3b91) encodes to `0x2c03630001000100a50f0204060202286bee880102ccdfc804e0482f951ef7ad15fda0d38ead81c42e93a8276e60a45c663b8a3b91`

[note preimageD](https://polkadot.js.org/apps/?rpc=wss%3A%2F%2Fkusama.api.onfinality.io%2Fpublic-ws#/extrinsics/decode/0x2000d42c03630001000100a50f0204060202286bee880102ccdfc804e0482f951ef7ad15fda0d38ead81c42e93a8276e60a45c663b8a3b91)

hash = `0xd394967583efb9b8fe1dd4ad84d3bcb7c5382cae19319b2cfc1682e227ce76d3` len = 53

[publicReferendum submission](https://polkadot.js.org/apps/?rpc=wss%3A%2F%2Fkusama.api.onfinality.io%2Fpublic-ws#/extrinsics/decode/0x15002b0d02d394967583efb9b8fe1dd4ad84d3bcb7c5382cae19319b2cfc1682e227ce76d3350000000164000000) 

which started this referendum


Encointer runtime upgrade v12 2nd try

Encointer has a new code upgrade which
* allows participants to unregister from ceremony cycles. This will help us decrease noshows and increase security by doing so
* allows reputables to endorse newbies. This is a massive improvement for growth. Before, only bootstrappers could endorse a one-off amount of newbies. Now, everybody that has recently proven their personhood can endorse a small number (~2-5, TBD) of newbies with every cycle. This is very much in line with the "word of mouth" growth strategy 
* upgrades our dependencies to polkadot-0.9.28

Detailed changes to our [runtime](https://github.com/encointer/encointer-parachain/compare/1.2.0...1.3.2) and to our [pallets](https://github.com/encointer/pallets/compare/1.2.0...1.3.2)


[runtime release v12 in our GH repository](https://github.com/encointer/encointer-parachain/releases/tag/1.3.2)

# OpenGov Theory

We would like our runtime upgrade to be whitelisted by the fellowship. As a common good parachain we can't upgrade ourselves and the runtime upgrade needs a knowledgeable review which the fellowship is able to provide. It would be possible to submit to the root track directly, but that is expected to take too long to be practical (~28d) because of very restricitive support thresholds.

The gov2 process in pseudocode for sending a whitelisted XCM with Superuser origin is as follows:

```
// The actual proposal to enact. (no need to note this as a preimage)
let proposal = xcmPallet.send(...);

// Whitelist the `proposal` for dispatch from `WhitelistedCaller`.
let whitelistProposal = whitelist.whitelistCall(hash: hash(proposal));
let preimageWL = preimage.notePreimage(whitelistProposal);

// Whitelists the `proposal` from the Fellowship. 
// This has to be submitted by any member of felllowship (No matter the rank)
let fellowshipReferendum = fellowshipReferenda.submit(
  proposalOrigin: Origins.Fellowship3Dan,
  proposal: Lookup {
    hash: preimageWL.hash, 
    len: preimageWL.len
  },
  ...
);

// Now the fellowship has to vote.....

// The following public referendum can already start. However, the proposal must be whitelisted before the public referendum is enacted

// Dispatch the `proposal` from `WhitelistedCaller`.
let dispatchProposal = dispatchWhitelistedCallWithPreimage(
  call: proposal,
);
let preimageD = preimage.notePreimage(dispatchProposal)

// Dispatches the proposal as long as it has been whitelisted before enacted.
let publicReferendum = referenda.submit(
  proposalOrigin: Origins.WhitelistedCaller,
  proposal: Lookup {
    hash: preimageD.hash,
    len: preimageD.len
  },
  ...
);
```

# Practise

## The call to be executed on the Encointer parachain with root privilege

[authorizeUpgrade call on Encointer](https://polkadot.js.org/apps/?rpc=wss%3A%2F%2Fkusama.api.encointer.org#/extrinsics/decode/0x0102ccdfc804e0482f951ef7ad15fda0d38ead81c42e93a8276e60a45c663b8a3b91
)

## the proposal

[proposal call xcmPallet.send to be executed on Kusama](https://polkadot.js.org/apps/?rpc=wss%3A%2F%2Fkusama.api.onfinality.io%2Fpublic-ws#/extrinsics/decode/0x630001000100a50f0204060202286bee880102ccdfc804e0482f951ef7ad15fda0d38ead81c42e93a8276e60a45c663b8a3b91
) yields hash `0x7776194086d1496a812cb61670080157d2f511cbcbaafddd44ff248a753788e7`

## whitelisting by fellowship

[whitelistProposal](https://polkadot.js.org/apps/?rpc=wss%3A%2F%2Fkusama.api.onfinality.io%2Fpublic-ws#/extrinsics/decode/0x2c007776194086d1496a812cb61670080157d2f511cbcbaafddd44ff248a753788e7) encodes to `0x2c007776194086d1496a812cb61670080157d2f511cbcbaafddd44ff248a753788e7`

[note preimageWL](https://polkadot.js.org/apps/?rpc=wss%3A%2F%2Fkusama.api.onfinality.io%2Fpublic-ws#/extrinsics/decode/0x2000882c007776194086d1496a812cb61670080157d2f511cbcbaafddd44ff248a753788e7)

preimageWL hash =  `0xb98f987a58c1cda0cb8b8fd07d441e2e5b67a809742e6eb3bd2ec5f2976cb29c` len = 34
has been noted 

Now, propose to fellowship 

[submit fellowship referendum](https://polkadot.js.org/apps/?rpc=wss%3A%2F%2Fkusama.api.onfinality.io%2Fpublic-ws#/extrinsics/decode/0x17002b1402b98f987a58c1cda0cb8b8fd07d441e2e5b67a809742e6eb3bd2ec5f2976cb29c2200000001f9c9ed00) (must be submitted by member of fellowship. decision deposit is 0.333 KSM)

The decision period for the fellowship whitelist referendum [is 7 days](https://github.com/paritytech/polkadot/blob/bc65cf22a359859c20bc4aae94bcffad1846d5b6/runtime/kusama/src/governance/fellowship.rs#L112-L130)

## public referendum

propose to dispatch the whitelisted call

[dispatchProposal](https://polkadot.js.org/apps/?rpc=wss%3A%2F%2Fkusama.api.onfinality.io%2Fpublic-ws#/extrinsics/decode/0x2c03630001000100a50f0204060202286bee880102ccdfc804e0482f951ef7ad15fda0d38ead81c42e93a8276e60a45c663b8a3b91) encodes to `0x2c03630001000100a50f0204060202286bee880102ccdfc804e0482f951ef7ad15fda0d38ead81c42e93a8276e60a45c663b8a3b91`

[note preimageD](https://polkadot.js.org/apps/?rpc=wss%3A%2F%2Fkusama.api.onfinality.io%2Fpublic-ws#/extrinsics/decode/0x2000d42c03630001000100a50f0204060202286bee880102ccdfc804e0482f951ef7ad15fda0d38ead81c42e93a8276e60a45c663b8a3b91)

hash = `0xd394967583efb9b8fe1dd4ad84d3bcb7c5382cae19319b2cfc1682e227ce76d3` len = 53

[publicReferendum submission](https://polkadot.js.org/apps/?rpc=wss%3A%2F%2Fkusama.api.onfinality.io%2Fpublic-ws#/extrinsics/decode/0x15002b0d02d394967583efb9b8fe1dd4ad84d3bcb7c5382cae19319b2cfc1682e227ce76d33500000001c4caed00) (may be submitted by proposer. Must have submission deposit of 100KSM)

Then, the decision deposit of 33.333 k KSM :lol: must be provided (can be a different party providing it)




One step towards: sybil-resilient faucets (on Encointer) for any fungible token (on Asset Hub) <a href="https://github.com/encointer/pallets/issues/311">Context and tracking issue</a> Moreover, this HRMP channel will be an onramp to the wider ecosystem for people who get their ED++ on Encointer and move funds to Asset Hub and other parachains from there

HRMP channel between Encointer and Asset Hub

Encointer's current lease will end with LP33 on Nov 14th 2023. We hereby propose to extend Encointer's system chain lease by 48 weeks.

Recently, [RFC22](https://github.com/polkadot-fellows/RFCs/blob/main/text/0022-adopt-encointer-runtime.md) has been approved by the Polkadot Fellowship, formalizing the system chain status of Encointer.

The Encointer runtime will [move to the fellowship repo](https://github.com/polkadot-fellows/runtimes/pull/17) soon.

However the funding situation of the Encointer Association may turn out, the team will keep the Encointer Network up and running for at least another year and we'd also like to thank our infrastructure supporters at IBP, onFinality, Stakeworld.
