Proposal: Core Contributor Compensation Realignment

This proposal seeks DAO approval to adjust the hourly compensation rate for core contributors. The adjustment accounts for the significant shift in the $INT market price and introduces a hybrid payment model (INT + ETH). This ensures the retention of the technical talent required for the critical migration to Uniswap v4 and tasks needed for the long-term sustainability of the Internet Token (INT) ecosystem.

1. Current Context & Background

Since the establishment of the 2025 budget, the protocol has encountered significant headwinds:

• Market Valuation: $INT has experienced an ~80% price correction, falling from approximately $0.02 to $0.003.
• Treasury Impact: Previous marketing expenditures did not yield the expected ROI, tightening the protocol's liquid resources.
• Contributor Loyalty: Despite the price decline, core contributors retained nearly 100% of their 2025 $INT disbursements. While this demonstrates strong alignment with the protocol, it has left contributors with significant "paper" losses and no liquid compensation for a year of effort.

2. Proposed Compensation Structure

To stabilize morale and ensure the successful delivery of upcoming milestones, the following rate is proposed, effective immediately and continuing through the beginning of Q3 2026:

40,000 INT + 0.0125 ETH per hour

Key Terms:

• ETH Cap: Liquid payments are capped at a total of 1.25 ETH per contributor.
• Retroactive Clause: This rate shall apply retroactively to all developer hours logged for the Uniswap v4 migration and current contract updates.
• Review Period: This structure will be re-evaluated at the start of July 2026 (Q3) to adjust for market conditions.

3. Strategic Rationale

Mitigating Token Volatility The 2x increase in $INT per hour directly helps offset the ~80% price drop. Without this adjustment, the effective compensation for core contributors has fallen below what is considered fair.

Incentivizing the Uni v4 Transition The migration to Uniswap v4 and the immediate marketing efforts following it are a "make or break" moment for Internet Token. By introducing a liquid ETH component, the DAO ensures that core contributors are properly compensated and encouraged to continue efforts that are in the best interest of the protocol.

Proven Alignment Core contributors have demonstrated "skin in the game" by HODLing through the 2025 volatility. This proposal rewards that loyalty and ensures that focus remains on building the protocol rather than seeking external opportunities.

4. Impact on Treasury

While this proposal introduces an ETH outflow, it is a calculated investment in the protocol’s most valuable asset: its human capital. The ultimate goal of the successful launch of the v4 liquidity pool, updated UIs, and expanded marketing efforts is to reignite interest in the project and ultimately refuel the treasury.

**In addition to the above, this proposal will transfer 280 USDC to the multi-sig wallet for contributor Q4 2025 expense reimbursements.