Editing Scholarship DAO (section)

=== Governance ===
Proposals for how much of the treasury is given to which student can be made by anyone with REP or oREP. Voting for the proposal eats your REP and that percentage of the existing fund is given to the student. That lost REP loses its power to actively distribute funds to scholarships, but it is not erased--it becomes '''old REP''', or oREP which may be used to bring attention to new proposals. UIs may choose how to prioritize proposals for consideration according to oREP suggestions. This means each individual donor has the power to decide how to value oREP in their view of proposals. However, functionally, the vast majority of users will use default settings.

Safeguards can be implemented (or not) that dictate what a scholarship recipient needs to do to unlock the money. These are in the form of standardized SCs the DAO approves. People shouldn’t engage SCs that are not socially attested as secure and trustworthy. Eventually certain colleges will go through the effort of approving official SCs they’ve authorized. Then students can automatically unlock their money if they go to that college. In the beginning, however, there will be simpler systems in place for unlocking their money—an agreed upon time and amount, e.g., with delays if they don’t provide proof of passing grades. In the beginning we will assume people are not cheating the system, and will only add more sophisticated safeguards as history or prudence demands. A simple delay until they are of the predicted age to go to college should be sufficient in the beginning.

Non-students can donate time or money to getting REP that is used to decide how their REP salary is spent in the future on students. A website is designed to facilitate the collective weighted-democratic decisions on how to distribute that kind of money. It can be as simple as giving all the money you donated to your specific friend or it can also be given to a general fund that gives randomly to approved students that have been selected by other means. REP can be used to facilitate that decision of who is in the pool and what is their priority for the random money.