[Amendment] Decentralization Manager Phase 2 - Replace Milestone 1 (Reward Engine to Decentralize an Existing Party)
Development Fund Proposal Amendment
Proposal file: proposals/2026-07-BitSafe-decentralization-manager-phase-2.md
SIG: Decentralized Attestor Pools / DAO / Multisig
SIG label: attestor-pools-daos-multisig
Amends: Grant 2, PR #530
- Champion: Akshay Sinha, Alpend (@akshaysinha100)
- Co-Champions: Tobias von Vignau, Digital Asset (@VinyoDA)
- Proposal Author: Gabija Tuinaite, BitSafe (@gabitu7)
Summary
This amendment replaces Grant 2's Milestone 1 (Reward Engine, CIP-104-dependent) with a new Milestone 1: Decentralize an Existing Party, at the same funding allocation of 3,320,000 CC. All other Grant 2 milestones (M2 Decentrally Hosted External Parties, M3 Add/Remove Member, M4 Maintenance, M5 Adoption) are unchanged.
Rationale. CIP-104 has been delayed, and its final design is likely to shift materially before it ships, making it risky to lock Milestone 1 scope now. Meanwhile, partner demand for decentralizing existing parties has become concrete: the anchor use case is a DEX executor party on Canton MainNet that needs co-validation across multiple validators without recreating the party or orphaning its contracts and featured-app right. Delivering this capability now unlocks immediate ecosystem value using stable Canton primitives with no dependence on any pending CIP. Reward Engine will be resubmitted as a separate Development Fund proposal once CIP-104 stabilizes.
The replacement Milestone 1 ships an add-hosts flow for existing external parties (tenant API v2 plus decman-wallet reference implementation), local-party support, and party-type-agnostic ACS replication. Acceptance is demonstrated on DevNet with an existing external party decentralized end-to-end plus an existing local party decentralized via B1 or B2. Full deliverables and acceptance criteria are in the amended proposal file.
Filename correction. This amendment also renames the file from 2026-05-BitSafe-decentralization-manager-phase-2.md to 2026-07-BitSafe-decentralization-manager-phase-2.md. The 2026-05 prefix (Grant 1's submission month) was copied by mistake; Grant 2 was submitted July 14, 2026 and approved July 29, 2026. The metadata table's Created and Approved fields are set to those correct dates.
We are not requesting a change to the total amount of funding. M1 allocation remains 3,320,000 CC and Grant 2 total remains 13,040,000 CC.
Checklist
- Proposal file amended under
/proposals/ - File renamed to correct date prefix (2026-05 to 2026-07)
- Metadata table Created/Approved dates corrected (2026-07-14 / 2026-07-29)
- Replacement milestone scope, deliverables, and acceptance criteria defined
- Rationale documented
- Funding total unchanged; M1 allocation unchanged
- All other Grant 2 milestones unaffected
Notes for Reviewers
Reward Engine is not being cancelled; it will return as a separate proposal once CIP-104 stabilizes and its final design is fixed.