I would be interested in this as a user and as a dev for OSS projects. I currently donate to a few projects via OpenCollective, Github sponsors, etc. A few options:
- Users vote on how the money is spent, perhaps in proportion to how much they have donated over time. I think this is the simplest model that prevents self-dealing and accurately transmits user interest. You could use a quadratic funding model to better represent user interest instead of just giving the most vote weight to the users with the most money. On the other hand, assigning vote weight based on donations over time incentivizes users to donate more and keep donating (stopping a recurring donation could result in loss of vote weight and help redistribute vote weight as users become less active). You could also do a hybrid model: 50% is assigned according to vote weight based on total donations, 50% is assigned based on quadratic funding.
- Developers vote on how the money is spent. I don't know how to allocate vote weight here. Devs should also submit a list of downstream libraries which would receive donations. (or is it upstream?).
- User and developers both vote on how it is spent. Vote weight could be distributed however, for example, 50% to users 50% to devs.
This kind of a system would be very possible to implement as a DAO, there are templates out there for making an organization like this. You could use BTC or ETH, both support DAOs. The benefit there is that since no single entity holds the money, no single entity has to file taxes and claim that money as income. It also automates the voting process and solves the issue of users having to trust a single person or organization to hold and distribute the funds. Making a DAO on Bitcoin lightning could reduce tx fees to less than a penny per donation.
You could also incorporate it as a non-profit depending on your jurisdiction. Many organizations like the Linux foundation have pursued this route, look at what things they have tried and what has worked. Also just a link to leave here for your research, I'm not suggesting you use this, I'm just saying it's relevant interesting thinking in this area: https://blog.obyte.org/kivach-cascading-donations-for-github-repositories-2b175bdbff77
Other relevant links/research for you: https://github.com/Resolvr-io and https://nostrocket.org/About
Also research Gitcoin, they have used quadratic funding to fund a number of OSS web3 projects in a similar manner to what you're proposing. I have participated in a few of their funding rounds as a donor and a recipient. Their interface is a mess but the concept is cool.
Nostr vs Mastodon on Privacy & Autonomy:
Why I think nostr will win https://lemmy.ml/post/11570081