en:guide [DustEthic

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{{:logo.png?nolink&30 |}}====== DUSTETHIC - THE COMPLETE GUIDE [2025-11-13] ======
French version: [[dustethic-guide-v1.1-draft-fr.md|Le guide complet]]

**Version**: 1.1-draft\\
**Date**: 2025-11-13\\
**Last updated**: [2025-11-13]\\
**Status**: Phase 0 - Scoping document

**Warning**::
  * Informational document - not financial or legal advice.
  * Some capabilities depend on ERC-4337, paymasters and L2 usage.
  * Reference amounts are expressed in crypto units. Fiat equivalents are for readability only.
  * Transparency required: fee schedule (published tier), aggregation windows, supported networks, chosen gas option and **campaign cap** must be disclosed publicly.
  * **Campaign cap**: gas + fee + technical reserve ≤ public threshold (e.g. 15%).

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===== 🎯 Core principle =====

**We reason in crypto units, not in fiat.**\\
Amounts are counted in native units of the chain in use. Example: you donate 0.0100 ETH, the NGO receives 0.0090 ETH if the announced fee is 10%. This logic **neutralises volatility in the split** between actors. The **fiat value remains floating** until each party converts its share.\\
In this guide, fiat equivalents are provided for readability only.

==== 🔌 Gas policy v0.2 - default ====

  * **L2-first**: operations are prioritised on low-fee L2s (e.g. Optimism, Arbitrum) so that gas cost stays marginal.
  * **Conditional execution**: only execute when the **ratio ''Aggregated donations / estimated gas''** reaches a favourable threshold **T**.
    * DustEthic v0.2 recommendation: ''T ≥ 30'' by default (≈ 3% gas max before fees).
    * Example with a 7% fee: ''T ≈ 33'' keeps ≈ 90% net for the NGO.
  * **Relayer gas pool**: the relayer maintains a pool of the native gas token (e.g. ETH on L2 EVM). **No conversion is made on donations** to fund the fee.
  * **Optional safety net**: if the gas pool is insufficient, a **minimal, on-chain documented conversion** may be triggered to buy gas token, without changing the distribution formula.
  * **Standard display**:
    * Calculation formula: ''NGO net = Aggregated amount - reimbursed gas - relayer fee - technical reserve''
    * Fee displayed **as a percentage of the donated crypto** (e.g. 7% in ETH if the donation is in ETH)
  * **Transparency**: chosen gas option (gas pool, L2-first, safety net) and **campaign cap** (e.g. 15%) are **disclosed publicly** by each relayer.

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===== 📚 Table of contents =====

  * Core principle
  * Gas policy v0.2 - default
  * 1) The real problem today
  * 2) The solution proposed by DustEthic
  * 3) Realistic operational flow
  * 4) Gas, conversions and design options
  * 5) Volatility - principles and strategies
  * 6) Actors and responsibilities
  * 7) Donors - how it works
  * 8) NGOs - integration, accounting, compliance
  * 9) Relayers - minimum requirements for DustEthic v0.1
  * 10) Market references and positioning
  * 11) Roadmap
  * 12) Join the project
  * 13) Licence
  * 14) Notes and references

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===== 1) The real problem today =====

  * On Ethereum L1, **gas fees are paid in ETH** and can exceed small donations. On L2 they are much lower, but never zero.
  * Several EVM L2s also use **ETH as gas token** (e.g. Arbitrum, Optimism). Polygon PoS uses **POL** following the MATIC→POL migration.
  * As a result, an isolated micro-donation is often inefficient on L1, sometimes acceptable on L2, and depends heavily on network conditions.

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===== 2) The solution proposed by DustEthic =====

**Aggregation + on-chain transparency + splitting in crypto units**:

  * **Relayers** aggregate micro-donations over a limited period, then perform **one grouped payout** to the NGO.
  * Splitting happens **in crypto units**, with **gas reimbursed first** and a published **degressive fee schedule**.
  * A **campaign cap** is published: gas + fee + technical reserve ≤ public threshold (e.g. 15%).
  * The NGO share and the fee are **expressed as a percentage of the donated crypto**, not a fiat equivalent.
  * Traceability is ensured via public explorers (e.g. Etherscan for Ethereum).

**Building blocks already exist**:

  * **Account Abstraction ERC-4337** with **paymasters** to sponsor donor gas.
  * **EIP-2612 permit**, when available, for approvals by signature without an on-chain ''approve'' transaction.

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===== 3) Realistic operational flow =====

**Step 1 - Donation**

  * Donation via AA smart account with paymaster: **gas sponsored**, donor does not pay directly.
  * Donation via EOA + token with permit: **approval without gas**, then relayed donation.
  * Donation via EOA + token without permit: a **paid approval** may be required, depending on the token.

**Step 2 - Aggregation**

  * Donations are collected into an aggregation smart contract. Recommended triggers: amount threshold, maximum time window, acceptable gas window.

**Step 3 - Grouped payout**

  * A single transaction sends the funds to the NGO.
  * Standardised formula: ''NGO net = Aggregated amount - reimbursed gas - relayer fee - technical reserve''

**Step 4 - Public breakdown**

  * Donations, any conversions and the final payout can be inspected on the chain explorer.

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===== 4) Gas, conversions and design options =====

**Physical constraints**: on EVM, gas is paid in the **native token** of the chain. Examples: ETH on Ethereum, Optimism, Arbitrum; **POL** on Polygon PoS.\\
To respect the principle “no donation conversion for the fee”, DustEthic **v0.2** proposes explicit **gas funding options**:

  * **Option A - Relayer gas pool**: the relayer maintains a pool of the required gas token. No conversion on donations.
  * **Option B - Minimal documented conversion**: pro-rata skim in kind to buy gas token, logged on-chain, without affecting the split formula beyond gas cost.
  * **Option C - L2-first**: operate primarily on low-fee L2s so gas is marginal.
  * **Option D - Sponsors**: paymasters funded by partners who supply gas and are reimbursed periodically.

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===== 5) Volatility - principles and strategies =====

**Rule**: splitting happens in crypto units. Percentages stay constant; fiat value moves until the NGO and relayer convert.

**Stablecoins**: reduce volatility but **do not remove risk** (depeg, address freezes, issuer risk).

**Post-receipt strategies**:

  * **NGO**: sell immediately, sell partially, or hold according to internal policy and risk tolerance.
  * **Relayer**: regular selling, holding, or a mixed approach.

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===== 6) Actors and responsibilities =====

  * **Donors**: send small amounts, ideally via AA so they don’t pay gas directly.
  * **Relayers**: operate aggregation, publish public parameters, comply with v0.1 and keep **signed logs** of sensitive operations (with on-chain links).
  * **NGOs**: receive funds directly into their wallet, define a conversion policy and basic compliance procedures.

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===== 7) Donors - how it works =====

  - Choose a DustEthic-compliant relayer.
  - Connect your wallet.
  - Select the NGO.
  - Enter the amount in **crypto**.
  - Sign.

Depending on the setup, the donation is gasless via AA or permit. Otherwise a paid approval may be required depending on the token.

**Cost for the donor**: ideally zero via AA or permit. Otherwise, only the initial approval if required by the token. Gas for the final grouped payout is **mutualised** and deducted before the NGO payout.

**Tracking**: each donation and the final payout are visible on the chain explorer.

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===== 8) NGOs - integration, accounting, compliance =====

  * **Recommended wallet**: **Safe** (ex-Gnosis Safe) with multi-signature for custody.
  * **Fiat conversion**: via a registered exchange, according to internal policies.
  * **Accounting**: book the value at reception time, define a conversion policy, track addresses.
  * **Minimal compliance**: even in a non-custodial setup, adopt **address screening** and a written policy. References: **OFAC** and **FATF R.15 / Travel Rule**. Exact obligations depend on jurisdiction and status.

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===== 9) Relayers - minimum requirements for DustEthic v0.1 =====

**Transparency**

  * Open-source code. Public parameters: **degressive fee schedule** (suggested max 15%), **campaign cap**, aggregation windows, supported networks, chosen gas option.
  * **Signed logs** and on-chain links; **CSV** export.
  * Readable on-chain dashboard.

**Non-custodial**

  * Funds held by smart contracts. Technical governance without unilateral withdrawal power.

**Technical governance**

  * Admin roles under **Safe multi-sig**. Timelock on critical changes. Emergency procedures.

**Security**

  * Independent audit before mainnet. Bug bounty after launch.

**Gas and conversions**

  * Explicitly choose Option A, B, C or D and display it publicly.
  * **Execute only if the ratio ''Aggregated donations / estimated gas ≥ T''** (T ≥ 30 recommended); **gas reimbursed first**.
  * Fee always expressed as a percentage of the donated crypto (published **degressive** schedule).
  * If gas conversion is necessary, log it on-chain.

**AA and compatibility**

  * ERC-4337 support and paymaster recommended on L2. The published EntryPoint is the implementation reference.
  * Fallback: **EIP-2771** meta-transactions where 4337/7702 (AA) is not supported.

**v1 asset whitelist**

  * Ethereum & EVM L2s: ETH, USDC, USDT.
  * Polygon PoS: possible, but **gas in POL** - plan logistics accordingly.
  * By default reject illiquid, taxed, honeypot tokens or those without permit support if UX becomes impractical.

**Minimal compliance**

  * Proportionate AML policy, basic screening, logging of refusals.

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===== 10) Market references and positioning =====

  * “Classic” crypto donation platforms exist and mainly target medium or large donations with fast fiat conversion.
    * **Every.org**: instant conversion to USD, 1% broker fee + network fees.
    * **The Giving Block**: subscription packages and processing fees, details provided commercially.
  * **DustEthic** focuses on **micro-donations via aggregation**, **native crypto splitting** on low-fee L2s, with a published **campaign cap** and **degressive fee schedule**.

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===== 11) Roadmap =====

**Phase 0 - Foundations [Q4 2025]**

  * v0.1 standard specification
  * v1 asset and network whitelist
  * Aggregation and paymaster contract design - testnet
  * Security and governance policy

**Phase 1 - Development [2026]**

  * Open-source reference implementation
  * Sepolia and matching L2 testing
  * Third-party audit
  * Pilots with 1 relayer and 2 NGOs

**Phase 2 - Launch [2026+]**

  * Mainnet + 2 L2 deployments
  * 3–5 compliant relayers, 10+ NGOs
  * Community dashboard

**Phase 3 - Expansion [2027+]**

  * More L2s, possibly other EVM ecosystems
  * Broader governance if traction

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===== 12) Join the project =====

  * **Developers**: smart accounts, paymasters, aggregators. ERC-4337 and EntryPoint are good starting points.
  * **NGOs**: test with a **Safe** wallet and an internal conversion policy.
  * **Relayers**: run an L2-first implementation and publicly document gas metrics and delays.
  * **Community**: feedback, translations, content.

Useful links:

  * Website: https://dustethic.org
  * Discord: https://discord.gg/fVFc26GV
  * GitHub: https://github.com/DustEthic
  * Bluesky: @dustethic.bsky.social

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===== 13) Licence =====

  * Text: **CC BY 4.0**
  * Future code: **MIT**

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===== 14) Notes and references =====

(Same URLs as in the GitHub version.)

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**End of DustEthic Guide v1.1-draft**