The Grant Lifecycle — From Proposal to Verified Impact

In one sentence

Modern grant programs are end-to-end systems that combine evaluation, compliance, execution tracking, disbursement, and impact measurement.

Short answer

The grant lifecycle spans from proposal submission to verified impact, requiring coordinated evaluation, compliance checks, milestone execution, payments, and long-term learning — not just funding approval.

Why the lifecycle matters

Most grant programs are designed around selection, but most of the real work happens after approval.

When lifecycle steps are disconnected:

  • Operations become manual and error-prone
  • Payments are delayed
  • Accountability breaks down
  • Impact is hard to verify
  • Reputation does not accumulate

A complete lifecycle design treats grants as processes, not events.

The full grant lifecycle (with capabilities)

1. Proposal submission

Projects submit applications describing scope, milestones, and expected outcomes.

Key requirement: Structured applications that can be compared and reviewed at scale.

2. Application evaluation (AI-assisted + human)

When programs receive hundreds of applications, fully manual review does not scale.

Modern programs use:

  • AI-assisted evaluation for first-pass filtering
  • Automated summaries and risk signals
  • Human reviewers for judgment and final decisions

This reduces reviewer fatigue while preserving accountability.

→ Related: AI-assisted grant evaluation

3. Selection and approval

Approved projects move forward with clearly defined expectations:

  • Scope of work
  • Milestones (if applicable)
  • Funding structure

This step establishes the commitments that accountability will later measure.

4. Compliance and identity verification (KYC)

For larger grants or foundation-managed programs, identity verification is required before funds move.

Operational challenges include:

  • Tracking who needs KYC
  • Following up on incomplete checks
  • Preventing premature payments

Lifecycle-aware systems treat KYC as a gated dependency, not an afterthought.

→ Related: KYC in grant programs

5. Agreement and document signing

Many programs require signed agreements defining:

  • Milestones
  • Payment conditions
  • Legal and reporting obligations

Without integrated signing:

  • Documents fragment across inboxes
  • Status becomes unclear
  • Payments stall

Signing must be tied directly to grant status.

→ Related: Document signing in grants

6. Fund disbursement

Disbursement is not a single action — it is a coordination step.

Before funds are released, systems must confirm:

  • KYC completion
  • Signed agreements
  • Internal approvals
  • Correct payment configuration

Good systems surface blockers clearly and prevent mistakes.

→ Related: Grant fund disbursement

7. Milestone execution and progress tracking

For milestone-based grants, execution is tracked over time:

  • Projects submit updates
  • Evidence is attached
  • Progress is reviewed

This turns commitments into visible execution history.

→ Related: DAO grant milestones

8. Public project registry

As projects execute, their work should be visible.

A project registry:

  • Lists funded projects
  • Shows status and updates
  • Preserves historical context
  • Enables community transparency

Registries turn funding into shared memory.

→ Related: Public project registries

9. Impact measurement

Beyond milestones, programs want to understand outcomes.

Impact measurement aggregates:

  • GitHub activity
  • Smart contract data
  • Manually reported metrics
  • Community-level rollups

This allows ecosystems to assess what funding actually produced.

→ Related: Impact measurement

10. Reputation accumulation and learning

Execution and impact data feed forward:

  • Projects build reputation
  • Evaluators gain credibility
  • Funding decisions improve over time

Without this step, every funding round starts from zero.

How Karma fits

Karma supports the entire grant lifecycle, integrating evaluation, compliance, execution tracking, payments, impact measurement, and reputation into a single system.