BIP 001 - Fund Bunni Engineering Unit (BEU) for Q2 2025

Summary

This proposal requests $255,000 USD to fund the Bunni Engineering Unit (BEU) for Q2 2025 (April 1 to June 30, 2025). The funding will support ongoing development and maintenance of the Bunni protocol, including the third audit of Bunni v2, custom development work for partner projects, and strategic positioning for Unichain and Uniswap v4 Liquidity Incentives.

Background

The Bunni Engineering Unit (BEU) has been a core contributor to the Bunni ecosystem, responsible for the technical development and maintenance of the Bunni protocol. Following the successful completion of the previous funding period (September 2024 - February 2025), the BEU now seeks continued funding to further advance Bunni's capabilities and ensure its strategic positioning in the evolving DeFi landscape.

Over the past six months, the BEU has made significant progress in enhancing the Bunni protocol. Full details of these achievements can be found in the Bunni Discord Server under the announcements channel, searching for Contributor Log, which document weekly updates on development milestones, feature implementations, and technical improvements.

Proposal

We propose to allocate $255,000 USD from the Bunni DAO Treasury to fund the BEU's operations for Q2 2025 (April 1 to June 30, 2025).

Implementation

Upon approval, the Bunni DAO Treasury signatories will transfer the funds with the following parameters:

• Sender Address: 0x9a8FEe232DCF73060Af348a1B62Cdb0a19852d13 (Bunni DAO Treasury)

• Recipient Address: 0x798E6af7658A1f20e6B2A5c780D8577D4AEAF7dA (BEU Safe)

• Amount: $255,000 USD

• Asset: ETH from the Bunni DAO Treasury

Timeline

• Proposal Comment Period: March 23-27, 2025

• Proposal Voting Period: March 27-30, 2025

• Funds Release: March 31, 2025

• Operational Period: April 1 - June 30, 2025

Budget

The requested budget of $255,000 USD will cover the BEU's operational costs for Q2 2025, supporting the development objectives outlined below.

Q2 2025 Objectives

For the upcoming quarter, the BEU will focus on the following key initiatives:

1. Security and Auditing:

• Complete the 3rd audit of Bunni v2 contracts with Cyfrin, funded by Uniswap Security Grants Program

• Implement necessary fixes and improvements based on audit findings

2. Protocol Development:

• Build custom Liquidity Distribution Functions (LDFs) and Hooklets specifically for projects migrating Protocol-Owned Liquidity (POL) to Bunni

• Build a proprietary rebalancer for deployment across several networks

• Develop extensive code for aggregator integrations (e.g., ParaSwap), requiring substantial development effort for each integration

• Build our own am-AMM manager infrastructure to return MEV to LPs and improve LP profits

3. Expansion and Integration:

• Deploy Bunni to Unichain

• Position Bunni strategically for onboarding to Unichain and Uniswap v4 Liquidity Incentives

• Support the Bunni Growth Unit's business development efforts with custom development work to win partner project business

4. Sustainability and Maintenance:

• Maintain the current technical infrastructure

• Develop and implement a sustainable revenue model before the next funding period

Conclusion

By approving this proposal, the Bunni DAO will enable the BEU to continue its critical work in advancing the Bunni protocol during Q2 2025. The focused objectives for this quarter aim to enhance Bunni's security, expand its features through custom development work specifically geared towards signing deals with partner projects, and position it strategically within the evolving DeFi landscape, particularly with regard to Unichain and Uniswap v4 Liquidity Incentives. The BEU is committed to developing a sustainable revenue model that will reduce reliance on treasury funding for future operations.