Delegation of User Acquisition to Avalon3

Background

Since December, BAG has attempted to run various user acquisition campaigns, but these efforts have failed to deliver meaningful results. Despite internal team efforts, there has been no significant growth in new users, deposits, or betting activity. The lack of a cohesive and professional marketing strategy has resulted in wasted resources and missed opportunities.

This underperformance has had a direct impact on platform activity. Gambling volume has been steadily declining over the past few months and has now reached an all-time low — with less than $100,000 in monthly betting volume and less than $1,000 in monthly profits. These numbers are not sustainable and pose a real threat to the long-term health of the BAG ecosystem.

To reverse this trend, it is imperative that BAG DAO engages a specialized and proven marketing partner.

Proposal

This proposal seeks approval from the BAG DAO to hire Avalon3 (https://avalon3.com/) , a marketing agency, to fully manage and execute all user acquisition efforts on behalf of the DAO.

The terms of engagement are:

Base fee: $2,000 per month

Performance fee: 15% of the monthly ad budget spent

Note: The base fee is included within the 15%. For example, if $20,000 is spent on ads, Avalon3 will receive $3,000 total (not $2k + 15%).

The DAO will allocate an initial $20,000 budget for Avalon3 to deploy and manage.

Avalon3 will be responsible for:

Full ownership of user acquisition strategy

Ad creative development and iteration

Platform and channel management

Campaign launch and scaling

Performance tracking and optimization

As part of their scope, Avalon3 will report regularly on the following Key Performance Indicators (KPIs):

Number of new signups

Deposit volume

Betting volume

The BAG core team will support Avalon3 by:

Providing real-time access to metrics and analytics

Collaborating on product or UX changes to improve conversion

Ensuring transparency and smooth execution

Rationale The current status quo is failing. Betting activity is at its lowest point since the project’s inception, and internal marketing has proven ineffective. Hiring Avalon3 allows the DAO to:

• Act fast to recover and grow user volume before further decline
• Improve operational efficiency by letting the core team focus on product and community
• Implement a transparent, KPI-driven approach that ensures results are measurable and aligned with DAO goals

Delegating marketing to Avalon3 represents a smart, strategic pivot toward scalable and sustainable growth.