Summary

This proposal asks the community to decide whether EQTY will continue as a community-owned project under a newly formed DAO-controlled Dutch foundation, or whether the project will be terminated and all remaining team tokens permanently burned.

A YES vote means:

• the DAO is created
• all IP is transferred to the DAO foundation
• the team tokens are transferred
• €50,000 operational budget is provided
• we rebuild EQTY as a community project

A NO vote means:

• no DAO will be formed
• all remaining team tokens will be burned
• the EQTY platform as a product is discontinued

1. Motivation

EQTY has strong technical foundations including Ownables, private event chains, and a tokenization framework. However the corporate entity behind it (LTO Network B.V.) will be dissolved on 31 December 2025.

To avoid complete shutdown, the current LTO team is willing to transfer all EQTY-related IP plus €50,000 operational funding to a community-governed structure.

The community must now decide whether this transition should take place.

2. What Is Being Offered

If the DAO is formed (YES):

1. Transfer of all EQTY-related IP

   • EQTY platform
   • Ownables (private layer framework)
   • Universal Wallet code
   • SDKs
   • All software assets and repositories

2. Transfer of all remaining EQTY team tokens 0xD629e5A84AEa1D4bCaD67EE1780dD6C9d6540063 | M&A Wallet | 13,355,162 EQTY | 0x852BA1A11318Ff7919a04B8f2C57EAD48c65A2B5 | Team Wallet | 3,055,495 EQTY | 0x6dA4A069472Ae3D93DE0dC17E60fA1f1d94229e7 | C&I Wallet | 1,168,713 EQTY | 0x0e259d68198EA9d8a41Bf61Ebaf4002cc46Ee9F1 | Sponsor Wallet | 841,411 EQTY | | total | 18,420,781 EQTY |

3. Operational budget of €50,000, delivered as a lump-sum donation to the DAO foundation.

4. Transfer of liquidity on CEX (KuCoin and Gate.io) and DEX (UniSwap) as EQTY, ETH and USDT.

5. Transfer of relevant accounts, except those with contractual or regulatory limitations.

6. Universal Wallet and EQTY Platform delivered in working state on Base.

7. All existing external contracts are terminated (e.g. AWS, market making, Firm24 integration).

If the DAO is not formed (NO):

1. No IP will transfer.
2. No funding is delivered.
3. All remaining team tokens are permanently burned.
4. The organization is dissolved, and EQTY ends.

3. Proposed Governance Structure

A Dutch foundation (Stichting) will serve as the legal wrapper for the DAO. The foundation has no profit distribution by law, aligning with DAO goals.

Board Roles

As required by Dutch law:

• Chairman
• Secretary
• Treasurer

An optional fourth role:

• Vice-Chairman (coordination role)

Chair

• Leads the board
• Publishes Snapshot proposals
• Ensures decisions follow DAO rules
• Represents the foundation externally

Vice Chair

• Handles community relations
• Coordinates moderators and contributors
• Acts when the Chair is unavailable

Secretary

• Maintains documentation
• Manages filings, minutes, and administrative compliance
• Operates and maintains EQTY website + hosting
• Maintains internal technical docs and operational procedures

Treasurer

• Manages financial administration and reporting
• Manages liquidity on DEXs and CEXs
• Handles exchange accounts
• Executes liquidity provisioning strategies
• Ensures safe handling of reserves

Proposed Candidates

• Chair: Thijs Kanis 🇳🇱 (@Thijssinak)
• Secretary: Arnold Daniels 🇳🇱 (@ArnoldDaniels)
• Treasurer: Lorenzo Basta 🇨🇭 (@zolnode)
• Vice-Chair: Yannick Ntambwe 🇫🇷 (@SagaYtic)

The community will be able to vote on replacements in future governance cycles.

4. DAO Concept

The EQTY DAO operates under a strict mandate of approval. The DAO Board only executes actions that have been explicitly approved through Snapshot.

Mandate and Decision-Making

• The DAO exists in status quo: nothing changes unless a Snapshot proposal has been approved.
• Any community member may create and submit a proposal.
• Only proposals that achieve formal approval on Snapshot will be executed. There is no room for interpretation beyond what is written in the approved proposal.
• The DAO Board has no initiative power. The Board cannot take action, make decisions, or start projects without prior approval through Snapshot.

Execution of Approved Proposals

• After a proposal is approved, the DAO Board executes it exactly as written.
• The Board may not add, modify, or interpret parts of the proposal beyond what is explicitly stated.

When Execution Turns Out to Be Impossible

If an approved proposal turns out to be factually, technically, or legally impossible to execute, the following process applies:

1. The DAO Board transparently explains why the proposal cannot be executed as specified.
2. The Board prepares one or more alternative options that would resolve or bypass the issue.
3. These alternatives are submitted back to the community as new Snapshot proposals.
4. No further action is taken until the community approves one of the alternatives.

What the DAO Board cannot do

• Initiate new projects or actions
• Spend funds without approval
• Deploy features or code without approval
• Change liquidity or treasury positions without approval
• Modify governance structures without approval
• Change role assignments without approval
• Make informal or implicit decisions

What the DAO Board can do

• Execute what has been approved
• Ensure decisions are implemented correctly and transparently
• Signal when additional proposals are needed
• Prepare alternatives when execution is impossible
• Fulfill mandatory administrative or legal tasks required to carry out approved actions

5. Financial Plan & Budget Constraints

The starting capital is €50,000. No additional financing is expected from LTO Network B.V.

Operating principles:

1. Extremely lean structure

2. Volunteers and contributors from the community

3. No compensation for board member and contributors

4. Prioritization:

   • infrastructure costs
   • maintenance
   • minimal development to reach an MVP
   • liquidity provisioning
   • legal compliance

6. Voting Options

🟩 YES — Form the DAO and continue EQTY

By voting YES, you agree to:

• Create a Dutch foundation as the DAO wrapper
• Accept the transfer of EQTY IP
• Accept the €50,000 funding
• Accept the transfer of all remaining team tokens
• Accept the transfer of CEX and DEX liquidity
• Appoint the initial board
• Continue building EQTY as a community-owned project

🟥 NO — Terminate the project and burn all remaining team tokens

By voting NO, you agree to:

• Reject the DAO
• Reject the transfer of IP and funds
• Permanently burn all remaining team tokens
• End the EQTY project