[GIP-3] - Budget for Gyroscope DAO service providers

Background/motivation

This GIP aims to secure a GYFI budget to engage and compensate Gyroscope DAO service providers. Service providers may assist with marketing campaigns, business strategy, or liquidity provisioning.

Summary of proposal

1. It is proposed that a GYFI budget of 75,000 GYFI be allocated to fund marketing campaigns.
2. It is proposed that a GYFI budget of 205,500 GYFI be allocated to trading firms.
3. It is proposed that a GYFI budget of 27,400 GYFI be allocated to fund other business service providers.
4. It is proposed that the Gyroscope Foundation will vet and engage service providers on behalf of the Gyroscope DAO.
5. It is proposed that the development of a future Code of Conduct for future service provider engagements is agreed upon.

Purpose	Budget (as % of total GYFI supply)
Marketing	0.55%
Trading firms	1.5%
Other	0.2%

The initial token distribution event is a critical point in any project’s trajectory. It warrants special attention and care. In order to structure and support the initial token distribution it is necessary to engage several service providers which will support Gyroscope’s decentralized ecosystem. These can range from providing paid marketing services, over advising and supporting the business strategy, to providing liquidity providing services.

Marketing services will help raise the public profile of Gyroscope leading up to and following the public token distribution, as defined by GIP-1 and GIP-2. Trading firms are necessary to ensure sufficient, initial liquidity for GYFI. Other service providers may act as brokers or as means to keep liquidity providing operations transparent and accountable.

The allocated budget sets the upper bound on what can be spent on the previously described services. If the budget is not fully allocated by the end of Q1 2025 (31.03.2025) any remaining funds are to be returned to the Gyroscope Foundation.

The concrete list of service providers is still being defined. The Gyroscope Foundation will vet and engage service providers on behalf of the Gyroscope DAO, increasing execution speed.

Any GYFI allocated to service providers will - by default - not be locked. Furthermore, such allocations will not be eligible for the voluntary GYFI lock-up scheme.

To ensure procedural rigor for the Gyroscope DAO, this proposal also aims to agree on establishing a future Code of Conduct for engaging future service providers.

It is suggested to make this first version borrow heavily from Balancer. Future versions could always revise the Code Of Conduct further. If this vote passes, a separate vote will be created for a Code of Conduct.

Feedback from Step 1

During the consultation, there were several areas of feedback:

1. Further clarity was sought on who would be vetting and engaging the service providers. It has now been made clear that this will be done by the Gyroscope Foundation.
2. Commitment to adopting a Code of Conduct for the Gyroscope DAO. A commitment to adopting one in the future has now been added to this proposal.
3. Comment that other service providers should be subject to release schedules. The proposal has therefore been updated with a small (0.1%) increase to the original proposal to provide more flexibility.

Risk assessment

Not relevant.

A link to the original Consultation in Step 1.

https://forum.gyro.finance/t/consultation-budget-for-gyroscope-dao-service-providers/12771/14