TDP 51: TreasuryDAO Charter

It is proposed to codify a Treasury Charter in order to create transparency and accountability for the TreasuryDAO when managing funds on behalf of Meta Governors. This charter describes the purpose, key activities, responsibilities, and sub-committees of the TreasuryDAO.

The TreasuryDAO is tasked with investing mStable Treasury assets. Quality investment strategies start with sound financial management. The risk which can be taken is inversely proportional to the runway available. This charter provides a framework for guiding TreasuryDAO actions in terms of runway.

It is the mission of the TreasuryDAO to secure runway to ensure that the mStableDAO operations are sufficiently funded while investing a portion of its assets into key opportunities in the ecosystem if the budget permits. As an overall guideline, Capital Preservation takes priority over Capital Generation, due to the importance and requirement to have a perpetual runway available to continuously and easily fund the operational side of mStable. It does this by maximizing the potential of the assets the treasury owns and receives to ensure the protocol can grow sustainably with risk aversion in mind.

It is proposed to have the TreasuryDAO review the Treasury Charter once per fiscal quarter to account for the fast-paced nature of the overall DeFi and crypto ecosystem, during which any amendments and changes will be communicated via our official forum and are subject to a veto process by all participants. Due to the unavoidable lag introduced by this, the Treasury will do its best to rely on passive strategies that only require compounding as a primary means of action.

To achieve this goal, the TreasuryDAO will follow specific strategies outlined in the TDP linked below. Upon successful resolution of this vote, the Treasury Charter will be uploaded to IPFS and a link provided in the official forum for reference and updated on a quarterly basis should the need arise.

Links

• RFC: Treasury DAO Charter
• Proposal: TDP 51: TreasuryDAO Charter
• Discussion: TDP 51: TreasuryDAO Charter

Should the TreasuryDAO Charter be implemented and the TreasuryDAO guide the investments on behalf of Meta Governors as proposed in TDP 51?