Context

This proposal presents a plan to divide the current ETH position of our DAO among its main activities, fulfilling the goals of improving prioritization, planning and visibility of the proceeds available to fund our operations.

This exercise is critical to inform our major decisions, which have thus far been complicated by lack of clarity on acceptable expenditures for each activity.

Proposal

• The current treasury as of writting of this proposal is 846.82ETH (~3.7mm USD).
• This treasury shall be divided as follows:
  • Curation: 400ETH (~1.76mm USD | 47% of treasury)
    • to be spent on all curation activity, including the main collection and other collections still to be formalized
    • this budget includes the 120ETH already dedicated for the activity of the provisional curation committee, leaving an additional 280ETH for curation during 2022
  • Liquidity Pool: 120ETH (~528k USD | 14% of treasury)
    • to be allocated to providing liquidity for our $RAW token in decentralized exchanges
    • these proceeds won't be "spent", rather allocated in a liquidity pool and used for automated market making of our tokens
    • this will allow us to use our treasury RAW tokens as means of exchange and compensation of members
    • the amount of ETH (and also RAW tokens) to be allocated in this pool was calculated to provide acceptable levels of slippage within a decent valuation range for $RAW (~2% for a 5ETH trade)
    • we'll be able to retrieve these proceeds from the pool whenever we'd like
  • Compensation: 120ETH (~528k USD | 14% of treasury)
    • to be spent on compensation of members working in the DAO
    • allows for up to 10ETH in compensation each month
    • this will likely be supplemented with $RAW compensation
  • Marketing and PR: 50ETH (~220k USD | 6% of treasury)
    • to be spent on branding and marketing initiatives
  • Other Uses/Buffer: 156.82ETH (~$690k USD | 18% of treasury)
    • reserved for other general expenses not anticipated by these categories
• These budgets represent limits on the sum of all expenditures of these activities, and are effective for the year of 2022
• These budgets might be revisited and altered during the year via a Snapshot vote approved by the community
• Expenses smaller than 3ETH can be approved via a soft vote by the community on discord, as long as they gather at least 20 votes, up to the limit imposed herein
• Expenses larger than 3ETH will require proposals to be reviewed and approved via Snapshot vote (or another more formal voting platform other than Discord, to be chosen by the community)

Closing Remarks

We will develop a financial tracking system so we can monitor expenditures vs. these limits to ensure we're on track.

We can also revisit this budget if/when we decide to raise additional capital.