Request for Tender for Financial Support Service

by 0x9937e3e274be96a624d7cd00f384eb71c741dd1b (Maryana)

Should funds from the DAO Treasury be allocated to finance a new community-led project addressing issues outlined herein?

Linked Pitch Proposal

Holistic Improvement of Decentraland DAO Finances

Summary

For the last year, Decentraland DAO has been discussing how to improve its financial reporting, financial sustainability and secure its long-term financial future. This is an important decision, and community members have shared a variety of perspectives on how they wish to proceed.

This tender will launch a bidding process for the creation of a Finance Support Service. This will enable Decentraland DAO to take a significant step towards addressing the ongoing challenges; providing financial transparency; helping the DAO to become a more sustainable, prosperous organization.

Problem Statement

Decentraland currently faces a number of major financial challenges, including:

• Monthly expenses surpass income
• Lack of diversity and strength of DAOs income streams
• Lack of robust financial reporting, planning and long-term budgeting
• Concerns around the efficacy of the grants program and spending
• Sell pressure on MANA and significant DAO dependence on the token.

Technical Specification

This tender invites service providers to provide a bid to become Decentraland’s Finance Support Service provider for a 6 month period.

Contributors and service providers are encouraged to place a bid that highlights their experience, role, and the responsibilities they would undertake. Service providers can submit only one bid. Services providers cannot, either directly or indirectly, deliver work as part of more than one bid (i.e. via a subcontracting relationship).

Suitable contributors and service providers in this role should be qualified finance professionals able to demonstrate a track record of delivering financial work for web3 organisations and DAOs. Bid submissions for Finance Support Service must be made within two weeks of this tender process being successfully approved by VP holders.

This gives service providers and contributors the flexibility to design and propose a Finance Support Service which they feel best serves the needs of the DAO. In turn, the DAO will have the opportunity to review and ultimately decide which Financial Support Service bid is the most suitable for their needs.

Use Cases

Successful delivery of the Finance Support Services would unlock a number of use cases and benefits for the DAO. This might include.

• Treasury Management will generate the single largest new revenue stream for DAO. This will fund ongoing DAO expenses in perpetuity and reduce them.
• Financial reporting and bookkeeping will improve decision-making, and transparency and increase accountability.
• Budget and Planning will improve resource allocation enable better financial management and increase the value of spend.
• Market Making and Treasury Management will reduce DAO's dependence on MANA. This will increase the stability, and resilience of the DAO in the face of market volatility.
• Finance Support Services will increase the impact of the DAO, reduce sell pressure on MANA and support price appreciation.

Deliverables

Bidders are encouraged to identify and propose those services and deliverables they feel would be of most value to the DAO. Bids deliverables may include but are not limited to:

• Financial Reporting
• Bookkeeping
• Live Analytics Dashboards
• Market Making
• Budgeting and long-term financial planning
• Finance options assessments and recommendation reports
• Treasury Management

Target Release Quarter

2024 Q3

This proposal is summarized due to technical limitations. To view it complete and vote on it, visit the DCL DAO Governance dApp