We appreciate Entropy’s thoughtful proposal and the clear rationale provided for consolidating idle USDC balances under ATMC management. Given that the DAO has already approved the existence and operational mandate of the ATMC, we agree it is logical to consolidate idle or unused funds into its custody for yield generation.
Specifically regarding the Events Budget, we agree that continuing to maintain idle funds generates an unnecessary opportunity cost. At the same time, shifting this budget to yield-generating strategies under ATMC does not inherently preclude community-driven events, as smaller-scale or grassroots initiatives can still leverage existing DAO structures, such as the D.A.O. program or targeted collaboration with the Foundation. Regarding the ARDC v2 budget and ADPC Security Subsidies, we similarly support consolidating these balances for more effective management and yield optimization, particularly given the flexibility to redeploy funds back to related activities if needed.
That said, we suggest exploring the creation of DAO-wide operational guidelines, whereby all DAO-approved, USD-denominated budgets would, by default, be allocated into specified, yield-bearing vaults at approval. Under these guidelines, budgeted funds would be earning yield with distinct wallets before being withdrawn strictly at the point of actual payment obligations. Non-budgeted, general treasury assets would then remain under the strategic management of the ATMC, enabling balanced risk-adjusted allocation across the entire Arbitrum treasury portfolio.
Rather than simply withdrawing idle funds as outlined in this proposal, we believe it would be possible to address these cases by introducing the above guidelines. We encourage Entropy and the ATMC to explore formalizing such guidelines, as this could enhance the efficiency and sustainability of DAO treasury operations, while reducing operational friction and easing the burden associated with repeated governance proposals and approvals.