Treasury Management
During the month of June, the ETH covered calls strategy was reinitiated following a month-long freeze due to unideal volatility conditions. Calls were sold on 6,750 ETH of notional. The 6K ETH received from the DAO’s treasury in mid-May, following a successful onchain vote, were deployed into ether.fi during the month, together with an additional ~7K ETH previously primarily utilized within the covered calls strategy. The TM portfolio currently holds ~12.8K eETH and ~3.2K weETH.
~$1.3M was deposited into Spark’s sUSDC in early June, with the TM portfolio now holding ~$3.2M worth of the token. All non-native assets in the portfolio are essentially deployed, meaning that there is currently no idle capital being held. As a result of reallocations, the weighted 30D MA APY for the portfolio’s stablecoins has increased from 3% to 4.6% in the past 90 days.
Following the passing of the Continued Funding for the Arbitrum Foundation proposal, the size of the TM portfolio will decrease by 1,740 ETH and $16M worth of RWAs/stablecoins. Entropy has sent the OAT a suggestion regarding which positions to draw down to fund the AF, which is currently being evaluated by the committee. Several high-potential ecosystem growth-related allocations are being evaluated right now, with more details to be shared as things develop further.
Incentives: DRIP
In June, Entropy posted a proposal to extend DRIP’s mandate by 1 year until July 1, 2027. This extension was approved by the DAO following a successful offchain vote that concluded on June 25th. We recognize that public information around Season 2 has been limited, and its launch has taken more time than originally anticipated. As our team outlined in the DRIP Extension proposal, there are several strategic developments in flight that materially affect what an effective Season 2 should be designed around, and we believe it is more prudent to wait to deploy ARB so that the incentives fully align with these developments should they be confirmed. Spending 15-20M ARB on the wrong campaign is a much worse outcome than waiting a few additional months to run the right one. The OAT, Offchain, and the Arbitrum Foundation have been looped in throughout these discussions.
Ecosystem Data
Arbitrum GTM Support:
- Social Media Campaigns:
The Data Team:
- Robinhood Network Overview Dashboard:
- Released a full analytics dashboard for Robinhood Chain at launch, giving the industry a single view of TVL, activity, and ecosystem growth as the chain came online.
- Ecosystem Overview: Built network-level tracking for protocol TVL, stablecoin market cap, and the broader asset landscape, including DEX liquidity, canonical bridge flows, and active addresses.
- Blockspace Activities: Added blockspace and throughput coverage, tracking transactions, contract creations, TPS and Mgas/s, gas fees, transaction fail rate, and the top contracts consuming blockspace on the chain.
- Economics: L2 economics view, breaking out cumulative fee revenue, L1 data costs, gross profit, and gross margin to show the unit economics of running Robinhood Chain as an Ethereum L2.
- Ecosystem Highlights 1 Robinhood Stock Tokens: Covering assets deployed, total tokenized value, category breakdown across equities, ETFs, commodities and treasuries, daily mint and burn, and a full list of every tokenized asset.
- Ecosystem Highlights 2 Morpho: Added lending coverage for Robinhood Chain’s primary money market, tracking vault-level TVL, utilization and APY alongside market-level supply, borrow, and total market size.
- Released a full analytics dashboard for Robinhood Chain at launch, giving the industry a single view of TVL, activity, and ecosystem growth as the chain came online.
Governance Operations & Other Initiatives
Watchdog
Since implementing the timeframe limits to the program, the Watchdog has received 2 new cases. 1 of which was found to be not valid, while the other is still being investigated.
The program recovered ~74,676 ARB in the month of June, bringing the total amount of ARB recovered to ~457,365. There were no disbursements from the Watchdog program for Opex or reporter bounties in June.
As of June 30th, there are still 2 earmarked payments for reporters that have not started KYC. Entropy has continued to follow up with these reporters on roughly a bi-weekly basis to remind them that their rewards will be forfeited if they do not begin this process. Both earmarked payments are scheduled to be forfeited this month. Looking forward, once these outstanding payments are resolved, the Watchdog committee will begin discussing moving the program’s finances and KYC capabilities over to the OpCo.