Final: Arbitrum Stable Treasury Endowment Program

I have voted “For” this proposal. Broadly speaking, I am for treasury diversification. I think crypto still proves itself very volatile and that is great for a lot of things… but covering fixed expenses is not one of them. In voting for, I hope to see this venture gives us a data point for future diversification discussions.

I will add I think having the group is a good idea - one person or entity in charge would be a lot of responsibility and trust placed in them for this type of thing.

Some forward-thinking items:

With diversification it’s important to strike a balance with protecting the value of the treasury and divesting from ARB to the point the DAO loses alignment with the token. This proposal is far from doing that, but I would note that in the future I think we should set a hard cap of how much ARB must be kept as a % of the total treasury. I’d imagine here 51% in the minimum, but I’d like to see this discussion had in the future.

I noted it above, but I also don’t want to see the treasury become a pool of funds for trading and/or ARB price protection. This proposal doesn’t seem to be doing that either, but I can see how as the size of non-ARB funds grows this will provide more and more opportunity for that.

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