Non-Constitutional
Abstract
As per the GCP EOY Update and Transparency Report post, this proposal seeks to get the DAO’s approval on 3 changes -
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Increase the annual compensation for members of the GCP Council to align with comparable compensation standards for similar roles within the Arbitrum DAO ecosystem,
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Allow the Arbitrum Foundation (AF) to send ARB instead of USDC to the GCP Foundation, and
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Changing the cadence of transparency reports from quarterly to bi-annually to provide a more meaningful signal to the Arbitrum DAO while also reducing operational costs and manpower.
Motivation and Rationale
Increasing GCP Council member’s compensation
The current remuneration for GCP Council members, set at $30,000 annually, is significantly below the benchmarks of average DAO compensation levels. This discrepancy undermines the council’s time and commitment in managing the responsibilities associated with the GCP Foundation. Proper compensation is critical to ensuring the council can effectively aid the GCP team in executing its mandate, maintain accountability to the DAO, and help drive meaningful outcomes aligned with Arbitrum’s long-term vision on gaming.
Aligning GCP Council remuneration with the compensation for similar governance roles in the Arbitrum DAO ecosystem (e.g., the ARDC Supervisory Council and the proposed OpCo’s Oversight and Transparency Committee (OAT)) reflects the community’s guiding values of fairness, accountability, and excellence. For reference, the ARDC Supervisory council will be paid 60,000 ARB annually, and OAT council members for OpCo are proposed to be remunerated $90,000 annually + 200K ARB bonus over 24 months.
Adequate compensation underscores the DAO’s commitment to valuing the efforts and expertise of those entrusted with critical governance roles, ensuring the council’s sustained ability to meet the GCP’s ambitious objective of progressing Arbitrum as the home of Web3 gaming.
Allow the Arbitrum Foundation to send ARB instead of USDC to the GCP Foundation
As part of the treasury management strategy outlined in collaboration with the AF, it has been jointly recommended that the GCP Foundation receive ARB tokens instead of USDC or USD, as initially proposed in the original Tally proposal.
This approach not only alleviates operational demands on the AF, but also grants the GCP Foundation greater flexibility in managing token conversions while utilizing a process similar to that currently employed by the AF.
Additionally, the GCP team will continue to engage with DAO delegates and stakeholders to explore innovative solutions and platforms that support treasury management activities.
Changing the cadence of transparency reports from quarterly to bi-annually
After discussions with key delegates at Devcon, the GCP team proposes aligning the timing of transparency reports with the AF’s bi-annual reporting schedule. This adjustment aims to provide more impactful insights to the Arbitrum DAO while minimizing operational costs and resource demands. A 6-month cadence allows for more substantive updates compared to a quarterly schedule, which may be too incremental given the longer timelines for investment and grant cycles.
In addition, as per feedback from delegates and key stakeholders, the GCP team is exploring more communication methods to keep the DAO informed. These could include monthly newsletters, forum updates, quarterly “State of Gaming” events, and live presentations at major conferences like EthCC and Devcon. As the GCP team grows, we plan to expand communication channels to provide the DAO with comprehensive updates on both the GCP’s progress and developments in the broader web3 gaming industry.
Specifications
This proposal can be ratified via a snapshot vote, and approval voting will be used. The benefit of using approval voting is that a single proposal can be used to solicit approval on several decisions.
Each selected choice will receive equal voting power. If a delegate selects 2 options, each option will receive the total voting power of the delegate.
Voting options:
- Increasing GCP Council Compensation
- Allow the Arbitrum Foundation to send ARB instead of USDC to the GCP Foundation
- Allow change of cadence for Transparency Report from quarterly to bi-annually
- AGAINST
- ABSTAIN
Each option would need to receive enough votes achieving the non-constitutional AIP quorum for it to be considered approved by the DAO.
Change 1: Increasing GCP Council Compensation
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Increasing annual remuneration for GCP Council members by $50,000 from $30,000 to $80,000.
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Increasing annual remuneration for Tim Chang and the future IC seat by $40,000, who in addition to his council duties, sits on the investment committee (IC), to $120,000. As per the approved onchain GCP AIP on Tally, the IC provides extra perspective on deals brought forth by the Investment Lead and other team members, and makes a final decision on investments.
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If approved by the DAO on Snapshot, the new proposed salary will be effective as of Jan 1, 2025, which is the official program kickoff date for the GCP.
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Allow the GCP to update council salaries per year (in keeping schedule with elections etc)
Total additional annual costs: $240,000
- $50,000 increase annually for 4 council members (David Bolger, John Kennedy, coinflipcanada, Greg Canessa)
- $40,000 increase for Tim Chang (current IC chair and any future IC member)
- The Arbitrum Foundation will not be eligible for this additional compensation.
There will be no new costs to the DAO for this proposal. If the DAO achieves a ‘FOR’ consensus on the temperature check, the increased costs will be coming out from the ‘Program Administration & Operations’ budget under the GCP proposal.
Change 2: Allow the Arbitrum Foundation to send ARB instead of USDC to the GCP Foundation
Change 3: Allow change of cadence for Transparency Report from quarterly to bi-annually
Steps to Implement & Timeline
- Proposal Submission on the forum: DONE on this post
- Community Discussion: 2 weeks
- Temperature Check on Snapshot: 1 week after