Thanks for sharing these allocation recommendations. I’ll keep this brief, since I’ve already outlined most of my thoughts on DAO treasury management in my comment under TMC’s allocation proposal. Here are my main thoughts on GMC’s proposed allocation:
- I really don’t think a DAO treasury should be run like a hedge fund. Trying to squeeze out a small percentage of yield risks distracting us from what actually moves the needle: making Arbitrum a better platform for builders and growing the ecosystem. While earning a bit of yield is nice, it can quickly become a distraction from what should be the DAO’s core priorities.
- The DAO should avoid picking winners. Singling out certain protocols can alienate others (as we’ve seen), and make it harder for them to compete with those that were included in these allocations, ultimately hindering the growth of the ecosystem by creating artificial advantages that distort market signals and competition.
- The only allocation I’d seriously consider supporting is in Lido wstETH, as it’s a straightforward and relatively low-risk way to avoid dilution from ETH issuance. The incremental yield from other allocations seems minimal, so I don’t think it’s worth it also given the additional risk we’d take on and the artificial advantages these allocations might create.