We’re voting for the proposal on Tally as we believe the actions proposed will facilitate
- Treasury Diversification: Reduces reliance on ARB token by diversifying into stable, liquid, and yield-generating RWAs.
- Ecosystem Growth: Encourages RWA adoption on Arbitrum, increasing platform utility and attracting quality projects.
- Direct Control & Transparency: DAO directly selects assets, avoiding management fees and ensuring transparency via reports and a live dashboard.
- Endowment Potential: Builds a sustainable revenue stream for DAO expenses, with $162,500 in yield already generated.
- Proven Framework from STEP 1: Builds on the success and infrastructure of the first program, making implementation more efficient.
- Refined Application Process: Improved RFP process ensures higher-quality investments and filters out unsuitable products.
However, we also believe that the following points of concern should be considered and dealt with when moving forward with the proposal
- Timing of STEP 2.0: Full results from STEP 1 are not yet available, making it harder to assess its success before launching the second program.
- ARB Liquidation Strategy: Unclear liquidation approach raises concerns about selling ARB at low prices. Some call for a more detailed plan.
- Program Manager Compensation: Uncertainty about whether increased responsibilities justify higher compensation, which may need a separate proposal.
- Governance Risks: Reducing ARB holdings could make governance attacks easier and more cost-effective.
- Lack of Data Justifying Treasury Allocation: Some members request more analysis on the long-term benefits of allocating 1% of the treasury annually.
- Parallel Fund Transfer: Funds are allocated before finalizing selections, raising concerns about community alignment with committee decisions.