OpCo – A DAO-adjacent Entity for Strategy Execution

[Entropy]

Following last week’s community call and additional conversations with key stakeholders and delegates, we’ve made the following final edits to the proposal on January 22nd:

• Increased the ask from 22M ARB to 30M ARB given the decline in ARB’s price since the proposal was previously updated.
  • 26M ARB reserved for liquidation until $12M worth of cash equivalents has been attained (at the price of $0.68 as of January 21st, this would require ~18M ARB).
  • 4M ARB reserved for bonuses.
  • After subtracting the bonus allocation and the liquidation is complete, any remaining ARB will be immediately transferred back to the DAO treasury.
• Updated the timeline based on the most recent developments.
• Added the below text to the “OpCo KPIs & 12-Month Deliverables” section to establish tangible, initial focus areas for the entity:

@Entropy

The two primary, immediate priorities for OpCo should be regarded as follows:

1. Establishing the legal entity
2. Implementing robust and qualified oversight capabilities (mainly the Oversight and Transparency Committee)

Once these two components have been achieved, the entity is prepared so that when the OAT and Foundation find the perfect initial employees for OpCo, it will be ready to begin servicing the DAO’s needs, although it will take some additional time for OpCo to ramp up to full capacity. It is important to note that the DAO should not optimize for rushing OpCo to full capacity versus optimizing to have it available for when the OAT finds the right person and the DAO needs it most.

In the twelve months following OpCo’s official initiation date (i.e., when, among other things, the entity, structure, and initial staffing have been finalized), the entity is expected to achieve the following tasks at minimum, given the DAO still finds them relevant and supports their facilitation by OpCo in the future:

• Establish adequate processes, capabilities, internal controls, and any other relevant functions such that the entity is ready to assume/create contracts with service providers, take on admin work where required, do adequate reporting, and manage new initiatives end-to-end on behalf of the DAO (KYC, payments, etc.)
• Set up regular touch-points with Arbitrum Stakeholders (delegates, OCL, the Foundation, etc.)
• Consolidate the TM V1.2 and STEP initiatives into a cohesive strategy that is facilitated with the help of the entity.
• Given the Watchdog program is ratified through the governance process, absorb the management of the program.
• Given the SOS framework is ratified through the governance process, manage the subsequent review/ad hoc strategic objective adjustment processes, potentially replacing the research member of the ARDC in creating quarterly reports updating the DAO on the process made with respect to the chosen objectives if delegates so choose.
• Together with the Foundation, formulate a synergistic plan for DAO communications (internal and external), branding, and marketing, as well as hire personnel/contract vendors if required.
• Absorb the Events Budget initiative and formulate/manage an events strategy for the DAO, again, working together with the Foundation.
• Design and implement a financials and deliverables (whether programs are developing in line with what was initially expected/communicated) reporting structure for all relevant DAO programs.

We aim to move this proposal to the onchain voting stage next week, with voting starting on January 30th.