OpCo – A DAO-adjacent Entity for Strategy Execution

Proposals
2

The advantage of this proposal is that it could help the Arbitrum DAO to deal more systematically with a number of important long-term projects, while avoiding the current fragmentation problem.OpCo provides a more structured framework for efficiently integrating and managing resources.

However, I personally feel that it is important to note that the creation of such an entity also brings certain administrative costs and risks, such as issues of trust in a small number of managers and whether it can be efficient in the long term, a point that has been echoed previously in the financial proposal 「[Non-Constitutional] Treasury Management v1.2 - #20 by kuiclub

34m ARB is a significant amount of money, it is recommended that OpCo provide a detailed plan for the use of the funds after launch and set up stage by stage KPIs to ensure that the funds are used effectively, the budget includes a larger buffer, although this will allow for market volatility, how can we ensure that there is true transparency in the use of these funds? In addition to semi-annual reporting, is there more frequent reporting on the use of funds, or is real-time financial visualization provided?

Recommendation:

  1. Introduce a stage-by-stage review system: OpCo can be set up to conduct a stage-by-stage review every six months to report back to the community on the progress of the current program and the use of funds, and allow the community to make adjustments based on feedback. This flexible adjustment mechanism will allow OpCo to adjust its direction in a timely manner when it encounters bottlenecks and avoid wasting funds.
  2. It is recommended that a stricter control mechanism be established in terms of governance and cost transparency, and that a more flexible adjustment space and exit plan be provided in order to adapt to future changes. A set of phased exit strategies should be formulated so that if OpCo fails to achieve the expected results, its responsibilities and budget can be gradually downsized, and its functions can eventually be transferred to other more suitable internal mechanisms of DAOs to ensure that funds and resources are not wasted.
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