Happy to see this type of project gaining steam, as a lot of good points about inefficiencies in the DAO (especially on silo’d efforts with little to no cross-project collaboration). So I hope this type of project can resolve a lot of that.
The post and other comments address a lot of questions I would otherwise have, but I wanted to ask about one item:
It’s also important to note that several line items, such as entity setup and legal services are notably larger than what the actual expenses are expected to be. This was done to account for any unforeseen events or worst-case scenarios which could require notable capital commitments. Moreover, several buffers have been applied to the 35/34M ARB figure to account for the risk of a decreasing ARB price, with the purpose of securing OpCo’s continuous operations even if notable market downturns materialize.
Funds will be transferred to an Arbitrum Foundation-controlled address and 10M ARB will be liquid immediately. Once OpCo’s legal setup and related aspects are finalized, 24M ARB will begin vesting to an OpCo-connected multisig(s), with 1M ARB vested every 30 days over 24 months. Some of the ARB connected to the vesting structure might be converted into stablecoins before being put in a vesting contract to ensure that OpCo can operate in case of large market downturns. The Chief of Coins, together with relevant parties, will be responsible for maintaining an adequate runway for covering USD-denominated expenses while accounting for market volatility, as well as establishing a low-risk management strategy for idle capital to enhance the impact of the allocated funds.
It’s good to see projects learning from other projects mistakes, but if we know the cost in USD (or atleast, some of the expected costs) is there a reason to not just sell to USD right away to ensure funding? I say that fully understanding that a) 1m of it will be incentive based, so it makes sense to keep it in ARB and b) some costs aren’t fully know yet… but I think that sitting in ARB brings on market risks to a project that has a long runway. For example, if we know the oversight council will be $25,000 a month, why not just sell the $600,000 USD worth of ARB at the start?
Also, apologies if I missed it but I didn’t see any note on additional ARB going back to the DAO. Can you confirm if that will be the case?
Edit: Voting “For” on Tally as I believe issues have been addressed. The willingness to adjust to feedback is appreciated.