*UPDATE: This feedback was updated on 23rd April 2025. Mostly extending my research and thoughts about this objective.
Thank you for the submission. I think these are great objectives.
I’d like share my thoughts a bit on Objective 3: Aligning ARB with Arbitrum IP. I think this is a super important topic, but it doesn’t get discussed enough.
It’s been hard to track DAO’s finances and treasury and follow what’s happening. The new dashboard by @Entropy is a great improvement: Dune - Arbitrum DAO: Financials. Is clear how much expenses vs income DAO has done so far. It’s clear, that the current DAO is not sustainable.
Source: Dune, 23.04.2025, (see graph: Cumulative Income and Expenses)
After reading Entropy SOS Objective 2, I got some good insight. The quote below is interesting.
I think it’s fair to say the DAO’s sustainability right now is more like a startup—so the focus should be on how we allocate capital to get the best long-term return. But that’s not the whole picture. A DAO is a mix between a startup and a corporation with billions $ in treasury, so we should also think about sustainability in a broader sense—like setting budgets, tracking KPIs, and planning for long-term stability.
I’m glad that sustainability is being highlighted here. Starting with a financial audit is a great first step. But after that, I suggest the Objective also includes these 2 points:
1. Strengthening the revenue streams that already work.
The results of the audit should help guide decisions on which revenue streams deserve more R&D investment. On the flip side, we should also set clear limits and shut down revenue streams that aren’t effective. You can already see some of this data by looking at the Dune dashboard. If possible, instead of audit (if possible) we should strive for a real-time analytics like this:
Source: Dune, 23.04.2025 (see graph: Arbitrum DAO Income Breakdown)
In this kind of analytics, we should also include information from other DAO programs (like STEP and treasury management programs, etc)
2. Encouraging even more experimentation around new ways to make revenue.
I suggest adding a point under this Objective about encouraging more experimentation—like running hackathons or idea competitions focused on finding new ways to grow revenue for the DAO.
Hackathons and startup weekends are proven tools for sparking innovation in companies, and I think they could work well here too. It would give us a reason to pause, come together, and actively brainstorm new ideas.
We could even organize this by forming mixed groups—bringing together AAEs, active DAO participants (like delegates), and large token holders—to go through these exercises. I think this could lead to some really strong proposals, similar to what @KlausBrave was doing with GovHack.
About Year 2 – ARB Staking & Real Yield Projections
I could really get behind the Objective by Max, who called it: Give premium to ARB:
Since your part in the Objective is a bit more general, I think it would be great to add a few concrete ideas about what this objective should deliver:
1. Use ARB for DeFi and governance at the same time:
- Let’s allow staked ARB to still retain its delegate voting power and generate yield at the same time.
- Delegated ARB should be used as collateral to borrow funds.
2. Tie spending proposals to stakeholder incentives:
- Any proposal that asks for a significant amount of funds (especially ARB tokens) should also offer a way to generate that funding.
- For example, if a project needs $10k a month, how much ARB would need to be locked/staked to generate that yield instead of just spending ARB directly?
@tnorm Here are a few ideas that came to mind while reading the Real-Yield Framework section. Are these the kinds of examples you were thinking of? Curious to hear what else you had in mind.