Aladdin Treasury Management

In the last cycle we had in 2017 raised money through ICO’s. Those token-powered projects created large treasuries of a protocol’s native token and allowed it to be controlled by the founding team. Luckily, that approach has become a thing of the past. Nowadays, it’s more common for a new crypto project to create a decentralized autonomous organization (DAO) to manage its assets. I would say it’s even more healthy. That was what ALADDIN also did.
Like the majority of the DAO’s , Aladdin sold part of it’s governance tokens, $ALD, to different investors to raise some capital (in form of $USDC and $DAI). The capital raised, together with the unsold $ALD, forms the initial Aladdin DAO treasury.

So, now we have the DAO’s treasury, but it needs to be managed.
As we all know, every holder of $ALD can have their say in the governing of the protocol by submitting proposals for a vote. Writing a proposal and having a vote on it takes time.
In order to speed up the day to day activities of the DAO I propose to form an Active Treasure Management Committee.

Responsibilities of the team will be:

1.Create the annual budget based on the protocol’s needs and its treasury size.

  1. Create and present to $ALD holders Quarterly Treasury Overview

  2. Create and present to $ALD holders Quarterly Spending Reports

  3. Diversify the assets in the treasury.

  4. Assure that the returns of the treasury will be greater than the spending rate.

  5. Create different yield strategies to grow the treasury.

The treasury committee can be voted on and removed by $ALD holders after the committee it’s first founded.

We need to keep in mind that the treasury needs to be structured without a finite time horizon.

Please note that the above responsibilities are not inclusive, I’m hoping you can leave in the comments any other that should be included (or excluded).


Very nice and clear!

To add, @pauls did some research how other daos are doing this and I asked him to make a draft for a possible treasury management for Aladdindao.

I guess this applies to dao owned treasury, not the revenue to form the lowest bond for the now economic model.

To the points:

  1. Budget should be done mere frequent, I think also quarterly. As we are a start-up these Budget is much more a guidline and a way to think how to spend money in a effective way.

  2. For asset diversification I guess we need to talk about risk and strategy end then execute this strategy.

  3. I don’t think we can do this, we are a start-up, so its natural to use some of the capital. If we had a lot of ETH of we could think about putting this to liquid and get lusd out of it and then use this lusd to pay people.

Regarding the voting, we could propose members for this body and then have a general vote on the body and treasury Management? I don’t think general ALD holders should vote for people as we were politicians. In a conflict this could be very unhealthy and make great damage. I guess to the general ALD holders should more vote on general strategy stuff, then people?

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