👨🔬 Governance Lab #050
Lab Report #050 - Unpause SAFE Token & Karpatkey SafeDAO Treasury Manager, GHO Cross-Chain Expansion Plan, MakerDAO x Ethena
gm frens 👋
Welcome back to another weekly edition of the Governance Lab, your source for all things StableLab, DeFi, and DAO Governance.
We might have a new stablecoin darling, Optimism Collective restructures its retro grant funding program (gets push back), Arbitrum DAO receives memecoin fund proposal, Aave DAO discusses onboarding a new risk provider, weird stuff happening on Blast, and more. Lots to get through this week so let's just jump in.
Also, left a poll at the bottom of the newsletter, your feedback is appreciated. 🙂
At a Glance 👀
🔓 SafeDAO discusses SAFE transferability proposal, Karpatkey proposes serving as treasury manager
⛓️ Aave Labs submits cross-chain GHO expansion plan
🏦 MakerDAO evaluates depositing USDC into Ethena and deploying Morpho Vault
Let’s dive in 🏊
Unpause
SafeDAO discusses unpausing the SAFE token contract and Karpatkey proposes becoming the DAO’s treasury manager
After launching as non-transferable in September 2022, the SAFE token is now eligible for a new vote on enabling transferability. A previous proposal to unpause the token failed in November 2022, leading to the establishment of 5 milestones in SEP #3 that needed to be met before another vote. With the passing of the final milestone (SEP #21 on token utility) on March 18th, 2024, SafeDAO is now considering a draft proposal to call the unpause method on the token contract using the SafeSnap module. If successful, this would make SAFE transferable no earlier than April 23, 2024.
Also at SafeDAO, Karpatkey, the leading treasury manager for DAOs have put forth a proposal to serve as the DAO’s dedicated treasury manager. With SEP#3 ratified and SAFE close to being transferable, the Karpatkey team plans to become a service provider focused on treasury management, protocol integrations, risk management, and research. The proposal requests a 2% annual fee on AUM, paid monthly in stablecoins.
Expansion
Aave Labs proposes rollout plan for cross-chain GHO expansion
Following the successful vote to use Chainlink's CCIP as the first bridge for GHO's cross-chain strategy, Aave Labs has put forth a TEMP CHECK to engage with networks interested in integrating the GHO stablecoin. The proposal aims to kickstart a transparent process to identify the best network for the initial deployment.
The proposal outlines a two-phase approach: a Submission Phase (March 22 - April 1) for networks to submit proposals detailing their suitability, followed by a Discussion and Evaluation Phase (April 2 - April 12) for community engagement and preliminary assessment of the proposals. The proposal suggests networks chosen to integrate GHO could significantly enrich their stablecoin ecosystem and unlock new functionalities for users. The phased rollout allows the DAO to proceed in a controlled manner, carefully evaluating each step before expanding to additional networks over time. The proposal is scheduled to move to a Snapshot vote on April 13th.
Vaults
MakerDAO evaluates deploying Andromeda Vault funds into Ethena Protocol and prepares for Morpho vault
A new proposal from BlockTower outlines a plan for MakerDAO's Andromeda Vault (RWA015-A) to deploy USDC into the Ethena Protocol to mint USDe, a synthetic dollar combining yield from staked ETH and perpetual futures markets, and stake it into sUSDe. The proposed DAO resolution would enable the Ecosystem team at Maker to initiate a deployment into USDe with TACO & SUBS LLC managing the deployment and return of funds, and BlockTower Capital Advisors as the Arranger supervising the process.
Also at MakerDAO, the Block Analytica team began preparations for deploying a Spark DAI Morpho vault by submitting their risk analysis and review for Ethena’s USDe stablecoin. The team followed that up with a post outlining the proposed initial parameters for the Direct Deposit Module to supply DAI into the Morpho vault, which plans to allocate DAI between sUSDe and USDe markets. BA Labs has recommended setting the initial cap to 100M DAI. The Morpho vault will be part of Spark once SparkDAO comes live later this year. These parameter settings and a DSR decrease, among other changes, are part of this week’s Executive Vote.
❲ Links ❳
🚀 Launches & Deployments
Introducing USDA and the governance vote
Announcing the $ENA token
📑 Insights & Reports
Optimism GovScore
SAFE Token Transferability
The Airdrop Trilemma: A Data Problem in Disguise
The Anatomy of Ethers Phoenix - Dissecting the Optimism Collective
🧗 Milestones & Updates
Optimism: Token House participation and incentives: Season 5 (Cycle 16-19)
Optimism: 850M OP Dedicated to the Evolution of Retro Funding
Optimism: Cycle 19: Final Grants Roundup
MakerDAO: Real World Asset Report - 2024-02
🔒 Security, Risk, & Hacks
Prisma Finance exploited
Oracle Risk and Security Standards: Network Architectures and Topologies (Pt. 2)
Aave DAO: Allez Labs Risk Service Provider
New Hampshire Has a Better Approach to DAOs
Curio Governance Token Exploit
🗞️ Miscellaneous
Paladin: Redesigning Paladin Governance
Arbitrum DAO: Memecoin Fund
Balancer: Engage Wonderland as a Service Provider
1inch DAO: Recognized Delegates Program Renewal
❲ Proposal Tracker ❳
⚡ LIVE | Arbitrum - Double-Down on STIP Successes (STIP-Bridge)
Summary: This proposal introduces the STIP Bridge program, which aims to provide interim incentives to key protocols in the Arbitrum ecosystem to retain them until the Long Term Incentives Program begins. The STIP Bridge will allow eligible protocols that received funding under STIP to apply for bridge grants, with funding amounts capped based on their prior STIP allocation. An optimistic voting mechanism will be used for approvals to mitigate delegate fatigue. The proposal requests a maximum incentives budget of 37M ARB.
💬 DISCUSSION | GMX - Governance Upgrade
Summary: This proposal outlines a governance upgrade for the GMX DAO to enhance community participation and protocol development. The upgrade formalizes the proposal lifecycle, establishes proposal templates, introduces temperature checks, and creates a transparent onchain governance framework using Tally. The proposed structure utilizes a token-based voting system and a four-phase proposal process (Ideation, Request for Comment, Temperature Check, GIP Proposals). The proposal aims to foster a vibrant community and facilitate rapid innovation within the GMX ecosystem.
💬 DISCUSSION | Gnosis DAO - karpatkey DAO Service Extension
Summary: Here, GIP-95 proposes extending the scope of services provided by Karpatkey DAO to GnosisDAO to allow for investment in RWAs and interaction with offchain entities. The proposal cites the need for GnosisDAO to diversify into RWAs and access off-chain services. It modifies the "Treasury Management" section of previous GIPs (GIP-20 and GIP-58) to include RWA strategies research, due diligence, and engagement with legal entities like the proposed Gnosis Asset Holdings Foundation. The proposal does not change the existing fee structure between the two entities.
💬 DISCUSSION | Element DAO - Hyperdrive Testnet Alignment Game
Summary: This proposal introduces the Motivator Hyperdrive Testnet Alignment Game, which aims to incentivize participation and contributions to Element's testnet launch. The game, designed by Butter, involves three rounds and will take place over four weeks. Top scorers will receive rewards in ELFI tokens, with a total reward pool of up to 1M ELFI.
From the Lab
TEMP CHECK Mobilizing the Uniswap Treasury
Our proposal to launch the Uniswap Treasury Working Group has moved to a Snapshot vote. The UTWG is an 8-week research program designed to produce effective treasury investment strategies for the Uniswap DAO.
See the full proposal HERE. Voting Ends on March 31st
… 🤖
Something is approaching…
Expected Arrival on Tuesday, April 2nd, 2024
❲ Our Voting ❳
📆 March 22 → March 29 | 🗳️ Total Votes: 27
See our full vote history and detailed rationale HERE.
Meme
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