TLDR
The core contributors propose consolidating operational costs by merging the Research & Development (R&D) wallet into the Operations wallet. Currently, the Operations wallet is already used to cover R&D expenses, leading to a blending of funds. This merger aims to streamline expenses and reduce transaction fees. Additionally, the core contributors will begin sharing detailed monthly reports on all expenses and income, providing token holders with a transparent view of how funds are utilized and generated, based on Net Revenue.
Authors
Core Contributors
The Why of the Proposal
This proposal seeks to enhance transparency regarding Reform’s financial activities by offering a clear breakdown of how net revenue is spent and what the associated costs entail. Monthly updates on net revenue and operational costs will offer token holders a complete view of Reform’s financial health and profitability after expenses.
The idea for merging the R&D and Operations wallets is to reduce unused wallets and minimize gas fees associated with fund distribution. Since the launch of the RFRM token, Reform DAO has utilized public multi-signature wallets to provide visibility into costs. However, these wallets only show transactions, not the details of what funds are spent on. Payments for R&D, which are essential for developing new features, have frequently been drawn from the Operations wallet. To streamline this process and avoid extra gas fees, the core contributors propose consolidating the wallets. After the merge, Reform will start monthly reporting, offering token holders a transparent breakdown of costs and the purposes they serve.
The Longer Explanation of the Proposal
Reform DAO has always prioritized transparency, both for the broader market, market making and its token holders. Weekly updates on the operations wallet, revenue, and transaction IDs are already shared, with the operations treasury’s use of 25% of net revenue being fully public. This level of transparency allows token holders to see how funds are allocated.
Since the TGE, Reform DAO has experienced rapid growth, expanding its team with over 20 new freelance employees and several full-time hires, focusing on blockchain and new feature development. Some freelance employees, particularly those involved in R&D, have been paid from the Operations wallet to avoid delays and additional gas fees associated with multi-signature wallets.
To address this inefficiency, the core contributors propose merging the R&D and Operations wallets, reallocating the combined 35% share (previously split into 10% for R&D and 25% for Operations) entirely to the Operations wallet. This change does not signify the cessation of R&D activities but simplifies the payment process, making it more efficient.
In addition to merging wallets, Reform DAO will start sharing detailed monthly reports on all expenses, providing insights into what funds are spent on. Whether payments are made to developers, freelancers, or for services like Twitter Gold, all costs from the Operations treasury will be publicly available on the blockchain and shared in full in the monthly report. This transparency allows token holders to see exactly where funds are allocated and opens the door for discussion. If token holders disagree with certain expenditures, core contributors can offer explanations or adjust spending accordingly.
In summary, combining the R&D and Operations wallets will simplify payment processes, reduce ETH fees, and provide token holders with detailed monthly reports on operational expenses from the operations wallet, including R&D. This change aims to enhance transparency and make it easier for costs to be managed and paid efficiently.
Budget
No additional budget is required for this proposal.
Poll
- For
- Against
Please cast your vote and provide feedback on whether you are “for” or “against” this proposal before it proceeds to vote.reformdao.com.