The Ranch, Issue 2
Updates on Llama's work with Gitcoin, Aave, and PoolTogether. Plus, a cheaper way of running governance + an exploration of the subDAO model.
Welcome to The Ranch, Llama’s Substack newsletter.
In this publication, we’ll share quick and easy to digest insights on:
Updates from Llama 🦙
Herd on the Street - interesting insights on DAOs
Opportunities - ways you can get involved with Llama
1. Updates from Llama 🦙
In the next few days, this working group will publish a new post on Gitcoin's governance forum outlining criteria for strategic partners and asking potential partners to indicate interest in participating in the diversification.
Additionally, the working group will:
Have conversations with potential partners
Respond to community feedback and provide weekly updates throughout the process
Choose the final list of partners, allocation sizes, and rationale.
Ensure execution goes smoothly.
Llama will build the smart contracts necessary for the execution of the working group's decision.
Keep your eyes peeled for more of our thoughts on how DAOs can go about running community-centric treasury diversifications. 👀
Meanwhile, Llama published Gitcoin's monthly financials for December.
Llama published the December '21 Aave Treasury Report last week. December saw strong L2 performance with revenue growing month on month relative to the Polygon Network. Aave's Ethereum mainnet revenue fell, however, as alternative chains like Avalanche gained traction.
Key stats from the report:
Total treasury balance $574.2m
Ethereum Network V1/V2 revenue down 24.9% from November to $2.3m
Polygon Network revenue up 16.6% from November to $1.3m
Llama is working to integrate Avalanche network data into this reporting. Should you have questions or comments on the report, please reach out to Elliott!
Llama continues to work on a proposal to consolidate Aave's V1, V2, and AMM Reserve Factors. The proposal would combine the reserve factors, enabling Aave to earn more yield on its treasury.
Currently, PoolTogether's rewards are subsidized by stablecoins in their treasury. The working group's current focus is on finding risk-prudent ways to earn additional yield to fund PoolTogether's rewards.
In an ongoing debate on POOL tokenomics, PoolTogether community member Tuna proposed introducing a V4 POOL pool supplemented with $2,500 in USDC prizes (~$1m/year). The proposal also suggested reintroducing the POOL drip to PoolTogether's USDC pool.
2. Herd on the Street
Insights and articles from the DAO world, curated by our shepherds.
Introducing Snapshot X: our upcoming on-chain voting framework for trustless execution - Snapshot
Snapshot X is Snapshot's newest innovation in on-chain voting. Previously known as StarkWare, Snapshot X will allow any DAO to run their governance on-chain on Layer 2 for a fraction of the cost while still executing transactions on mainnet Ethereum. As gas costs remain high, Snapshot X brings governance rights to everyday users while keeping the security associated with running governance on mainnet.
What's a SubDAO? - frogmonkee
How can DAOs coordinate effectively without simply adopting the hierarchy models from traditional organizations? Frogmonkee breaks down a new model: subDAOs within a superDAO, where subDAOs operate with autonomy (and their own multisig) while still staying aligned with the superDAO's overarching goal. The subDAO model is still in its infancy, but there are exciting new protocols being built around the concept, like Orca, who cleverly refers to these sub-units as "pods."
We're looking for talented artists and graphic designers 🖌 to help us with graphics for social media and blog posts. If you fit the bill, let us know in this form!