The SPS DAO has had its fair share of growing pains as we continue to learn and define the scope of the DAO. Today I want to address a pain point that I've been trying to help mitigate by talking to creators of proposals and I'd like to set a clear stance on how to resolve this issue. Going forward we need to ensure that any proposals that are made, especially when it comes to spending DAO funds, have explicitly clear guidelines on how to execute the proposal, otherwise I will consider the proposal invalid.
Currently, we have multiple proposals that are all running with an aim at attempting to earmark DAO funds for specific causes, but simple accounting should make it obvious to anyone that looks that we don't have enough funds to cover a scenario in which all of the proposals pass. For example, a proposal that just says "The SPS DAO will pay the team $500,000" may have the best of intentions behind it, but there is no clear instruction on how to execute that proposal. The source of funding should be clear and anyone making a proposal that is unsure of how to source the funds or do accounting of the DAOs reserves can ask me for assistance.
Secondly, when multiple proposals are all running and targeting the same limited funds, it becomes unclear which takes priority. This makes clearly sourcing the funds to execute a proposal even more important. For example, if a proposal intends to overwrite a previously passed proposal and appropriate those funds, then it should be made clear in the new proposal. If we need to sell assets to acquire the funds for a proposal, that should be part of the proposal as I am not at liberty to pick and choose how to source funds from DAO assets.
Also, since the current exchange proposal seems likely to pass, I plan to make a new market maker proposal tomorrow. The current proposal seems to have good intentions, but there are technical conflicts that will require an additional proposal to clarify. The logistics of pursuing a tier 1 exchange listing are a bit more complicated than the way the proposal is written, so I'll do my best to clarify the need for a new market maker proposal below.
For the SPS DAO to be in a position to pursue a tier 1 exchange listing, we need to be able to show a history of solid liquidity and volume for our token. It's not something you can just do when you want to get listed. While the current proposal makes the 9% of token supply that is currently Unallocated available for a variety of exchange and market making related situations, I feel it would be best to create a separate proposal with a clearly defined contract for people to vote on to approve hiring a market maker.
I think there is a potential path forward with the current exchange proposal, but it is on us as a DAO to do the groundwork to be ready to execute on that opportunity if it becomes available. If/when the current proposal passes, I'll have a market maker proposal ready and if the DAO chooses to support it, I'll start doing what I can to execute on the exchange proposal as written. Thanks for your time and consideration.