Proposal for Enhanced Transparency in ONOMY DAO

Onomy Improvement Proposals (OIPs)
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Proposal for Enhanced Transparency in ONOMY DAO

Objective:

I propose that our DAO should embrace greater transparency, especially during times of tension. This will be achieved by creating a comprehensive monthly financial reporting system.

Proposal Details:
I suggest the implementation of a monthly Income Statement and Balance Sheet. Additionally, a cash flow statement showing the origin and destination of funds should be established.Initially, the focus will be on understanding the current financial situation. After this phase, a draft income statement, with all necessary accounting items, will be prepared. Subsequently, all the above-mentioned reports will be published monthly.Alongside the quantitative data, I will include qualitative information such as outstanding debts with suppliers or clients, and any other relevant details that highlight the DAO’s financial health and viability.

Timeline:
This initial period for gathering and understanding the necessary information is expected to take between 3 to 6 months. During this time, I hope to collaborate with the treasury management team of the DAO via email.

My Qualifications:
I have extensive experience in preparing financial reports for shareholders and board members, which is my current profession.

Budget:
Until I am able to provide reliable and comprehensive data (which may take between 3 to 6 months), the cost to the DAO will be zero.Once the first monthly report is published, payment will be structured as follows:A monthly salary payable in NOM equivalent to 2K USDT, with a 6-month linear vesting period.

Payments will be made one week after each report is submitted (on the 10th of the following month).I believe the cost is minimal considering the transparency this initiative will bring to the DAO.

Call to Action:
I request your collaboration, support, and ideas to bring this proposal to fruition.

After that I will (or not) submit my proposal in order to be voted.

3 Likes
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Reports to be published here, format: PDF, Google Sheets.

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Hello this is a good start to building a budget and forecasting reports for the community -

I was looking for a good example of a protocol that uses orthodox accounting principles to manage a DAO wallet etc

Kujira is becoming a DAO after the core contributors bankrupted their development wallet by failing to manage risk and more importantly no oversight by the community.

The core team proposed creating a DAO and auditing the accounts then raising the cash via an auction but seems like ThorChain has stepped in to acquire the project and add it.

1 Like
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Hey Thanks for sharing. That’s a Balance Sheet. We can have one if we have several assets.

One report I think we should have:
Onomy Balance Report

There it will be shown the amount of NOM (and other currencies if existent) at the end of the month.

I could add value in dollars taking the lastest exchange rate (USDT/NOM) of the month.

Depending on the number of tx I would attached them all, or group them by type (reward, revenue, operational cost, marketing expense, etc etc).

Screenshot_8
Screenshot_8670×883 38.7 KB

Information is in PDF, to be shared when uploaded (Maybe Github?)

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Hi again:

Here you have

This is a sample financial report. More detail can be added by indicating the third parties with which there are relationships, such as service providers.

Additionally, it can include the allocation of grants and loans, specifying the repayment terms and the interest rates charged for the latter.

Please note that I have assumed the types of income the DAO receives (currently, there are no income streams except for sales like the one that occurred a few days ago), and I do not have information on the monthly expenses incurred by the DAO.

I found it relevant to prepare the income statement in NOM and USDT at the exchange rate in effect at the end of the month. Dollars are a measure we all have in mind, and by also having it in NOM, we can see what percentage of the DAO’s funds are consumed or increased during the period.

My intention is to prepare this report between the 1st and 10th of each month, ideally even earlier.

To do so, I would need specific information about the addresses where the funds are held.

I assume that the DAO also maintains funds in stablecoins. If these are held in a public address, it would be added to the Balance Report.

I look forward to your comments.

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Apparently Transparency is not welcome.

I cut my budget 50%.

My offer is still valid.

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I like the idea of transparency but what actionable insight will this give us that we can use to push the protocol further? could you please detail?

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Enhanced Transparency can attrack investors to the DAO for several reasons:

By having a good scheme of transparency investors would be aware of how profitable is the DAO and how the DAO can afford long term development projects.

Also if the DAO itself has a P&L account can establish long term projects and this projects are likely to be developed, since the funds are not a problem.

At this moment we have information, but not all information.

How many NOM does the DAO has? What is the decreasing pace? Are we getting any income? Would we survive six months more if the development gets stuck? How many NOM are we expending in Marketing?

If you want to invest in stocks companies will publish monthly reports about the status of the company almost in real time. That’s not happening here.

Even some corporations would invest in Onomy if the information would be enough to comply with their investment plans.

Check this one:
Bain Capital, Business:
Bain is investing in companies focused in software development, fintech, payments, healthcare, and security

https://www.baincapitalprivateequity.com/portfolio

Companies like Bugaboo, Kantar, Valeo Foods and Virgin Voyages, and yes, they are in Crypto:

Celestia, Aera, Fuel, MakerDAO, Osmosis, etc etc etc

Do you think they will invest in ONOMY with the current information there is available?

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i think this is based on an idea that might not be the case. we know exactly everything the ‘dao’ spends because the treasury is on the chain and any noms moving has to go through governance. so the dao wallet itself does not pay for anything constantly and is not making any money now.

1 Like
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Can you spot the treasury on chain?