Arbitrum Treasury and Sustainability - Working Group

Arbitrum Treasury and Sustainability - Working Group

The Treasury and Sustainability Working Group was formed to address critical challenges facing the Arbitrum ecosystem, particularly in treasury management and sustainability. Its primary roles include researching best practices for managing price impact from large liquidations, optimizing treasury diversification, utilizing sequencer fees effectively, and converting grants into strategic investments. Additionally, the group evaluates various practices, tools, and service providers to determine integration suitability.

Home Meetings Projects Contributions

Member:

  • Devansh Mehta
  • Siddique Patel

Goals:

The goal of the Treasury & Sustainability Working Group is to address the challenges associated with managing the Arbitrum DAO treasury, which currently holds nearly 3.5 billion ARB. Specifically, the group aims to limit the price impact from ARB distribution and diversification over the coming years, including ARB liquidations from grant allocations.

Deliverables:

  • Surveying Best Practices: Identify and evaluate best practices for managing large liquidations from grants and incentive programs, treasury management and diversification, sequencer fee utilization, and converting grants into investments.
  • Engagement with Service Providers: Engage with service providers and community members to assess potential tools, practices, or service providers that could enhance treasury management and sustainability.
  • Productive Engagement: Foster productive engagement within the community through active participation in discussions, proposal submissions for on-chain votes, and engagement with service providers on the designated forum.
  • Research Contributions: Contribute valuable research findings, proposals, and case studies addressing various aspects of treasury management, sequencer revenue allocation, treasury diversification, earning yield, and minimizing the price impact of ARB distribution.

Outcomes:

  • Mitigated Price Impact: Develop strategies and mechanisms to limit the price impact of ARB distribution and diversification, ensuring sustainable growth and stability of the Arbitrum ecosystem.
  • Improved Treasury Management: Implement best practices and tools for effective treasury management, including diversification into traditional instruments like stocks or US bonds, and increasing the amount of native token locked.
  • Increased Community Engagement: Enhance community engagement and participation in governance processes through regular updates, office hours, and collaborative efforts to address treasury-related challenges.
  • Recommendations for DAO: Provide recommendations and insights to the Arbitrum DAO based on research findings and community feedback, facilitating informed decision-making regarding treasury management and sustainability.

Discussion Channels: