VDP-58 Proposal to Accept Funds

Summary

Following the proposals VDP-11 (Authorization to Mint), VDP-24 (Special Purpose Vehicle), and VDP-54 (Institutional Genesis Raise), this proposal requests the community authorise the Operations and Legal Working Groups to undertake the necessary legal and financial steps to receive funding as contemplated in VDP-54.

These steps include minting additional $VITA as contemplated in VDP-11, setup of the appropriate legal vehicle to allow participation of strategic contributors per VDP-24, and accepting of funds from those strategic contributors.

Motivation

The longevity/dealflow and awareness working groups request further resources to continue funding projects, as well as expand the awareness of VitaDAO. As VDP-11 laid out, working group members believe it would be beneficial to the mission of VitaDAO to invite strategic members to contribute their expertise and capital, and to receive VITA governance tokens. By onboarding strategic members, VitaDAO will fill up its treasury, benefit from their unique value-add contributions, thereby accelerating its mission of funding longevity research.

Specification

The Operations Working Group shall coordinate the execution as follows:

  1. Tokenomics and Tech Working Groups members shall execute a minting of $VITA tokens to the Treasury in the amounts provided by the Operations Working Group, in accordance with VDP-11 not to exceed 10% of the Total Token Supply. This will result in 40% of the Total Token Supply having been minted, of which it is anticipated between 36-37% will enter into Circulating Supply as a direct result of VDP-54 and this proposal.

  2. The Operations Working Group shall authorise an agent and legal counsel to prepare a Special Purpose Vehicle (SPV) as originally contemplated in VDP-24. However, subsequent discussions between Operations and Legal Working Groups has determined that the jurisdiction for the SPV shall be changed from that proposed in VDP-24: from Swiss jurisdiction to Canadian in deference to the strategic contributors who require this vehicle for legal and taxation purposes.

  3. The Legal Working Group shall facilitate the execution of agreements from strategic contributors in return for governance rights, the receipt of which shall authorise the Operations Working Group to issue governance tokens to a mutually acceptable custodian who shall release the tokens in accordance with a 4-year linear release schedule.

  4. The Operations Working Group shall move to a separate wallet and custodian all VITA from the Treasury currently accrued under VDP-3 which remains to be vested or otherwise distributed to the founding group of contributors and service providers for the purpose of maintaining transparency in reporting.

Implementation

The Operations Working Group proposes to receive an initial tranche of $2,3m USD as contemplated in VDP-54 and executed under this proposal.

Further tranches are coming up in future proposals

Success metrics

The Institutional Genesis Raise is deemed successful when the treasury grows by at least $4 million USD equivalent with the Strategic Members fit for VitaDAO.

Timeline

The successful approval of this proposal will result in a request for capital contributions to be issued to committed strategic contributors in this first tranche on or about October 7th, 2022.

Budget

The budget allocation for legal, taxation and accounting services including incorporation of the SPV, associated with this proposal is estimated at 25 000 USDC

  • Agree
  • Agree with revisions (please comment)
  • Disagree

0 voters

1 Like

Red flags:

  1. 2,3m USD instead of 4m+ USD. What’s the plan with the rest of 1,7m USD?
  2. Inability to exclude strategic contributors by a community vote. The community hasn’t accepted the strategic contributors yet.

Thanks @Tanvir for the comments. To your points:

  1. As we described in VDP-54 and now in VDP-58 - we anticipated that we might take in the contributions in one or more batches. We have commitments for $2,3m from contributors who have passed internal KYC/AML review that we wish to take in, while we continue to work through a process with other potential contributors for contributions in another tranche. Also as suggested in VDP-11, we have a number of smaller potential contributors whom might wish to participate in a whitelisted auction which is being contemplated. The end result will be $4m+, but it will not happen as a single transaction but rather this first tranche, then another tranche and/or a whitelisted auction per VDP-11.

  2. We have been keeping an eye on the VDP-54.x EOIs which have been available for feedback for anything of concern that may impact our discussions.

The intention is not to have the community vote on each strategic contributor - VitaDAO is open to everyone who is willing to follow the principles and support the mission of the DAO. None of our members who contributed during our Genesis auction last year were gated based on a community vote, and the same principle exists here. It’s part of the ethos of web3 to be open.

That said, we took the extra step of inviting the strategic contributors to introduce themselves with their proposals just like we ask people to introduce themselves on Discord, but with the added level of transparency to ask them to answer directed questions of why they wanted to be involved and how they felt they can contribute.

This serves two purposes: 1) a level of transparency for the community, 2) to ensure that organizationally these strategic contributors are aware of the expectations of active participation in VitaDAO

3 Likes

The community can downvote the strategic contributors in bulk and if it doesn’t pass I guess we could put them one by one on chain. Think it’s unnecessary unless the bulk is downvoted, since it would lead to voter fatigue to have to vote one by one. Open to dissenting opinions though

2 Likes