Movement of Funds to Gnosis Chain

Below is a proposal to send 50 ETH to the ETH relayer contract which facilitates the transfer to the Dev Multi-sig as outlined below, converted to WETH and bridged over to xDai as well as sending 400k Dai directly to the Dev Multi-sig. These funds will all be deposited into xDXdao base for worker payments.

Details

This proposal suggests bridging the following funds from Mainnet to Gnosis Chain:

  • 400k Dai to be bridged (split 50/50 xDai and wxDai)
  • 50 ETH to be converted to WETH and bridged

The proceeds are intended to replenish xDXdao base and facilitate xDai base operations such as worker proposals.

This proposal sends 50 ETH and 400k Dai to the xDXdao base. The ETH will be sent to the ETH relayer contract, identified as, 0xb9C11a239CEb03626b439dDeD95AC51ffe000795 , which will relay the ETH to the dev multi-sig address, identified as 0x5f239a6671bc6d2baef6d7cd892296e678810882 whose signatories have been verified as REP holders.

Risks and considerations

Transfer of these funds relies on the dev multi-sig and the ETH relayer. By the time this proposal passes, the ETH relayer will have been tested using previous proposals. xDai also presents risks because security is dependent on its limited validator set. Additionally, cross-chain bridges are still new and not battle-tested.

1 Like

Definitely a necessary proposal when looking at future payments and how much of DXdao’s operations run on Gnosis Chain. And also makes sense to send some ETH, because that is sometimes needed for reimbursements as well as other activities on GC.

I do think we should start the conversation on the source of the funding. Since the bonding curve launched, DXdao has funded itself by paying in ETH or selling ETH for stablecoins. This made a lot of sense given the makeup of the treasury. But now, ETH prices have come down and the treasury has more than $10m stablecoins.

So, I don’t think we need to overthink this proposal, going forward when DXdao needs to fund operations, it could either 1. Sell ETH 2. Use existing stablecoins 3. Sell DXD

Other DAOs use option #3 but I think we’re a LONG way from that. I guess the question is when should we use option #1, which we’ve done since the beginning, and when should we use option #2?

3 Likes

Indeed, and of the three the second makes the most sense.

2 Likes