Modifications to the Flow of DAO Fees at Spool to enhance clarity, streamline operations, and increase the product’s competitive edge.
As Spool expands, the importance of transparent and streamlined processes cannot be overstated. Especially in DAO’s financial dealings, we must refine fee flows to uphold trust, accuracy, and strengthen ties with partners. Many partners aim to minimize fees on their Spool-built products to remain competitive and boost TVL. Hence, the DAO is considering fee-sharing options for select partners, mirroring successful strategies from protocols like Idle, Lido, and Yearn. After all, a 5% revenue on $10m AUM is better than 10% on $1m.
Flow of Fees between Spool and its Partners:
- Invoicing Frequency: Agreement with partners on invoicing, starting on a quarterly basis and switching to monthly with increased volumes.
- Quarterly Calculation: Spool calculates total treasury fees accrued for the specific partner vault at the end of each quarter.
- Communication: Spool informs the partner about the total accrued fees for the quarter.
- Transfer: Spool transfers a certain percentage (Y%) of the fees to the partner as their share.
For agility in partner discussions, decisions may reside with the core team, always aligning with Spool’s best interests.
By voting “Yes,” you agree to adopt the modified flow of DAO fees as described above. By voting “No,” you disagree with the changes proposed.
Feedback and discussions around this proposal can be held in Spool’s governance forum. All insights and suggestions from the community are valuable and will be taken into consideration.
Submission period: November 6, 2023 → November 13, 2023
Proposed voting period: November 13, 2023 → November 20, 2023