Blackpool DAO Expenses for March 2022

BlackPool DAO Expenses for March 2022

With BlackPool growing on all fronts—TVL, number of verticals, contributor head count—operational costs are steadily increasing. This is a good problem to have, as a barometer of our success, but it means we will need to stay organized, strategic, and transparent in our spending.

Summary:
This proposal outlines in detail the costs incurred by the DAO in March, 2022, and seeks approval. Going forward, we will publish these expense reports on a regular basis as we push to develop best-in-class operational practices.

Rationale:

The goal of this proposal is to bring more transparency to the BlackPool treasury. A governance framework is already in work (and should be ready next month), which should facilitate better visibility of the governance, and present a monthly budget for the DAO costs.

This proposal seeks approval for the DAO expenses for March 2022.

Expenses already paid Expenses left to be paid DAO reserves March Budgets
Hosting (AWS, Vercel) 0.00 11,250.00 1,750.00 13,000.00
Admin & Tooling 0.00 12,680.00 820.00 13,500.00
Legal & Tax 0.00 24,670.00 6,330.00 31,000.00
Marketing/ Events 0.00 61,125.00 8,875.00 70,000.00
Travel exp. & video/Audio/PR 0.00 3,000.00 0.00 3,000.00
Audits 0.00 0.00 50,000,00 50,000,00
Total Mainnet 0.00 112,725.00 67,775.00 180,500.00
Contributors 35,145.00 0.00 8,855.00 44,000.00
Total Polygon 35,145.00 0.00 8,855.00 44,000.00
Total Costs* 35,145.00 112,725.00 76,630.00 224,500.00
  • Figures in USDC for Mainnet and sdam3CRV** for Polygon

** 1 sdam3CRV is worth 1.0473 USDC at the time of writing

Mainnet expenses:

IT & Tech Infrastructure:

All IT & Tech infrastructure will be provided as a service by an external partner focused on Administration and maintaining.E.g: AWS, Vercel, Github, and other tools and services needed by the DAO

  • Effective cost servers infrastructure: 11,250.00 USDC
  • Reserve 15% infrastructure budget : 1,750.00 USDC
  • Effective Admin & Tooling costs: 7,915.00 + 4,765.00 = 12,680.00 USDC
  • Reserve 6.5% Admin & Tooling budget : 820.00 USDC

Total monthly costs: 26,500.00 USDC

Legal & Tax:

As regulation and AML rules are getting tighter, the DAO must have a solid legal base on which operations take part. The DAO will continue to mandate an experienced advisory already working with major projects on the blockchain.

  • Effective Cost for the Legal & Tax expense: 24,670.00 USDC

  • Reserve 25% in case of additional legal costs: 6,330.00 USDC

Total monthly legal budget: 31,000.00 USDC

Marketing/ Events:

As the DAO competes against other significant players, marketing actions like events are needed to raise awareness of DAO and improve our market presence. The budget for events and marketing is 70 000 USDC/month. The budget can be split depending on the amount of events and marketing.

  • Effective cost for March events: 61,125.00 USDC
  • Reserve 15% in case of additional marketing costs: 8,875.00 USDC

Total monthly budget: 70,000.00 USDC

Audits:

There aren’t any audits planned for now, but it can be useful to get the funds ready. The audit costs are estimated to 50,000.00 USDC/quarter, however the cost can change depending on the complexity:

  • Effective Audits costs to pay for Q1 2022: 0.00 USDC
  • Reserve in case of audits in Q2 2022: 50,000.00 USDC
  • Total monthly audits budget: 50,000.00 USDC

Polygon expenses:

Contributor:

The contributors rewards are estimated to 35,145 USDC/month for their work:

  • Effective contributors rewards for March 2022: 35,145.00 sdam3CRV
  • Reserve 25% in case of new hires: 8,855.00 sdam3CRV
  • Total monthly contributors budgett : 44,000.00 sdam3CRV

The total of the reserves is 67,775.00 USDC + 8,855.00 sdam3CRV

Vote:

  • Yes, accept the DAO expenses
  • No, refuse the DAO expenses
  • Abstain

0 voters

3 Likes

Nice to see more transparency on Blackpool’s spending!

4 Likes

Super interesting to see how the DAO expenditure is structured and very happy to see how transparency and inclusion of the community is gradually taking place.

4 Likes

great job, Sam!! really good breakdown

3 Likes

Good work, fully support it.

3 Likes

thanks for the transparency but can you give us more info on the infra cost ?
At first I supposed blackpool only need a website and an api to get some subgraph data so we should be far from 10k /week …
Also if we can have a breakdown of the marketing expenses ? is it a monthly cost ? …Also not a fan of big marketing expenses good project speak for themself we should better emphasis on what we achieved already (DAO reports, vault increase in value, APY per veBPT etc…) and find some (free) spot on youtube chans to shill blackpool.

Audit
Is the Audit reserve a one off thing or does it recur every month?

Marekting
Are there some examples as to what items fall under marketing expenses? Does the blog fall under marketing expenses (content marketing). Does scholar recruitment fall under marketing? What about twitch streams ?Do they also fall under the marketing category?

Hosting/Admin/Tooling
Does this also include fees/salaries for the contributors maintaining the infra/tools, writing smart contracts etc? Or does that fall under Contributors?

Mainnet and Polygon
Why are expenses categorised as Mainnet and Polygon?

MRR
Does blackpool plan on sharing the monthly recurring revenue? It would be nice to see where the funds are coming from.

1 Like

Appreciate the transparency about Expenses, would be good to have some about revenues… especially what is the target share (%) of revenues distributed to veSDT holders?

1 Like

Hey mate,
you’ll find some details about revenues here (last quarter of 2021) : BlackPool Quarterly Report - Q4 2021

I assume you meant veBPT holders, I personally have no information about the target share.
All I know is last year (with good old xBPT model) BlackPool distributed ~70% of the DAO’s revenue.
It seems to me that this kind of metric will be decided by the DAO in the long term but not at this time.

1 Like