Refund Partial Lawyer Fees from Treasury

#1

Hey there so as you all may be well aware, we’ve had to be involved with lawyers for the past 1y almost now with trying to get a case made against the attack, and deal with other cases surrounding that attack. As such Dillon and Laurence had been acting to help the DAO as best they could and be the contacts for the lawyers both for cooperation as well as who was liable for the bill. As such a bill at end March reached $350,000. I had OTCd some funds (300k NDX at $1.3) with the intention to help fund a side project but after talking to them both thought was unfair for them to have a debt that high after atleast actually pursuing the law route, where most projects wouldnt and dont. As such had given them the funds to not be in debt to the lawyers and they sent me the NDX they had to allow me to keep my voting power and apply to the DAO later for the amount.

Rather than just selling NDX again on the open market thought following a style as we had with Wintermute may be better as an incentive as look to hopefully take lead for the project. As such am proposing for a loan whereby 100k NDX will be given to the NDX DAO Treasury by me, for a $130k loan for 1y using the dai from the Treasury. Would then reserve the right to either return the full $130k or have the DAO keep the $100k NDX. This both gives incentive for me to make sure the project returns to healthy growth but also atleast compensates some of the $390k so can pay personal expenses and also keep pursuing my own stuff aswell.

Proof for Transactions
https://etherscan.io/tx/0x75e01b57f2d8c8a110f38626e0bc213a550d230cf5d530f1ff8f627c32bd0ff8

https://etherscan.io/tx/0xe27f6f40084111718c87c38e94ae0a0070ecbbcb6737af21cc75ccc67c143143

Invoice from Stockwoods
Amount
$270,000

Snapshot
https://gov.indexed.finance/#/proposal/Qma3dDGQCRmoA6foeLXYtWSn6n4DPsAvvpGEyLWPeAqDX1

#2

@pr0 what is the source of the 130k DAI? I know it is NDX treasury and not touching drained funds, but was wondering if this includes accumulated exit fees that are earmarked already or only other sources of funds?

#3

NVM, I see it is coming from the $167k DAI remaining in treasury to pay for DAO operations, so source of funds seems clear.
To be clear, I see this as an under collateralized loan where you are putting up 100k NDX as collateral for a $130k loan with a 1 year term, no interest. At the end of the term you can return the loan principal amount for the return of your collateral or default and allow the DAO to retain the 100k NDX collateral. Does that align with your understanding of the proposal?

#4

@pr0 The on chain proposal is set to end voting in 3 days:

But the Snapshot shows a 7 day voting period. I think you should cancel the on chain proposal until the snapshot vote passes.

#5

Pretty sure they are from when we launched and had OTCd for some cash assets at the time for expenses. But need to confirm.

#6

Am aware, was going to have the snapshot just used to see sentiment and use the onchain for quorum but will make the snapshot end just before the onchain execution. Tbh the onchain proposal cant be pushed back as need the assets by Monday, so need to know by Thursday whats gonna happen and tlock has a 2d delay.

#7

To be perfectly clear the loans just me being generous here and trying to keep my incentives aligned with the DAO. By making it a loan as we had with Wintermute gives me reason to try help the protocol and makes worth my time to take lead vs pursue other allocations. Could have just as easily made a proposal to the DAO without any collateral as effectively this was a DAO expense that Dillon and Laurence accepted, and then covered by me and would effectively be a refund, which dont see why anyone would not agree with, because we acted in good faith that the DAO would repay any personal expenses we took to actually approach lawyers and try get funds back.

#8

Yeah, I agree that you showed with the hard cash to cover the legal fees that were incurred. I’m just accustomed to a more methodical and buttoned up approach to business arrangements so that there are no misunderstandings. You did receive 400k NDX from other holders for the $390k that you put up, so while I don’t object to this proposed arrangement, it seems like the counter parties are the ones who are not made whole.

I think you should You should shorten the Snapshot vote so that it ends before the on chain vote, that way the governance chain is preserved.