GIP-148 : Request for Proposals - Treasury Management Services for Gnosis DAO

[rethink.finance]

Delegated Treasury Operator for Gnosis DAO

Submitted by: rethink.finance

Context & Intent

Gnosis DAO requires a treasury partner that not only focuses on yield generation but is also capable of managing a multi-asset portfolio spanning across various assets and strategic tokens, while simultaneously supporting Gnosis liquidity needs, FX flows, and capital markets activities around GNO.

We are long-term believers in the Gnosis ecosystem, its products, and its governance model. We also believe GNO is structurally undervalued relative to the scope, quality, and strategic optionality of the ecosystem it represents.

Our conviction is simple: a transparent, well-operated treasury can turn GNO from a passive governance asset into a living index token of the Gnosis ecosystem, backed by one of the largest and most strategically deployed DAO treasuries in crypto.

Proposal Summary

We propose appointing rethink.finance as the Delegated Treasury Operator for Gnosis DAO and its DAO-mandated entities.

The mandate establishes a continuous treasury operating function, covering:

• Treasury execution, liquidity & operations (payments, FX, disbursements, on-chain liquidity)
• Endowment stewardship (ETH and stablecoin management under explicit risk limits)
• GNO capital-markets execution (buybacks, liquidity programs, OTC execution; DAO-approved)
• Governance participation (treasury scope only)
• Risk management, accounting & transparency (real-time reporting, attribution, NAV)

This is an ongoing operational mandate, not a one-off deployment, and incorporates lessons learned from prior treasury management arrangements.

While rethink.finance develops infrastructure on top of Safe and Zodiac, this mandate does not require Gnosis DAO assets to be placed into rethink.finance vaults, leaving the choice to future governance decisions.

Why rethink.finance

1. Experts in the Safe + Zodiac treasury setup
   We aim to operate the treasury primarily using the existing Safe + Zodiac operator stack, already approved and proven in production. Our team has extensive hands-on experience running and building on this setup alongside Gnosis Guild, ensuring continuity with no custody changes or operational relearning.

2. Treasury stewardship beyond yield
   This mandate goes beyond DeFi yield generation and is executed as endowment-grade balance-sheet management, informed by institutional experience, including setting up and operating a ~$15B treasury at a CEX.

3. Aligned incentives, radical accountability
   Performance fees are paid 100% in GNO, with vesting. Operations are executed under full contractual and legal liability, capped at total management fees paid, with real-time transparency and full DAO control.

4. An operating team, from day one
   This mandate is executed by a senior, multi-disciplinary team (~5 core contributors) plus embedded legal, governance and tooling support, already active in the Gnosis ecosystem. The team’s operational focus is dedicated to Gnosis, and it will not act as an operator for other DAO or treasury mandates.

Open-Source Treasury Infrastructure Commitment

In parallel with this mandate, rethink.finance will continue developing open-source, decentralized, and non-custodial treasury infrastructure on top of Safe, including on-chain NAV computation, administration modules, and execution applications.

Where appropriate, and subject to explicit DAO approval, such tooling may be used to improve the day-to-day experience, transparency, and operational efficiency of managing Gnosis DAO assets.

All components are developed as open source and contribute to strengthening Safe and Zodiac as core infrastructure projects within the Gnosis ecosystem.

We are open to further aligning incentives around infrastructure development where it clearly benefits the DAO and is approved through governance.

Team

Rok (Treasury Operations & Product)
CEO of rethink.finance and product-focused treasury operator specialized in Safe-native treasury infrastructure. Combines hands-on treasury operations across $10M+ in administered assets with product ownership of execution, controls, and reporting systems to deliver governance-aligned, non-custodial treasury management at scale.

Nik (Treasury, Liquidity & Token Operations)
DeFi expert focused on treasury management, liquidity engineering, and incentive design. Set up one of the first treasury departments in crypto at Bitstamp back in 2019 and has since advised leading protocols and institutions on treasury strategy, ecosystem growth and token mechanics, totalling over $18B in AUM. DeFi Treasury advisor to G20 Group.

Cinque (Decentralised Open Non-custodial Treasury Systems)
Execution and risk systems specialist with 12+ years of experience across DeFi, back-office systems, and academic research (Brown University Lab). Former hedge fund derivatives strategist (~$50M AUM) and co-founder of a Polygon-backed DeFi options protocol. Deep expertise in risk, execution systems, and market structure. Primarily focused on alignment with the broader rethink.finance managerial ecosystem.

Luka (Analytics & Back-End Engineering)
Co-founder of PrizmaDesk, a fintech portfolio and reporting platform covering $100M+ in assets. Luka brings deep experience in secure API integrations, trading automation, and blockchain-based execution systems, with a strong focus on reliability, observability, and security.

Embedded Support

Kevin Leuthardt: Legal Structuring & Treasury Governance Advisor
Strategic finance advisor focused on institutional-grade DAO/community-native and foundation treasury operations. He has managed mid-eight digits $ on-chain treasuries and built compliant, governance-ready finance functions for ecosystem leaders including Safe, WalletConnect, and Arweave.

Gnosis Guild: Delegated Execution Tooling
The engineering collective behind Zodiac Safe modules, including the Zodiac Roles Modifier and execution interfaces, historically used to operate the Gnosis DAO treasury, including by kpk, and proven in production at scale. Provide advisory support focused on permissioning, execution design, operational security, and infrastructure continuity.

Scope of Work

A. Treasury Execution, Liquidity & Operations

Day-to-day treasury operations across Gnosis Chain and Ethereum, including:

• DeFi and ecosystem liquidity (lending markets, AMMs)
• Multi-currency FX liquidity supporting Gnosis products
• Circles and bridge liquidity
• Payments, disbursements, and counterparty diligence

Operations are executed under predefined SLAs, asset- and venue-specific risk limits, and continuous monitoring.

B. Endowment Stewardship

Long-term management of ETH and stablecoin reserves with a capital-preservation-first mandate, including:

• Risk-bounded deployment across DeFi
• DAO-approved strategy constraints
• Ongoing attribution and performance analysis
• Continuous monitoring via Hypernative or equivalent on-chain security automation

C. GNO Treasury & Capital Markets Operations

Research, design, and execution of DAO-approved frameworks related to GNO, including:

• Buyback and liquidity support programs
• Execution across DEX, CEX, RFQ, and OTC venues
• Market structure analysis and supply transparency

Where appropriate, structured treasury inventory mechanisms may be proposed on a non-discretionary basis, governed by:

• predefined valuation inputs
• inventory and volume caps
• circuit breakers and kill switches

No discretionary trading authority is assumed.

D. Governance Participation

Participation limited strictly to matters affecting treasury assets, including:

• Treasury-related token voting
• veBAL / Aura voting relevant to Gnosis Chain
• Monitoring proposals impacting treasury positions

E. Accounting & Transparency

We provide:

• Live treasury dashboards
• Continuous NAV computation
• Asset- and venue-level reporting
• GNO supply tracking
• Reconciliation of on-chain and off-chain assets

This operationalizes the intent of GIP-146 by making treasury state verifiable by default, rather than periodically disclosed.

Fee Structure & Incentive Alignment

Base Management Fee

Annual fee	USD 950,000
Payment frequency	Monthly
Monthly amount	USD 79,166
Payment currency	USDC (or equivalent)

Performance Fee

Rate	15% of generated yield (+HWM)
Benchmarks	wstETH (ETH), sUSDs (stablecoins)
Crystallization	Monthly
Settlement	100% paid in GNO
Pricing	7-day TWAP prior to crystallization
Vesting	1-year linear vesting

Operational Costs

Gas, rebalancing, and third-party infrastructure are covered by the Gnosis DAO Treasury.

Liability Framework

rethink.finance is liable only for direct losses arising from grossly negligent execution of this mandate within our operational control. This includes unauthorized actions, execution outside approved parameters, material configuration errors, or persistent deviation from DAO-approved procedures.

Liability expressly excludes protocol or smart-contract exploits, oracle or bridge failures, governance attacks, market events, regulatory actions, and force majeure.

Any liability is capped at the full annual management fee payable under this Agreement.

Appendices Available on Request

This mandate is supported by a policy-first treasury governance and operational framework. Draft versions of the following documents are available upon request and would be finalized in coordination with the DAO prior to activation of any related scope:

• Risk Policy (limits, controls, escalation, and reporting)
• Treasury & Liquidity Operations Playbook
• GNO Treasury Policy & Buyback Framework

This list is non-exhaustive, and additional documentation, including prior mandate references and operational track record summaries, may be provided as required by governance or operational needs.

We look forward to feedback from the DAO.

[SEEDLatam]

Proposal: Support Treasury Manager in governance-related tasks, proposal monitoring, analysis, and voting coordination

Submitted by SEEDGov

Introduction

The Treasury Manager’s primary mandate is centered on financial expertise, asset management, and long-term treasury strategy. While governance and voting activities are essential to the functioning of the DAO, they are often time-intensive and can divert focus from this core responsibility. In this context, SEED offers to support the Treasury Manager to be designed by assuming governance-related tasks, including proposal monitoring, analysis, and voting coordination. Leveraging SEED’s proven experience, credibility, and reputation in DAO governance, this collaboration enables the Treasury Manager to remain fully focused on treasury performance and strategic capital allocation, while governance execution is handled by a specialized and trusted partner.

A. Strategic Governance

In this capacity, SEED Gov offers to serve as the bridge between market agility and DAO oversight through the following initiatives:

• Policy Evolution: As market conditions shift, SEED Gov would manage the formal process for updating mandates. This could provide the Treasury Manager with the necessary agility to respond to volatility while ensuring all actions remain within the bounds of DAO-approved oversight.
• Governance Analysis & Decision Support: SEED Gov would provide concise analysis and decision support for treasury-relevant proposals, translating complex financial and technical inputs into clear, actionable briefs that highlight key risks, trade-offs, and expected outcomes, enabling informed decision-making while reducing the Treasury Manager’s operational burden.
• Protocol Influence: SEED Gov could coordinate with other stakeholders to represent Gnosis DAO’s interests within external governance forums. This would ensure that the treasury’s capital is matched by sufficient political influence to protect and advance Gnosis-led initiatives.

B. GIP Lifecycle & Operational Continuity

Recognizing the Gnosis Improvement Proposal (GIP) process as the “OS” of the treasury, SEED Gov would strive to ensure this system operates without latency.

• Procedural Execution: Our team would facilitate the end-to-end GIP lifecycle: from initial drafting and community feedback to Snapshot polls and final on-chain execution.
• Stakeholder Synthesis: We would seek to translate complex financial engineering reports from the Treasury Manager into actionable, transparent proposals. These documents would clearly outline risks, rewards, and technical implementation steps for voters.

C. Governance Risk & Security

Acknowledging that governance itself can be an attack vector, SEED Gov offers to proactively monitor the “Political Risk” profile of the treasury.

• Attack Vector Monitoring: By tracking GNO distribution and delegate concentration, we would be positioned to alert the Treasury Manager of potential governance-based exploits or hostile proposals.
• Voter Alignment Reporting: Our team can data-driven insights into stakeholder reactions. This reporting would allow for proactive adjustments to the proposal roadmap based on the prevailing sentiment of GNO holders.

D. Budget & Fee Structure

SEEDGov have calibrated this proposed budget in consideration of the DAO’s total annual treasury management budget of $1.5 million, ensuring that the economic terms of this collaboration with the Treasury Manager to be appointed remain proportionate and coherent within the overall budget framework.

• Fixed Annual Fee:

  • $ 75,000 per year, representing 5% of the total annual budget allocated to the Treasury Manager role.
  • This fee covers up to 45 hours of work per week.
  • This base workload covers recurring governance support activities for the Treasury Manager, including proposal monitoring, governance analysis and decision support, voting coordination, preparation of voting rationales, internal reports, and assistance in community reporting. Meeting cadence and deliverables are driven by governance activity and treasury-related events, with regular coordination calls and open communication with the Treasury Manager and ad hoc engagement during active proposal or execution phases.

• Variable Fee (Excess Workload):

  • If workload exceeding 45 hours per week will be billed at a rate of $ 150 per additional hour.
  • The variable component is subject to a hard annual cap of $37,500 (50% annual budget).

• SLA & responsiveness

SEEDGov commits to timely responsiveness, prioritizing urgent events such as market volatility, security incidents, or governance attacks:

• Critical situations would receive an initial response, analysis and recommendations within hours followed by continuous coordination and public reporting as needed,

• Time-sensitive governance matters and votings would be addressed prioritize analysis and recommendations within 24 hours,

• Non-urgent tasks follow standard business-day timelines.

• Monitoring & reporting

  • SEEDGov would monitor delegate concentration, proposal sentiment, and voting dynamics relevant to the Gnosis DAO using governance tooling and internal processes, producing reports for the Treasury Manager and transparent public updates where appropriate
  • Public-facing reporting would focus on transparency and accountability, including governance activity summaries and clear voting rationales
  • The tooling stack may evolve over time, including potential collaboration with specialized providers.

Summary

• Monthly base: 45 hours
• Fixed annual fee: $ 75,000
• Monthly variable component: $150 per hour hard capped at +50% of the annual fixed fee (up to $ 37,500 if workload exceeds the monthly base of 45 hours)
• Minimum annual cost: $ 75,000
• Maximum annual cost: up to $ 112,500

E. Why us? Proven, Hands-On Experience in Treasury-related governance support

SEEDGov brings direct and practical experience operating precisely within the governance scope proposed in this presentation:

• VeloraDAO: SEEDGov serves as the Governance Task Force, a role broader in scope but closely related to that of a DAO Facilitator, where we authored the proposal that established the operating framework for the Velora Treasury Manager. This framework was formally approved by the DAO in August 2025, under which @avantgarde was appointed as Treasury Manager. Since then, SEEDGov has maintained ongoing, real coordination with the TM, providing governance-side support across DAO operations, like multisig management, governance process coordination, proposal context and analysis, and decision-support assistance, effectively the same governance and voting support role proposed here.
• Arbitrum: As part of the Arbitrum Multisig Support Service (MSS), we provided strategic and operational oversight for the DAO’s financial assets, ensuring the secure execution of fund movements across various ecosystem initiatives. Beyond these execution duties, we actively contributed to defining Treasury Management strategies and frameworks, and establishing the professionalized structures necessary for long-term fiscal accountability.
• Gitcoin: As members of the Gitcoin Council, our broader mandate included several key financial oversight duties, and one of them was to oversee the Treasury Manager and served as signers on various treasury multisigs. These particular responsibilities allowed us to facilitate diversification strategies and ensure capital was available for operational purposes, acting as one component of our wider governance and administrative functions.
• Everclear: As part of the Everclear Governance Task Force, we managed the DAO’s financial oversight by directly monitoring all income and expenses in the absence of a formal Treasury Manager. We were responsible for crafting regular financial reports to ensure full transparency for the community, providing the necessary visibility to keep the DAO’s fiscal health and operational spending aligned with its strategic goals.

This experience demonstrates SEEDGov’s ability and proved experience to complement a Treasury Manager’s work in practice, enabling a clear division of labor where financial execution and governance operations are handled by specialized and complementary counterparts.

In summary, this presentation and proposal position SEEDGov as a collaborative governance and voting partner to the incoming Treasury Manager, designed to complement and support their role. SEEDGov offers dedicated assistance across governance, proposal management, and voting processes, relieving the Treasury Manager from governance-related operational overhead and allowing them to remain fully focused on their core financial mandate, while SEEDGov ensures effective, transparent, and secure participation in the Gnosis DAO governance framework.

[GFXlabs]

GFX Labs Submission

1. Executive Summary

GFX Labs is submitting this bid in response to Gnosis governance’s RFP for treasury management services.

We view the requested services as distinctly different from vault curation, hedge fund management, and other profit-maximizing roles. Our approach is grounded in a clear principle: Gnosis’ treasury should be managed as a mission-critical, crypto-native corporate treasury – not as a hedge fund or PnL-focused vault. The mandate outlined in the RFP calls for reliability, risk discipline, transparency, and governance execution at scale. These are areas where GFX has built core expertise. The primary objective is to safeguard Gnosis’ capital and support Gnosis’ strategic goals through the use of these assets for liquidity and governance activities.

GFX is well positioned to provide the suite of services requested, which include onchain execution, reporting infrastructure, diligence support, and governance participation. GFX’s team has recognized experience in these areas, making GFX the only full-stack manager with in-house competency for all areas of the RFP.

Notably, GFX also has fewer potential conflicts of interest than other applicants, and does not provide similar services to other clients, allowing us to focus on serving the needs and interests of Gnosis.

Under the Gnosis treasury manager mandate, GFX will emphasize reliability, transparency, and responsible support of Gnosis’ strategic goals. In order to maintain proper incentive alignment, GFX is forgoing any profit-based performance fee.

2. Team & Legal Structure

2.1 Legal Entity Overview

Legal entity name: GFX Labs, Inc.
Jurisdiction: United States

We confirm we are able to contract with DAO-controlled, Cayman-incorporated entities.

2.2 Delegated Committee Capability

Given the information available, GFX confirms it is prepared to participate in treasury committee duties for various DAO-controlled entities.

2.3 GFX Team

Getty Hill, CEO
Eddy Lee, CTO
Max LeValley, CLO
Chris Cameron, Governance Liaison

GFX Labs has in-house counsel, technical, and marketing staff for additional support.

3. Fee Structure & Term

For the deliverables outlined below and summarized here – live, public dashboard; monthly reporting; tracking of aggregate asset value; execution of strategic allocations directed by Gnosis; execution of buybacks as directed by Gnosis; recommendations and execution of yield-seeking allocations; management of governance activities on behalf of Gnosis – GFX is seeking a payment of $115,000, and a monthly fixed fee of $71,000 for a total annual expenditure of $967,000. The initial payment offsets startup costs for building out the dashboard and other custom tooling to deliver the services included in this proposal.

Because strategic allocations – including liquidity management – are generally expected to be ministerial at the direction of Gnosis, a performance fee on returns would not accurately reflect the value delivered by GFX.

Yield-seeking allocations likewise will not be subject to a performance fee, because GFX believes in optimizing for capital preservation, and because the benchmarks to outperform (stETH and sUSDS) are relatively-low-risk hurdles, we feel reliance upon a profit-based performance fee encourages excessive risk taking and complexity that are inappropriate for what is essentially a corporate treasury role, not a hedge fund.

The commitments to technical, governance, and diligence services represent a significant part of the value to be provided, and are not straightforward to apply a performance bonus fee for.

Our submission is for a 12-month engagement term, with the option for Gnosis to renew for another 12 months at $74,000 per month.

4. Relevant Track Record

4.1 DAO & Foundation Experience

GFX is well-known in the DAO governance and service provider landscape. Most are familiar with our delegate work, but most of GFX’s formal dealings have been with DAO-adjacent legal entities that support their underlying communities.

GFX has in the past entered into agreements with legal entities affiliated with Optimism, Arbitrum, Uniswap, Wormhole, and a variety of other less prominent projects. GFX is comfortable with and equipped to interact with DAO-directed entities in jurisdictions like the Caymans.

Our work with DAOs has typically been either as a compensated delegate, as a service provider, or both. As a service provider, work has frequently been for our skills related to due diligence and allocations across asset and grants portfolios.

Two relevant case studies that illustrate the skills of the GFX team

4.2 Arbitrum Case Study:

GFX Labs’ representative, Chris Cameron, served on both the 2024 and 2025 screening committees for Arbitrum’s treasury diversification program. This program is an ongoing initiative where Arbitrum converts 1% of its ARB holdings into stable assets – predominantly “tokenized tbills” and adjacent products.

GFX and other committee members individually conducted due diligence on each of the 50+ products considered between the two allocation rounds. This included understanding legal structure, jurisdiction, yield sources, expense ratio, creditor rights, covenants and idiosyncratic features, and length of the credit chain between Arbitrum governance and the ultimate underlying assets. Ultimately, a combination of onchain characteristics, offchain characteristics, and suitability for the low-risk-tolerance investment mandate guided allocation recommendations.

Table: Most recent report of stable-asset holdings from Arbitrum.

Between the two allocation rounds, GFX, as part of the screening committee, made recommendations for ~$45m in allocations, which were then ratified by the DAO. Those interested can read an example of the recommendations here.

4.2 Grapefruit Trading Case Study:

GFX Labs cofounders Getty Hill and Eddy Lee were professional traders before founding the company.

For three years, they developed and executed delta-neutral crypto trading strategies, with an early emphasis on DeFi at the Chicago trading firm Grapefruit Trading.

This work included:

• Quantitative work required to hedge portfolios to manage risk.
• Quantitative work required for interest rate arbitrage over various time horizons.
• Develop and maintain high-frequency automated trading systems.
• Quantitative work required for interest rate arbitrage over various time horizons.
• Safe and prudent onchain execution.
• Internal review of smart contracts.
• Creation of an in-house UI and backend system for execution on exchanges.
• Developing software to keep track of balances across DeFi and centralized exchanges to ensure accounting and risk management were current.
• Tracking PnL from different strategies.
• Identification of opportunities for new and existing trading strategies.
• Build and maintain relationships with DeFi protocols.

After profitably managing 8-9 figures in assets, both Getty and Eddy stepped away to found GFX, becoming fully focused on DeFi growth and product development.

5. Scope of Work & Operational Approach

5.1 Gnosis Chain Strategic & Operational Liquidity

Gnosis has a number of strategic and business development commitments to deploy capital in ways that may not optimize for yield. Often this comes in the form of providing liquidity for trading or lending markets that are important to Gnosis business interests.

Strategic and business development asset allocations are expected to be decisions made entirely by Gnosis, with GFX offering input on how to optimize achieving the allocation’s goal. GFX will generally be working in a ministerial capacity at the direction of Gnosis for initiatives like supporting foreign exchange liquidity and supporting key lending markets.

Regular reporting and review of strategic allocations will be broken down separately from asset allocations that are primarily yield seeking.

5.2 Circles Liquidity

Circles does not appear to be utilized meaningfully at the moment. GFX can coordinate with Gnosis Ltd or another designated Gnosis representative if Circles becomes more active.

5.3 Payments, Disbursements, & Counterparty Due Diligence

GFX will disburse funds as directed by GNO tokenholders via proposal on the official Snapshot page. GFX will not accept discretion of whether or not to make payments to any vendor or contributor, and all disbursement decisions should come through Gnosis Improvement Proposals or other official, binding vote by GNO holders.

Where available, GFX requests forecasts of cash flow needs for ongoing and expected obligations.

Upon request by Gnosis Ltd, a designated Gnosis representative, or through Gnosis Improvement Proposal, GFX will conduct counterparty due diligence on a best-efforts basis, in coordination with other relevant Gnosis contributors. Due diligence contribution is neither a substitute for, nor itself legal, tax, or financial advice.

5.4 Yield-Seeking Asset Administration

Strategy

GFX takes a conservative approach to DAO treasury assets, with capital preservation given greater weight than yield. Simplicity increases transparency, lowers risks, and keeps the cost of treasury administration low.

In general, we believe that ETH-denominated assets should be benchmarked against Lido’s stETH and USD-denominated assets should be benchmarked against Sky’s sUSDS for risk-adjusted performance. stETH and sUSDS represent the opportunity cost of deploying treasury assets vs passive holdings onchain. Activities that yield below benchmark may also be at the direction of Gnosis in service to strategic or business development goals.

ETH and stablecoin deployment will generally target Ethereum or Gnosis DeFi for yield, with the goal of rebalancing funds on a monthly basis, with a weekly internal review to flag opportunities or risks that require more frequent movements.

All asset allocations will be approved by Gnosis Ltd, with rebalancing within the approved allocations left to GFX to recommend and execute. In general, transactions will be executed within the Ethereum or Gnosis DeFi ecosystems rather than on competing chains or CEXs, unless that is not feasible.

By limiting the complexity, risk tolerance, and cadence of rebalancing, GFX can keep the cost to Gnosis low compared to more active, risk-and-complexity-seeking applicants.

Buybacks

GNO buybacks will be optimizing for best price, as they are now. The monthly budget for buybacks will be determined by Gnosis.

6. Governance & Delegated Participation

6.1 Governance Scope

The Gnosis portfolio includes an expansive set of assets that can be used for various governance activities. We intend to evaluate the usefulness governance activity participation of each asset with at least $100,000 in value, and selected smaller holdings. Most appear to be used as standard governance tokens or to control emissions. There are also some idiosyncratic assets like the Gnosis interest in Kleros.

An initial inventory of Gnosis’ formal and informal commitments to participate in various governance activities, and any ongoing or future strategic priorities, will need to be conducted in consultation with Gnosis Ltd or other appointed representative to make sure prioritization of each governance activity is in sync with Gnosis’ strategic goals.

It is assumed all governance activities will be publicly conducted under the Gnosis brand unless directed to use the GFX Labs name.

6.2 Governance Principles & Reporting

GFX is known for its pro-tokenholder views on DAO governance. We have consistently pushed for tokenholder rights and value accrual across major DAOs like Uniswap, MakerDAO, Optimism, and Arbitrum.

Our dual mandate when handling a delegation is to prioritize the health and growth of the project(s) governed by that DAO, and to represent the best interests of our delegator.

GFX is the best equipped applicant to utilize the governance assets in the Gnosis portfolio for both proposal voting and gauge voting. Governance is time-intensive due to the high costs of monitoring proposals and financial structure conditions. GFX has full-time, dedicated team members to be high-context governance participants that can consistently advocate for the best interests of Gnosis.

Voting records are regularly maintained at GFX, having been one of the very first delegates to do so when MakerDAO enabled delegation in mid-2021. Typically, this includes a summary of the governance vote or action, a link if applicable, and an explanation of why we voted a certain way. More complex or nuanced topics sometimes require lengthy explanations, but typically, we try to keep the voting log concise for easier consumption.

Examples of what to expect can be found here, with more upon request due to linking limitations within the forum.

6.3 Conflict of Interest Policy

GFX Labs discloses any anticipated conflicts of interest, as well as any that were not anticipated and arise. As a general rule, we define conflicts as directly impacting a relationship with a current or recent business partner.

If Gnosis prefers that governance activities operate under Gnosis branding, then any Gnosis conflict of interest policy will take precedence.

Importantly, GFX Labs is not a vault curator and has no ongoing treasury management relationships with other projects or companies. This means that GFX is not in the position of “serving many masters” when it comes to asset allocation recommendations, and does not have its own businesses that compete with Gnosis’s assets for opportunities.

7. Risk Management Framework

There are many categories of risk, but within DeFi and tokenized claim assets, the primary danger is of sudden, catastrophic loss of funds. This is usually due to manifested counterparty, smart contract, or idiosyncratic risk.

Because losses in crypto historically are not marginal, most investments need to be viewed as having a binary outcome from a risk perspective. If a risk manifests, losses are extreme and recovery rates very low, reducing the value of diversification, since there are not enough quality investment opportunities within crypto to diversify away the risk of sudden, concentrated losses. Recent events with Stream xUSD and Elixir deUSD are good examples of manifested counterparty risk. Another example is the recent loss of 8,500 ETH from Truebit, and the subsequent decline in value of its token.

While portfolio construction should take into account concentration risk and the correlation of assets, the very real risk of total loss in crypto means that successful risk management needs to prioritize understanding counterparty, smart contract, and (where applicable, such as protocols with governance) idiosyncratic risk. As many well-known treasury managers and vault curators discovered in 2025, diversifying a portion of the portfolio into higher-yielding assets of unknown quality can result in substantial losses.

In practice, this means extensive due diligence must occur prior to deploying assets. That includes understanding how the investment makes money, identifying anyone who has technical or legal access to the funds, technical diligence on smart contracts and review of external audits, a full understanding of what rights the investor does or does not have, under what circumstances money can be lost or stranded if the investment behaves as intended, etc.

The primary rule in managing risk in crypto is to understand the risk the investor is underwriting. If the risk is high or unknown, then do not allocate funds, since even a small allocation to a risky asset can cause material losses.

Specific policies, including 24/7 monitoring, alerts, and incident response, can be provided to Gnosis Ltd after engagement to avoid providing specific capabilities in a public forum.

8. Reporting & Transparency

8.1 Live Dashboard

GFX will provide a publicly accessible dashboard with a comprehensive list of current assets and their reported value, circulating supply of GNO, and an estimated NAV per GNO.

Onchain assets will be updated daily or more frequently.

Offchain assets will be updated as needed, but with a regular review at least quarterly. Valuation of offchain assets are expected to conform to standard accounting practices. Final decision on valuation methodology will be made after more familiarity with the assets, and valuation methodology will be included in a footnote or otherwise disclosed.

Circulating GNO supply will be tracked based on a formula provided by Gnosis. In the absence of a definition of circulating supply, best efforts and standard practices will be used. Calculation methodology will be included in a footnote or otherwise disclosed.

8.2 Reporting Cadence

A monthly report will be published on the Gnosis forum within 15 days (excluding major US holidays) of the end of a calendar month. If, for any reason, a monthly report will be delayed, a written communication to that effect, estimated delivery, and explanation for the delay will be provided on the Gnosis forum

Monthly reports will summarize the information also available in the dashboard, as well as report on utilization of assets for governance activities and, where applicable, provide commentary around performance vs benchmarks and risk management.

8.3 Communication Channels

GFX will maintain a regular presence on the community forum. Questions directed at GFX that are not time sensitive should generally be acknowledged within 24 hours, unless it is a major holiday period.

For urgent or sensitive communications, GFX will maintain at least two separate channels (e.g. Signal, Telegram, Discord, email, Slack, phone) of communication with Gnosis Ltd and any other appointed representatives of the DAO.

9. Timeline & Readiness

GFX anticipates being able to onboard immediately to begin coverage of Gnosis assets. Governance activities will ramp up as we gather the full context of Gnosis’ current relationship and obligations with each project. The live dashboard is expected to have an MVP within 60 days.

Some work will be contingent upon action items or information from Gnosis. A full list of dependencies will be provided upon onboarding, but will include adding signers to required Safes, information regarding the offchain portfolio and their historical valuations, governance strategic goals, and introductions to various counterparties.

10. Questions & Outreach

GFX appreciates the time and effort of GNO holders evaluating our proposal. For those who may have any questions or suggestions outside of this forum, you can reach us at governance@gfxlabs[dot]io. We look forward to working with Gnosis.

[TulipaCapital]

Tulipa Capital

• Socials
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• Team
  • Global team with extensive hands-on crypto experience and a proven track record managing on-chain positions, vaults, and structured products across multiple protocols and chains.

Operational & Risk Approach

Operational Approach

Tulipa Capital operates as a dedicated risk management firm, steadfastly prioritizing risk since inception while continuously adapting to the rapid pace of DeFi innovations. Risk assessment is the cornerstone of our operations, with meticulous efforts focused on deeply understanding each strategy and its underlying assets. Our agile team is well-positioned to evolve alongside the dynamic DeFi landscape. As a DeFi-native organization with extensive hands-on experience, we leverage this expertise to identify, evaluate, and deploy strategies efficiently while upholding our risk-first approach. This disciplined methodology has resulted in near-zero losses since our founding, consistently yielding strong risk-adjusted returns.

Risk Management

Tulipa Capital has a variety of tools available to monitor and prevent incidents; Hexagate in-house tooling. We are in the process of integrating Hypernative as well. These tools compliment each other to create a well rounded, powerful tool kit for 100% visibility and strong incident prevention.

• Capital Preservation

  • Whitelist-based positioning
  • Position Size Limits
  • Diversification

• Monitoring

  • HexaGate + HyperNative
  • 24/7 Human Monitoring

Our Mandate: The primary objective is capital preservation and stability, aiming to minimize risk and avoid volatile investments. The secondary goal is to generate a steady, moderate return that not only guards against inflation over a medium and long-term horizon but also amplifies the treasury of the DAO.

Track record of Asset Management:

Tulipa Capital has a long standing and almost perfect track record since 2020. The only realized loss taken by Tulipa Capital was during the Luna Crisis of 2022 which resulted in a 0.1% loss due to contagion from the Luna collapse. Furthermore, Tulipa can proudly say that we took no realized losses during the events and aftermath of October 10th.

Tulipa Capital has developed strong ecosystem relationships and partners since its inception. We leverage our network to consistently find new opportunities, generate strong returns, and support our partners.

Tulipa Capital Statistics

• Prop Fund

  • Current AUM: $143M

• Vaults

  • Current AUM: $87.5M

Visibility, Transparency, and Reporting

For a treasury of this magnitude, Tulipa believes cooperation and accountability are the two most important factors; this accountability must not be monopolized by the asset manager however. The community should be able to easily monitor, understand, and truly be a part of the process. Our goal is to be fully transparent so that the DAO has full access and understanding of how this treasury is managed. We want our ethos to be seen, not assumed.

With this pretext in mind, we have chosen a long time friend and partner: Accountable. Accountable will give the DAO a dashboard to see how the treasury is being managed and a deep understanding of the positioning of the DAO’s funds. Just as we do not wish to monopolize the assets themselves, we do not want to monopolize the access of accountability.

Through this strategic partnership, there will never be a question of the integrity of the allocations. We believe the transparency of the positioning is just as important as the position itself. Furthermore, Accountable will externalize our metrics forcing 3rd party accountability via the community, and the general public. Accountable’s verification infrastructure is proven at scale: $2.15B+ in assets continuously verified across 93 data sources (banks, custodians, exchanges), 115 blockchains. The platform uses advanced cryptographic techniques, including zero-knowledge proofs, trusted execution environments, and zkTLS to verify financial reserves without exposing sensitive information.

How Transparency Will Function

• Live Treasury Dashboard

  • 24/7 Real Time Visibility into all positions
  • Risk Metrics & Exposure Monitoring

• NAV + GNO Statistics

  • A detailed dashboard about the GNO token will be created

• Monthly Reporting

  • Delivered by: Last Friday of each month
  • Includes: Net Asset Value [NAV], new positions
  • Format: Delivered via forum post

Empowering Success Through Partnerships

For Tulipa to best serve the needs of the DAO, we have made partnerships with our colleagues in order to provide the highest quality service possible. The previously mentioned Accountable is the most premium transparency provider in the industry as of late. They will be pivotal for providing 24/7 transparency for the community and assist with all reporting requirements.

Our other partner is Flowdesk, a leading institutional crypto liquidity and trading firm. Flowdesk provides a differentiated suite of products, including OTC spot trading, OTC derivatives execution, market making services, and the ability to borrow against crypto holdings. These capabilities are complemented by foreign exchange management for supported currency pairs and broader institutional grade treasury services. Flowdesk also supports advanced structured products and liquidity strategies. One example is a gamma liquidity provision designed to generate significant yield on idle token balances. With a global presence across major financial hubs (NY, London, Singapore, Dubai, & Paris), Flowdesk offers truly international coverage and deep market expertise. As an official partner of Tulipa Capital, we benefit from priority access and dedicated support, enabling us to manage treasury operations efficiently and at institutional standards.

These two strategic partnerships allow Tulipa to meet and exceed all parameters set by the DAO. Each partner in this trifecta is able to do what the others cannot; allowing us to have the most options and flexibility to most effectively manage the treasury.

Flowdesk’s Role

• OTC Spot & Derivatives Execution

  • Aggregated liquidity sourced across a broad network of centralized exchanges, and decentralized venues to optimize execution
  • Risk and programmatic execution workflows designed to minimize market impact for large notional trades and an experienced team of traders for any additional help
  • Support for both spot and derivative structures
  • 24/7/365 trading, operations, and sales coverage to ensure continuous execution, monitoring, and client support across global markets

• Token Market Making

  • Continuous two-sided liquidity provision across major centralized exchanges, including Binance, Coinbase, OKX, as well as a broad network of Tier 2 and Tier 3 venues
  • Unified market making infrastructure connected to all major venues to ensure consistent pricing, depth, and spread management
  • Dynamic inventory and risk management frameworks to maintain neutral or target exposures across venues and manage arbitrage opportunities where they arise

• Additional Flowdesk Products

  • Gamma-based liquidity provision strategies designed to monetize volatility and generate yield on idle token balances
  • Structured liquidity programs targeting enhanced risk-adjusted returns, historically capable of achieving elevated yield profiles during favorable volatility environments
  • Ability to borrow cash against crypto holdings, enabling capital efficiency while maintaining core token exposure

Fee Structure

Total Annual Cost: $1,000,000 + 20% performance

• Base Fee: $1,000,000/year; paid quarterly ($250,000/quarter)

• Performance Fee: 20% of returns above the hurdle rate

  • Hurdle Rate on Stablecoin Returns: Staked USDe [sUSDe]
  • Hurdle Rate on Ethereum Returns: Lido Staked ETH [stETH]
  • Rate is determined by the quarterly average yield on sUSDe/stETH

• Market Making Costs: $32K monthly retainer* (paid quarterly) + $200K loan (50% stables & 50% $GNO token)*

At the start of the agreement, the DAO will pay the first installment of the management fee ($250,000) to Tulipa Capital to cover start up costs. Going forward the management fee will be paid at the beginning of each quarter along with the performance fee of the prior quarter.

*Open to discussing market making specifications with Flowdesk upon request

Out of Scope

The following are explicitly excluded from this mandate:

• Legal, tax, regulatory, audit, or smart contract security advisory and review services
• External data submissions and ongoing metadata management

Termination of Services

This agreement is indefinite. Either party may request termination via a written 90 day notice. Once termination has started Tulipa Capital will begin winding down positions and preparing to hand control of the treasury back to Gnosis.

Management fees and performance fees will continue being paid until termination is completed.

Contact Information
FlowDesk

• TG: @KrishnaR_flowdesk

Tulipa Capital

• Email: info@tulipa.capital

[Perseus]

Perseus & MainNet - Full Scope Treasury Management Proposal

Summary

The joint proposal from Perseus and MainNet offers Gnosis DAO a differentiated combination of expertise. Together, the teams bring a proven track record of supporting some of the largest DAO-controlled entities, with a shared emphasis on disciplined risk management across execution and governance. MainNet provides the operational and governance framework that complements Perseus’ liquidity execution, ensuring that disbursements, payments, and counterparty interactions are administered in strict alignment with DAO-approved mandates and institutional-grade controls.

Strategy, execution, and ongoing oversight of treasury management will entail:

• Continued deployment to DeFi funds and protocols - with a commitment to iterate on existing allocations for the benefit of the DAO and Gnosis ecosystem;
• New yield-generation strategies to monetize token assets - targeting to exceed benchmark staking and/or lending rates, where applicable;
• Allocation to a delta-neutral stablecoin vault that will seek to return 15-25% per year.

Companies

Perseus is powered by a DeFi-native quantitative trading firm that is focused on low-latency, market-neutral strategies. The firm has been built by professionals from the world’s leading institutions, including Bridgewater, DRW, Two Sigma, Goldman Sachs, Optiver, Jump Trading. A global team of over 30 employees provides 24/7 coverage - across trade execution and risk monitoring - with offices in New York, Singapore, Switzerland, and the Cayman Islands.

MainNet Advisors and MainNet Partners (together, “MainNet”) is a leading DAO and foundation services organization providing the operational, governance, and control layer required to support protocol-controlled treasuries. MainNet core capabilities span treasury execution and administration for DAO-controlled entities, payments, disbursements, counterparty due diligence, delegated committee and governance execution roles, multi-entity and Cayman foundation administration, treasury reporting, supply tracking, and audit-ready documentation. The MainNet team comprises 20+ professionals across New York, the Cayman Islands, South Africa, and Denver, with backgrounds spanning treasury management, accounting, legal and compliance, governance operations, and Web3-native infrastructure.

Track Record

The Perseus team has a three-year track record of delivering global liquidity solutions across a wide range of market structures, including AMMs across all major chains and venues, centralized markets with extensive Tier 1 and Tier 2 exchange coverage, RFQ systems, on-chain CLOBs, and Prop-AMM models. Perseus consistently ranks #1 in DeFi and among the top five providers in CeFi liquidity metrics - measured by top liquidity monitoring platforms - across spreads, depth, and trading volume. The firm actively manages capital to remediate historical inefficiencies, ensuring optimized deployment and sustained market quality. Perseus currently partners with top-100 market capitalization foundations to deliver ongoing yield programs that support ecosystem development initiatives, grant programs, and working capital needs.

The MainNet team actively supports 100’s of digital asset foundations and protocol ecosystems across tokenized finance platforms, foundation-led governance structures, and on-chain liquidity venues, with a focus on governance-aligned operations, oversight, and risk management.

References can be made available upon request.

Approach

Our approach is both top-down and bottom-up to develop a foundational strategy that matches the needs and goals of the DAO while maintaining operational integrity.

Gnosis Chain - Liquidity Management

The Perseus trading team that curates the Stablecoin Vault (detailed below) has been incubating strategies denominated in ETH that deploy across many of the DAO’s existing DeFi fund allocations - including Aave, Lido, Stader, and Spark. Perseus would ensure a seamless transition in management of these positions, and look to iterate on future deployments.

Endowment Management

Stablecoin Vault

Perseus manages a liquid, systematic, delta-neutral strategy designed to deliver compelling risk-adjusted returns, targeting 15–25% annual returns on a forward-looking basis. The strategy was incubated with Perseus’ own balance sheet capital beginning in 2025, demonstrating strong alignment of incentives. For Gnosis DAO, Perseus offers flexible deposit and redemption terms, including the ability to accommodate short redemption windows to meet liquidity requirements.

*Benchmark sUSDS

Token Yield

Perseus offers a differentiated yield generation solution by partnering with Tier 1 institutional counterparties to structure, price, and execute strategies that generate token yield above benchmark staking rates, with examples provided for the DAO’s largest token assets:

Asset	Notional ($)	APY (%)*	Yield ($)*
GNO	$5,000,000	5.2%	$261,583
COW	$5,000,000	12.5%	$626,583
SAFE	$1,000,000	20.3%	$203,183
ETH	$30,000,000	9.7%	$2,910,000
			* indicative figures

With respect to GNO token buybacks, we recommend that Gnosis DAO consider a derivatives-focused buyback program, which enables programmatic and opportunistic execution to maximize capital efficiency, particularly on stablecoins. When combined with a GNO token yield generation strategy, this framework allows the DAO to raise stablecoins during periods of GNO appreciation and accumulate GNO during market weakness, creating a disciplined, responsive approach to capital management.

Asset	Monthly Buyback Allocation	Target Buyback Price vs. Spot	Stables Yield - APY (%)
USDC	$600,000	85.0%	9.86%

Additionally, Perseus can support relationship management and active placement strategies for real-world asset (RWA) allocations.

Risk Management

Managing funding risk, leverage, illiquidity, and counterparty exposure is a core priority for Perseus, informed by the firm’s experience deploying balance sheet capital across multiple market regimes. Perseus’ flagship vault is intentionally structured to avoid reliance on third-party yield-bearing stablecoins or external vaults, with depositor returns generated organically through the firm’s proprietary on-chain trading infrastructure and execution capabilities. This approach enhances transparency and materially reduces opacity and contagion risk—concerns that have historically, and appropriately, shaped allocator behavior. Importantly, all yield is generated without asset hypothecation or the use of leverage, reinforcing Perseus’ commitment to disciplined risk management.

• Actively monitors funding exposure;
• Stress tests collateral levels and maintains excess reserves to withstand 5x adverse price deviations;
• Does not extend duration beyond six months for any opportunity, and diversifies liquidity across the strategy underneath that ceiling;
• Limits counterparty and venue exposure through a proprietary risk-scoring framework.
• There will be a clear incident playbook that spells out how serious different issues are, what the first containment steps are, how quickly the DAO gets an update, and who does what between Perseus (execution) and MainNet (governance, legal, coordination).

Delegated Committee Role

Scope of work: MainNet will act as the delegated treasury committee for DAO-controlled, Cayman-incorporated entities, including (but not limited to) foundations and other special-purpose vehicles holding mandates from the Gnosis DAO. In this capacity, MainNet will be authorised to instruct such entities and execute treasury operations strictly in accordance with DAO-approved mandates, policies, and governance decisions.

Responsibilities: Executing DAO-approved treasury actions, instructing relevant entities and service providers, and maintaining clear reporting and audit trails in line with approved mandates.

Operating Framework: MainNet will operate under a defined delegation framework, including documented mandates, approval thresholds, escalation procedures, and reporting obligations, designed to ensure accountability, transparency, and auditability.

Governance & Voting

Scope of work: MainNet will support treasury-related governance and voting activities. This includes token voting in respect of GnosisDAO and GNO, participation in veBAL and Aura voting related to Gnosis Chain emissions, monitoring of relevant DAO proposals, and Kleros voting where applicable.

Details: Governance and voting activities will be carried out pursuant to documented mandates and instructions, with appropriate records maintained for transparency and reporting purposes.

Reporting & Transparency

Perseus will provide monthly NAV and performance reporting for stablecoin assets that are deposited in the delta-neutral vault and will provide monthly reporting to support proof of reserves and yield generation on token assets.

MainNet will provide GNO circulating supply tracking and support consolidated reporting across on-chain and off-chain treasury activity.

Fee Structure

Fee: USD $1.375m per annum

1. Treasury Execution and Administration: is high-touch and time-sensitive, requiring a combination of senior oversight and dedicated operational support.
2. Governance Implementation and Committee Support: require judgment rather than simple processing, continuity over time, and coordination across multiple parties.
3. Counterparty Due Diligence and Onboarding: is labor-intensive and front-loaded, involving coordination across legal, compliance, and operations teams.
4. Reporting, Controls and Audit Readiness: require accuracy and consistency across multiple on-chain and off-chain data sources, with senior-level review.
5. Program Management and Coordination: are cross-functional and ongoing, and primarily focused on preventing issues rather than producing visible outputs.

Perseus Vault: 0% management fee, 20% performance fee

Token Yield Generation (GNO, COW, SAFE, ETH): 0%

Liquidity: TBC upon review of scope of work - intent would be to align incentives with a GNO loan and option commercial structure.

Timeline:

Phase		Timing
Community Discussion:		Immediate
Proposal Refinement:		Based on feedback
Onboarding:		Weeks 1 - 2 post-selection
Initial Operations:		Weeks 3 - 4
Full Deployment:		Month 2

[Chim9]

Hello, sorry about that, it’s an automatic measure against bots/spammers who often attack the forum.

I removed the restriction and the account @edgecapitalmgmt should be able to post again now.

[K3Capital]

Joint Treasury Management Proposal: Sumcap × K3 Capital

Authors: K3 Capital and Sumcap
Term: 12 months (renewable), with clear offboarding procedure (see “Termination & Switching Cost”)

Executive summary

K3 Capital and Sumcap propose a joint treasury mandate for GnosisDAO utilizing a Separated Authority Framework. To eliminate the risks of concentrated power, we introduce a formal “check and balance” system between two specialized partners:

• Lead Operator (K3 Capital): Responsible for 24/7 technical execution, rebalancing, and active deployment. K3 provides the institutional-grade desk and delta-neutral expertise required to manage a nine-figure portfolio.
• Strategic Council & Risk Lead (Sumcap): Acting as the DAO’s gatekeeper, Sumcap manages the whitelist and provides independent vetting for all material deployments, ensuring the Lead Operator remains within DAO-approved guardrails, providing an "Independent Source of Truth”.

Thesis: By separating Execution (K3 Capital) from Oversight (Sumcap), GnosisDAO gains institutional redundancy and transparency. This structure ensures no capital is moved without independent verification, while leveraging our combined networks and balance sheets to secure optimal deployments from risk/return perspective and drive high-quality protocol deployments onto Gnosis Chain.

Meet the Teams

K3 Capital and Sumcap are research-driven liquid DeFi funds known for their fundamental approach to new opportunities combined with data-driven monitoring. They are also active participants in the ecosystem by incubating various open source projects.

K3 Capital

K3 Capital is a BVI-registered investment fund and a spin-off from one of the largest centralized lenders and asset managers in the digital-asset space. Since launching in 2021, the team has operated under a strict delta-neutral mandate, managing a nine-figure portfolio across multiple market regimes and liquidity conditions: from being among the earliest and largest liquidity providers on Curve and Lido during the heights of DeFi Summer to navigating the Terra Luna and FTX collapses, and the Stream Finance incident more recently. K3 Capital is proud to be among the few teams in the industry with a multi-year operating history without a single material technical or economic loss from exploits.

Today, the team manages $525M of discretionary capital (zk-proofs available upon request) while overseeing approximately $350M in TVL through risk-management roles across money markets (the largest external curator on Euler Finance, ecosystem vaults (e.g., Kelp Gain, Neutrl Pre-deposit Vault), and automated strategies. Our team combines seasoned finance professionals, world leading DeFi engineers and power users, and top-tier legal counsel specialized in the space.

Sumcap

Sumcap is a Cayman-based Single Family Office and research-driven yield boutique. Since 2021, the firm has operated at the intersection of capital deployment and protocol architecture, specializing in the design of sustainable liquidity frameworks, tokenomics, and go-to-market strategies for leading DeFi protocols.

In this mandate, the team serves as the Strategic Council and Risk Lead. Rather than focusing on day-to-day trade execution, Sumcap’s role is to provide a rigorous “check and balance” framework over the entire treasury acting as the DAO’s primary gatekeeper, responsible for the independent vetting of all yield opportunities, the maintenance of the treasury whitelist, and the perpetual monitoring of the operations.

Leveraging its proprietary Midas analytics platform, Sumcap provides the DAO with an independent source of truth with verifiable dashboards that monitor performance, capital efficiency, and adherence to risk guardrails. Furthermore, the team also acts as deal originator, leveraging its network to bring high-quality token issuers and private LP opportunities to the Gnosis Chain ecosystem.

Why K3 × Sumcap

Redundancy and oversight by design

A core lesson from prior treasury management arrangements across the industry is that a single-manager model concentrates operational, governance, and key-person risk in one counterparty. Even when the manager is competent, the structure itself can create fragility: oversight becomes episodic rather than continuous; mistakes or drift can go undetected; and if replacement becomes necessary, the DAO faces a costly “all-at-once” transition.

K3 Capital and Sumcap propose a deliberately different architecture: Separated Authority with built-in peer oversight, designed to lower downside, improve accountability, and ensure institutional continuity. By separating Operational Execution from Strategic Oversight, we ensure the treasury never operates in a vacuum.

This “double-lock” system ensures that the treasury’s logic - its risk parameters, historical performance data, and protocol whitelists - remains transparent and accessible to the DAO at all times. By decoupling the intellectual property of the mandate (the Council) from the technical execution (the Operator), we eliminate the risk of a “black box” solution.

This structure provides the DAO with meaningful leverage and clarity:

• Elimination of Information Asymmetry: The DAO does not rely solely on the manager for performance data; the Council provides an independent validation.
• Proactive Risk Mitigation: Deviations from the risk framework are caught in real-time by the Council, rather than being discovered after a loss.
• Institutional Memory: All strategy logic and whitelists are documented and maintained externally, ensuring the DAO retains full “ownership” of its treasury’s operational history.

Operators, not just advisors

K3 Capital and Sumcap are proposing a treasury mandate built around execution, monitoring, and continuous risk management, not a consulting engagement that sits adjacent to the capital. Both teams operate as crypto-native asset managers whose day-to-day work is deploying and managing capital across DeFi markets under real constraints: liquidity, slippage, oracle dynamics, smart contract risk, and governance-driven parameter changes.

As a result, the operational stack we bring to GnosisDAO is designed to function under production conditions: repeatable processes, pre-deployment controls, real-time monitoring, and incident response procedures that are informed by live experience.

A key feature of how we operate is that transparency is native to our workflow, not an afterthought. K3 Capital publishes its strategy framing and maintains public dune dashboards to support verifiable, on-chain reporting.

Sumcap similarly operates a research-led investment practice with an established cadence of long-form publications and maintains a public analytics dashboards to provide real-time visibility into exposures and performance. This “build in public” posture is directly aligned with the needs of a DAO treasury: stakeholders can validate portfolio composition, understand drivers of returns, and evaluate changes in risk posture without relying solely on periodic narrative updates.

The practical difference versus “pure play” risk or reporting providers is that our infrastructure exists because it must; our businesses depend on it. We do not only observe risk; we own the consequences of execution. That creates a different standard of rigor around vetting, monitoring, position sizing, liquidity management, and escalation pathways. For GnosisDAO, it means the mandate is supported by teams that have built and refined systems for deploying capital safely and transparently, with tooling and research that improves decision quality.

Better negotiation power for the DAO

Protocols, token issuers, and market participants generally value durable (“sticky”) liquidity at least as much as headline TVL. By combining the balance sheets of K3 Capital and Sumcap with the scale of the Gnosis treasury, this partnership is positioned to secure more favorable commercial terms in private or quasi-private liquidity arrangements such as improved incentive schedules or points multipliers, fee participation, and program structures that reward longer-duration liquidity provisioning.

This positioning enables the Gnosis treasury to obtain better economics on deployed capital while also supporting constructive discussions with issuers and protocols considering deploying or expanding their products on the Gnosis Chain.

Scope of work

Endowment management

• Establish a comprehensive risk management framework with clear quantitative and qualitative limits, including caps on protocol-, token-, and network-level exposure. The framework will explicitly constrain the maximum tolerable first- and second-order effects under adverse scenarios (e.g., depegs, oracle failures, liquidation cascades, governance events), and incorporate measurable controls such as Value-at-Risk style limits and concentration thresholds.
• Produce standardized vetting materials for every new deployment prior to allocating capital. Each dossier will cover product design and mechanics, team and governance structure, trust assumptions and dependencies, and a structured assessment of both economic and technological risks (including oracle design, liquidation dynamics, bridge/custody dependencies, and composability risks). For each proposed allocation, we will provide an expected return range and the key drivers and assumptions behind that estimate.
• Actively deploy and rebalance the ETH and stablecoin portfolio across the approved and vetted DeFi universe, optimizing for risk-adjusted returns, liquidity, and operational robustness. Rebalancing decisions will be guided by predefined guardrails (risk limits, liquidity constraints, and benchmark-relative objectives) and will include consolidation of fragmented positions where appropriate to improve clarity and manageability.
• Maintain 24/7 monitoring and incident readiness, including real-time alerts, automated risk triggers, and pre-approved emergency procedures for rapid de-risking. Monitoring will cover core risk signals such as price/oracle deviations, utilization and liquidation metrics, protocol parameter changes, governance actions, and anomalous on-chain activity, with a clear escalation and communication process to the DAO for material events.

Gnosis Chain

• DEX and money-market liquidity objectives: The mandate will target providing no less than 20% of the DEX liquidity on Gnosis Chain for correlated pairs, while partnering with a specialist market maker for volatile-asset liquidity where it improves execution quality and resilience. In parallel, we will actively manage the supply/demand dynamics of native money markets bridging capital in and out as needed to keep borrowing and lending rates within the prevailing market ranges.
• Actively managing multi-currency, non-USD inventory: K3 Capital recently launched an on-chain EUR yield product. The partnership is also well-positioned to access traditional capital markets, including the acquisition/divestment of fixed-income instruments denominated in the relevant currencies. Our industry connections could also materially improve the fiat on/offramp settlement processes and the Gnosis Card infrastructure.
• Bridge liquidity and stress readiness. Continuous monitoring and support to the liquidity conditions required for the Gnosis bridge to function reliably (e.g., depth, imbalances, and latency-sensitive liquidity). Given Companies’ proximity to large institutional lenders and liquidity providers, they can also explore short-term liquidity backstops during extreme market dislocations, subject to DAO-approved constraints and risk controls.
• Durable, non-mercenary liquidity. The goal is to make Gnosis Chain liquidity more persistent and utility-driven, rather than purely incentive-chasing. This is achievable by:
  • optimizing emissions and gauge voting where applicable;
  • coordinating with existing issuers and protocols on sustainable liquidity programs; and
  • committing to bring at least three new, high-quality projects to Gnosis Chain over the term, leveraging issuer/protocol relationships and a structured onboarding process.
• Tighter feedback loops between treasury operations and ecosystem growth. Because both companies are involved in both capital deployment and business development, they can connect treasury actions (liquidity placement, incentive design, risk limits) to ecosystem outcomes.

Tokenomics: “fixed-income powerhouse” direction (optional, DAO-directed workstream)

GNO currently behaves as a hybrid between a close-ended treasury structure and a utility token with multiple roles across the ecosystem. If the DAO is interested, we propose an optional, governance-led workstream to evaluate mechanisms that could strengthen the “fixed-income-like” characteristics of the asset. Potential avenues include:

• Rule-based treasury accretion via conditional buybacks. Explore frameworks that convert retained earnings into more explicit treasury accretion and/or buybacks under clearly defined conditions.
• A controlled mint-and-burn / subscription-redemption mechanism (concept exploration). Assess whether a structured mechanism could allow:
  • existing holders to redeem a portion of value from the treasury under strict constraints; and
  • new participants to mint GNO by contributing assets to the treasury,
    in a way that improves capital efficiency, delivers productive assets when needed, and maintains adequate upside for long-term holders.

Any tokenomics work would be strictly governance-led: our role would be to provide analysis, scenario modeling, and implementation pathways for DAO consideration, not to propose unilateral changes or implement without explicit approval.

Proposed Legal and Operating Structure

This RFP requires the manager to act as a delegated treasury committee for DAO-controlled entities (including Cayman-incorporated structures). Our proposal is:

• Contracting: Gnosis DAO Operational Foundation (or relevant DAO-mandated entity) executes a services agreement with K3 Capital Management Inc. and Sumcap’s Cayman entity (or a jointly formed special-purpose committee vehicle, if preferred by counsel).
• Delegated committee: A Joint Treasury Committee (JTC) is established with defined authority boundaries approved by governance.
• Controls: clearly defined whitelisting and signer policies, execution limits, and emergency playbooks, with separation between: initial deployments, routine operations and rebalances, exceptional actions (incidents, rapid de-risking, buybacks).

Approval and Controls Matrix (Core Governance Mechanism)

We use a three-tier control system (best practice: institutional treasury ops):

Tier 1: Routine Operations (pre-approved parameters)

Examples: small rebalances, reward harvesting, maintaining LP ranges within set rules.

• Approval: none required beyond standing mandate
• Execution: K3 Capital
• Validation: Sumcap monitors compliance; deviations flagged immediately
• Logging: real-time + included in monthly report

Tier 2: Material Actions

Examples: new protocol deployment, >$10,000,000 position changes, changing risk limits, adding new token issuers in the investment universe, new bridge usage.

• Proposal: K3 Capital produces due diligence dossier and compliance check
• Approval and whitelisting (when needed): Sumcap
• Execution: K3 Capital
• Disclosure: pre-action note + monthly report entry

Tier 3: Emergency Actions (time-sensitive risk containment)

Examples: depeg, exploit alert, oracle failure, liquidation risk.

• Approval: pre-authorized emergency authority within strict limits
• Execution: K3 immediately, with Sumcap validation and incident protocol
• Notification: DAO-appointed channels within 60 minutes (P0)
• Post-mortem: within 72 hours

Reporting & Transparency

Live Dashboard (Real-Time / Daily)

• Holdings & NAV: by chain, protocol; NAV per GNO
• Risk: concentration vs limits, peg monitoring, bridge exposure, protocol health indicators
• Compliance: whitelist status, parameter changes, action logs

Sumcap validation outputs will be displayed alongside K3 Capital execution data to preserve independent oversight.

Quarterly Report (Forum Post)

Delivered within 15 business days after quarter-end, including:

• Balance Sheet: treasury position snapshot and protocol allocations
• Performance: attribution by asset and strategy; benchmark-relative returns
• Costs: impermanent loss, fees, bridging costs, rewards earned/claimable
• Performance attribution (risk-adjusted, benchmark-relative)
• Utilization audit (idle balances)
• Liquidity ops & ecosystem outcomes (multi-currency liquidity depth, money market health, incentives spend/outcomes)
• Commentary on notable market events impacting treasury performance
• Changes & forward plan (what changed, why, next month’s priorities)

Economics & incentives

Fee structure optimized for performance and aligned incentives

We propose a management fee of 0.50% per annum on actively deployed assets, together with a waterfall performance fee calibrated as a market yield proxy.

Hurdle rate: For USD- and ETH-correlated exposures, the hurdle shall be the prevailing returns of sUSDS/sDAI and stETH, respectively.

Realized return	Performance fee
Below hurdle rate	0%
Up to 1.5 times the hurdle rate	10%
More than 1.5 times the hurdle rate	25%
Assets with no hurdle / benchmarks	10%

To deter excessive risk-taking and strengthen alignment, K3 Capital will sponsor a $10 million portfolio designed to mirror the target treasury allocation. This commitment is subject to practical constraints, including the availability of inventory required to replicate certain positions.

Half of the fees due will be paid in-kind with the remaining being in GNO with a 12 month linear vesting schedule.

Termination, accountability, and switching costs

Base term: 12 months
Termination: 90 days notice (standard)

While the teams operate under a unified mandate, the internal separation of Execution from Oversight provides the DAO with institutional-grade security:

• Preservation of Institutional Memory: We ensure treasury logic is never “black-boxed” within a single manager’s internal systems.
• Reduced Transition Risk: The Council provides a repository of operational manuals and historical data that allows the DAO to rotate the execution mandate if necessary without a disruptive treasury reset.
• Independent Validation: We eliminate the risks of self-reporting through continuous, third-party verification of all operational activity.

Implementation timeline

Week 0–2	onboarding, signer policies, address inventory, operating manuals
Week 2–4	finalized risk framework, first batch of due diligence deliverables, initial allocation and consolidation of legacy positions, liquidity ops stabilization
Month 2+	steady-state operations, live dashboards, quarterly strategic reviews

[bryancolligan]

Hey @Chim9 the @alphagrowth account was also limited from posting a proposal, can you remove that restriction.

[edgecapitalmgmt]

Proposal for Gnosis DAO: Treasury Management Services

Summary

Edge Capital is one of the largest market-neutral digital asset managers, operating since 2020 with $471M+ in assets across the Fund, SMAs, and Vaults. The firm serves 160+ institutional investors and foundations, including U.S. ETF providers and regulated banks in the U.S. and Switzerland, and operates as a leading liquidity and TVL provider in digital assets.

Structured as a Cayman Islands mutual fund, Edge operates within a regulated framework, with oversight from the SEC and CFTC in the U.S., CIMA in the Cayman Islands, and the BVI Financial Services Commission.

Since inception, Edge Capital has delivered a 19.5% net annualized return over 5 years, supported by a market-neutral strategy, institutional-grade infrastructure, and conservative capital deployment. Edge Capital is the largest smart-contract insurance purchaser and among the largest borrowers in the blockchain space.

This proposal outlines how Edge Capital would apply this operating model to Gnosis DAO’s treasury under a transparent, benchmark-aware framework designed for long-term capital stewardship and operational reliability.

Edge’s proposed framework is built around 7 core pillars:

1. Institutional Treasury Management: A robust USD- and ETH-denominated treasury management framework designed to preserve capital, support DAO operations, and generate risk-adjusted, market-neutral returns.

• Fees: 1/15% management/performance fees.
• Weekly liquidity, no lock-ups, no subscription or redemption fees.

2. Strategic & Operational Liquidity Management: Strategic liquidity management across Gnosis Chain and external venues. Edge Capital brings extensive experience in liquidity strategy design and execution, ensuring that treasury assets remain efficiently deployed and aligned with core operational objectives.

3. Endowment Management: Active endowment-style asset management emphasizing capital durability, disciplined risk allocation. As a leading TVL provider in the crypto space, Edge maintains an in-house research function with access to private rounds, curated opportunities, and differentiated deal flow across multiple strategies.

4. Delegated Treasury Committee Role: Execution of treasury operations for DAO-controlled entities, with authority to instruct such entities in accordance with governance-approved mandates.

5. Governance & Voting: Active participation in treasury-related governance, including GNO-aligned token voting, veBAL and Aura voting related to Gnosis Chain emissions, relevant DAO proposals monitoring, and Kleros voting where applicable.

6. Insurance Coverage: Edge Capital is the largest purchaser of smart contract insurance globally, and such coverage can be extended to Gnosis Chain strategies where appropriate. Edge brings deep expertise in smart contract risk assessment, insurance structuring, and legal documentation to support institutional-grade risk mitigation.

7. Risk Management: An institutional proprietary risk infrastructure with 24/7 monitoring and real-time alerts. Edge has a proven track record of avoiding high-risk markets and identifying insolvency risks early.

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Edge Capital Market-Neutral Strategy

1. Institutional Treasury Management Solution

Edge Capital would act as a USD and ETH treasury manager for Gnosis DAO, focused on capital preservation, operational liquidity, and market-neutral returns.

Edge Capital was among the first asset managers to introduce token-denominated share classes, enabling investors to earn yield in-kind, a structure well suited to protocol-native treasuries.

Treasury assets are deployed across diversified, low-risk opportunities under predefined liquidity and risk limits, with institutional-grade reporting and full transparency. Where appropriate, returns may be distributed to support governance-approved cash-flow needs.

Three Pillars of the Strategy

1. Liquidity (TVL) Provision: Supplying liquidity to smart contracts under negotiated private terms in exchange for yield and token incentives.

2. Yield Farming: Generating market-neutral returns by providing liquidity to smart contracts on public terms and receiving reward tokens (typically distributed daily, with no lock-ups).

3. Basis Trading: Executing market-neutral carry trades that capture funding-rate differentials across centralized and decentralized venues.

Directional risk is fully hedged, position sizing is driven by risk-adjusted returns, and capital efficiency is enhanced through active execution. The strategy targets 15-20% net annual USD returns and has delivered positive performance every year since inception.

Edge DeFi Fund Performance (net, audited, verified by the administrator): Table A: USD Share Class; Table B: ETH Share Class (ETH-on-ETH).

2. Strategic & Operational Liquidity Management

Edge Capital would manage strategic and day-to-day liquidity across Gnosis Chain and external venues, ensuring continuous availability of multi-currency liquidity.

As a leading liquidity provider, Edge Capital operates across DeFi lending markets, liquidity pools, bridges, and incentive mechanisms. Liquidity is managed with a primary focus on availability, redemption pathways, and counterparty quality.

Liquidity execution is supported by real-time monitoring, defined escalation procedures, and rigorous counterparty due diligence, enabling timely responses to market changes.

3. Endowment Management

Edge Capital would manage the Gnosis DAO endowment with a focus on long-term purchasing power.

The endowment is supported by 24/7 monitoring, real-time alerts, and predefined emergency procedures. Endowment reporting and valuation are supported by an independent third-party administrator, NAV Consulting (U.S.), providing NAV calculation, reconciliation, and institutional-grade reporting. During periods of unusual market activity, Edge Capital provides the DAO with prompt analytical updates outlining portfolio impact and actions taken.

Edge Capital would support GNO buybacks and execution via OTC and centralized venues, with full investment tracking and transparent reporting. Additionally, Edge Capital maintains active relationships with leading protocols and venture funds, enabling access to high-quality deal flow under preferential terms to support Gnosis’ long-term objectives.

4. Delegated Treasury Committee Role

Edge Capital would act as the delegated treasury committee for DAO-controlled, Cayman-incorporated entities, executing treasury operations with clear accountability and institutional discipline.

The role centralizes execution across on-chain activity, off-chain accounts, and legal structures within a single operating framework. Decisions are taken within predefined governance parameters, supported by documented processes and auditable controls.

5. Governance & Voting

Edge Capital would participate in treasury-related governance strictly within mandates approved by Gnosis DAO, including GNO-aligned token voting, veBAL and Aura governance related to Gnosis Chain emissions, and Kleros voting where applicable.

Governance participation is treated as an extension of treasury stewardship. Relevant proposals are reviewed for economic and risk implications and supported by voting rationales to ensure alignment with treasury objectives and the long-term strategic direction.

6. Insurance Overview: Comprehensive Coverage

To mitigate smart contract and protocol-level risk, Edge Capital maintains a comprehensive insurance framework. Edge Capital partners with IMA / RELM Insurance (Bermuda) and a few partners to structure the first institutional-grade insurance programs, with coverage of up to $22.5M. This is complemented by up to $25M of additional protection from Nexus Mutual.

Since inception, Edge Capital has encountered a limited number of smart contract-related incidents, all of which were fully resolved and covered under existing insurance arrangements, with no loss of client capital.

As the largest global purchaser of smart contract and cybersecurity insurance, Edge Capital has developed deep internal expertise in protocol security assessment and insurance structuring.

In partnership with traditional insurers, Edge Capital structured the first ever TradFi insurance policy covering external smart contract risk. The program took 9 months to design and was launched last year, materially reducing exposure to exploits and asset loss, with coverage now scalable to vault-level strategies.

This insurance framework can be selectively extended to treasury strategies deployed on Gnosis Chain, providing an additional layer of institutional-grade capital protection.

7. Risk Management

Edge Capital actively monitors market dislocations, stablecoin depegs, oracle reliability, and systemic vulnerabilities, and conducts ongoing smart contract and protocol due diligence with top leading auditors and insurers.

Recent market events surrounding Stream Finance and Elixir underscore the importance of rigorous risk selection and independent due diligence in treasury management. Edge Capital identified structural and governance deficiencies during internal review and declined participation.

By contrast, other curators allocated capital and remained exposed, and may now face bankruptcy-related clawback risk despite claims of asset restitution, including future U.S. Chapter 11 clawback review. Edge Capital’s approach shielded partners from downstream insolvency and legal exposure, resulting in zero exposure to these proceedings.

This outcome reflects Edge Capital’s risk-first operating model and its ability to protect capital through disciplined decision-making.

Risk Control Framework

• Market Risk: Conservative leverage, LTV, and margin parameters, supported by active hedging and position sizing to limit liquidation risk and manage exposure during periods of market stress.

• Operational Risk: Strict transaction, authorization, and execution policies governing asset movement and operational workflows, with clear separation of duties and documented escalation procedures.

• Cross-Chain Risk: Use of approved, low-risk bridging solutions only, based on historical performance, liquidity depth, and partner validation, with continuous monitoring of cross-chain activity.

• Protocol & Smart Contract Risk: Comprehensive protocol due diligence prior to deployment, including assessment of governance design, oracle dependencies, time-lock mechanisms, and third-party audits by Tier-1 security firms.

• Cybersecurity: Institutional-grade cybersecurity controls, including multi-signature custody, hardware security modules where applicable, role-based permissions, multi-factor authentication, and continuous monitoring for anomalous activity. Smart contract interactions are limited to vetted protocols, with incident response and recovery procedures in place.

• Monitoring & Stress Testing: Continuous monitoring of protocol behavior, liquidity conditions, and large capital movements, supported by scenario analysis and stress testing to assess portfolio resilience under adverse conditions.

• Insurance: Smart contract and oracle risk coverage through Nexus Mutual, RELM Insurance, and select off-chain insurance providers, applied selectively based on exposure, structure, and risk profile.

• Legal Protections: Execution of enforceable legal agreements for structured liquidity arrangements, including defined investor protections, settlement terms, and recourse provisions where applicable.

Edge Capital & Hypernative Guardian

At Edge Capital, cybersecurity is a core operational pillar. The firm works closely with leading blockchain security engineers to support institutional-scale activity across DeFi and centralized venues. Transaction-level controls are designed to prevent loss before execution rather than react after the fact.

Edge Capital has deployed Hypernative Guardian as a real-time transaction risk enforcement layer across our custody and execution infrastructure.

This framework enables continuous protection against malicious contracts, approval misuse, protocol exploits, and abnormal transaction behavior through custom, protocol-specific rules tailored to Edge Capital’s operating environment.

The result is a security stack that combines human oversight with automated enforcement, materially reducing operational and execution risk.

This security framework will be applied to Gnosis DAO treasury management.

Hyperliquid Guardian X Edge Capital Article

Edge Capital’s Team

Edge Capital is supported by a 46-member team across investment management, research, technology, operations, and governance. Senior leadership brings experience from leading global institutions, including Pantera Capital, Trend Capital, Société Générale, ADG Capital, and Bank of America Merrill Lynch.

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Date: 1/23/2026
Email: ir@edge-capital-fund.com
Website
Factsheet

[Chim9]

Hey, it should be good now, can you try to post again?

[alphagrowth]

AlphaGrowth — Treasury Committee Service Provider for GnosisDAO

Category: Treasury Management Services (Treasury Ops + DeFi-in-a-Box)
Term: 12 months (renewable)
Entities: AlphaGrowth (execution) + Reservoir DAO (delegation/governance ops)

TL;DR

AlphaGrowth proposes to serve as GnosisDAO’s Treasury Committee service provider, operating a non-custodial, governance-aligned treasury framework with transparent reporting. The mandate has two complementary tracks:

1. Treasury Operations: Conservative base strategies to preserve capital and generate sustainable yield under strict risk limits.

2. DeFi-in-a-Box (Yield export to Gnosis from Mainnet): Use gnosis treasury as the soft power to grow the Gnosis DeFi ecosystem. Deploy proven structured products where they work today, then port the winning vaults and partners onto Gnosis Chain over time, so Gnosis earns the “alpha” locally and compounds ecosystem TVL and liquidity.

The end state: GnosisDAO becomes the most credible structured treasury + liquidity engine in crypto - earning yield while improving liquidity for strategic assets such as GNO, EURe, GBPe, BRLA, BRZ, ZCHF.

What GnosisDAO would approve

• AlphaGrowth as Treasury Committee service provider (12 months)

• Budget + performance alignment (fixed + capped performance fee)

• Treasury policy/risk framework (allowlists, limits, triggers)

• Pilot allocations and DeFi-in-a-Box roadmap (milestone-gated)

• Fixed: $800,000/year

• Performance: 20% of net returns above benchmark (“Beta Rate”), capped so total comp ≤ $1.5M/year

• Measurable liquidity improvement for target markets (spread + depth)

• Monthly reporting, attributable execution, and incident playbooks

1. Overview

AlphaGrowth proposes serving as the treasury manager for GnosisDAO in alignment with the long-term vision of the Gnosis ecosystem: sustainable yields, transparent reporting, and DAO-controlled custody via Safe-based execution.

We implement a modular treasury framework:

• Conservative base layer for stability and predictable yield
• 10-15% in upside driven placements
• Full transparency (positions, performance, and rationale)
• Execution policies designed to reduce governance fatigue while preserving DAO control

2. AlphaGrowth’s treasury & DeFi operating experience

AlphaGrowth’s work is treasury-adjacent by design: incentives, growth, vault design, and partner selection directly shape treasury sustainability and value accrual.

Selected highlights (self-reported; verifiable during diligence):

• As growth team for Compound DAO, supported strategies that increased protocol usage and treasury sustainability, including treasury allocation proposals and incentive-driven utilization growth
• Worked across Compound, Arbitrum, Near, Saga, Kava, Aurora, RE.xyz deploying treasury strategies and incentive programs
• $3M partnership with Arbitrum DAO that attracted $172M AUM on Compound
• $38M TVL growth on Optimsim
• Grew Saga Chain TVL by $40MM
• $100M TVL deployed on Kava for ecosystem expansion
• Consulting re.xyz for LPs and lending now at 401,793,644.59
• Built structured vault strategies with partners (e.g., Steer/Liquity-style systems), focused on fee capture and volatility-scalping mechanics
• Maintains a distribution network of ~40 LPs, placing capital into 5–10 liquidity deals per year

3. Strategy Uniqueness: “Yield first, then migrate yield to Gnosis Chain”

Most treasury mandates stop at “find yield.” AlphaGrowth’s mandate explicitly adds DeFi-in-a-Box: a pathway for Gnosis to import proven yield strategies and partners, then shift those flows onto Gnosis Chain, compounding local liquidity and retaining fees in the ecosystem.

• Phase 1: deliver risk-managed yield immediately
• Phase 2: identify top-performing structured products
  Phase 3: bring partners + vault deployments to Gnosis Chain so the “alpha” is earned locally

4. Core Mandate - Treasury Operations

4.1 AlphaGrowth Understanding of Gnosis DAO Needs

Gnosis ecosystem manages a sizable treasury comprising holdings of various assets and tokens. This requires

• Sustainability : That treasury strategies pave the way for the operation of the Gnosis ecosystem activities for the long term, ensuring runway and operational self-sustainability
• Risk remoteness : As mentioned by the Gnosis core team in their RFP, the yield sources need to be on the lower end of the risk spectrum, ensuring safety of treasury.
• Decentralization : The core ethos of our yield strategies, operation of yield strategies on DeFi platforms ensures proper transparency and alignment with the overall narrative.
• Transparency : On-chain Dune Dashboard with full transparency metrics
• Alignment with Gnosis long term vision : Gnosis DAO envisions a sustainable, secure, and community-driven financial ecosystem where liquidity, investments, and governance are managed transparently to fuel long-term growth.

4.2 Operational philosophy

Risk balancing	A balanced mix between a conservative approach and situational opportunism.
Dynamic Allocation	Regular rebalancing, higher frequency during volatile markets
Buybacks in mind	Our contribution to long term benefit for the Gnosis ecosystem lies in the appreciation of GNO. The yields from the treasury strategies are best spent on buying back GNO
GNO Yields	Long term GNO should be composable with more defi strategies beyond Market maker opportunities and speculative bets
Allocation ceilings	No more than 25% concentration in liquidity position in any protocol

• DAO retains custody; execution occurs through committee-approved Safe(s)
• Strategy is bounded by a DAO-approved Treasury Policy & Risk Framework
• Upside modules require explicit authorization and can be disabled cleanly

4.3 Risk framework

Final limits are proposed in Month 1 for approval, but the operating intent is:

• Allowlists: blue-chip protocols and audited integrations first
• Concentration limits: caps by protocol, asset, and strategy sleeve
• Loss triggers per strategy: if a sleeve breaches defined thresholds (e.g., -5% review / -10% exit), it is reduced or exited based on pre-committed playbooks
• Liquidity and unwindability: preference for strategies with reliable exits and minimized tail risk

4.4 Reporting & accountability

• Monthly forum report: positions, NAV, P&L, benchmark comparison, risk metrics, strategy changes

• Quarterly review: KPI scorecard, strategy health checks, roadmap updates

• Incident response: severity-based SLAs + post-mortems when material

4.5 Benchmarking

Asset Class	Benchmark (Beta Rate)	Target Strategies
USD Stablecoins (DAI/USDC/othres)	Aave USDC (or DAO-approved stable benchmark)	DeFi vaults, delta-neutral yields, LP opportunities
Non-USD Stables (EUR/BRL/etc)	No standardized benchmark	Curve/Stable LP management, fee-first optimization
ETH (LSTs)	Lido stETH	Liquid staking/restaking, borrowing overlays, CDP stable yields
BTC (wBTC/native)	3% baseline	Macro hedge, conservative yield
GNO	No benchmark	Market making, GNO-based CDP stablecoin routes
Strategic Alts (SAFE, etc)	3% baseline	Long-term aligned holdings, conservative overlays

5. Value added Service: DeFi-in-a-Box ( DeFi expansion + Gnosis Chain Yield Migration)

Gnosis treasury has the intrinsic value to act as a ‘soft power’ within the Defi ecosystem. If the treasury is channeled properly into the Gnosis ecosystem, it naturally can act as the factor that leads more protocols to Gnosis ecosystem.

5.1 What DeFi-in-a-Box means

DeFi-in-a-Box is the structured product and partner program that turns low-liquidity markets into:

• deeper liquidity (better depth/spreads)
• consistent fee generation (volatility scalping via ALM)
• repeatable vault templates that can be redeployed on Gnosis Chain
• Leveraging Isolated Markets and CDPs

Key commitment: successful structured products and partners are progressively ported to Gnosis Chain, so Gnosis gains local DeFi optionality and captures the fee economy. Initial targets assets include:GNO, EURe, GBPe, BRLA, BRZ, ZCHF

5.2 Vault archetypes (toolkit)

Each asset gets a diagnosis and a vault plan using one or more templates:

1. ALM Volatility-Scalping Vaults
   Automated range management to harvest fees in volatile regimes with explicit inventory controls.

2. Operational Liquidity Pools (Payments-grade)
   Conservative configuration optimized for reliable swaps and treasury ops liquidity.

3. Curve/Stable LP Management (FX stables)
   Active management of stable pools where benchmarks are less standardized; reporting focuses on fee ROI.

5.4 KPIs for DeFi-in-a-Box (per asset)

• Spread improvement vs baseline
• Increasing Drop-10 (reducing price impact)
• Fee APR (gross and net)
• Incentive ROI (if used): fees + durable depth per unit of incentive
• Gnosis Chain migration milestones: partner commitments, deployments, TVL and volume on Gnosis venues

6. Delegation & governance

AlphaGrowth’s Non-Profit Reservoir DAO (Marshall Islands) handles DAO-facing governance operations, including:

• delegation and voting workflows where needed
• active governance participation and coordination
• ve/voting programs where applicable to secure gauge emissions and optimize incentives for liquidity programs

7. Buyback & LP

For treasury returns over the benchmark rates, AlphaGrowth will propose that a portion of excess returns be used to buy back GNO and LP GNO in approved liquidity programs.

This creates a direct feedback loop from outperformance → GNO value accrual → deeper liquidity.

8. Commercial Terms

• Fixed fee: $800,000/year

• Performance fee: 20% above benchmark (“Beta Rate”)

• Cap: total compensation capped at $1.5M/year

• Compensation mix: 75% in GNO, 25% in stablecoins/other tokens. Linking our services with long term value of GNO

• Gas and critical operations: quarterly proposal requesting reimbursement of execution gas costs (with receipts and transaction list)

Phase	Timing	Deliverables	Gate
Phase 1: Setup	Month 0–1	Policy/risk framework, allowlists, dashboard live, pilot specs	Committee approval
Phase 2: Pilot	Months 1–3	Initial pilots (GNO + one FX stable), KPI tracking	KPI + risk triggers validated
Phase 3: Scale	Months 3–9	Expand vault coverage, iterate designs, partner onboarding	Liquidity improvement + net fee APR
Phase 4: Gnosis Chain migration	Months 6–12 (rolling)	Partner deployments + vault launches on Gnosis Chain	Deployments shipped; TVL/volume targets

Compound vault reference:

[RFC] COMP Buyback Strategy — Nerite, Steer, Yearn, Summerstone & Uniswap v4...

Conclusion

AlphaGrowth presents a Treasury Management strategy that incorporates a mandate of low risk, sustainable and profitable utilization of treasury in line with the long term evolution of the Gnosis DAO & ecosystem.

[Hyperithm]

Proposal for Gnosis DAO Treasury Management Service : Hyperithm

1. Executive Summary

Hyperithm is a global digital asset manager backed by Coinbase Ventures, Hashed, and Samsung Next, managing over USD 400 million in AUM from LPs across Asia and North America. Founded in 2018, the firm specializes in market neutral, quantitative strategies supported by institutional grade risk management. Hyperithm manages both an institutional master fund and mHYPER, its flagship on chain delta neutral and yield strategy, and is active as a curator on Morpho.

Under this proposal, Hyperithm would assume end to end management of the DAO’s treasury, including Gnosis Chain specific treasury and liquidity operations for an initial twelve month term. The investment approach prioritizes capital preservation, liquidity, and operational continuity under market stress.

The fee structure follows a 0/20 performance model with no management fee, subject to a USD 1.5 million total compensation cap and a high water mark. Performance fees are settled 50% in stablecoins and 50% in GNO to reinforce long term alignment. Transparency is maintained through DAO controlled onchain wallets, monthly reporting, event driven communication, and optional third party monitoring.

2. About Hyperithm

Founded in 2018, Hyperithm is a global digital asset manager headquartered in Tokyo and Seoul. The firm is backed by Coinbase Ventures, Hashed, and Samsung Next, and serves institutional and high net worth allocators across Asia and North America.

Hyperithm’s core strengths lie in quantitative research and institutional grade risk management. The firm specializes in market neutral, algorithmic trading strategies designed to generate consistent, uncorrelated returns across market environments.

Within DeFi, Hyperithm is an active liquidity provider and power user of both established and emerging protocols. The firm is active as a curator on Morpho across multiple ecosystems and operates a number of vaults on Midas.

Hyperithm places huge emphasis on regulatory compliance. The firm is registered as a Virtual Asset Service Provider (VASP) in Korea and operates as a Qualified Institutional Investor Fund in Japan, with Cayman domiciled fund structures supporting global partners and LPs.

3. Experience and Track Record

The team has 8 years of experience through multiple cycles operating delta neutral portfolios across varying risk profiles through periods of elevated volatility.

Hyperithm’s master fund has delivered consistent double digit annual returns to LPs in the past cycle. A dataroom for the master fund can be shared upon request.

mHYPER, Hyperithm’s flagship on chain vault in collaboration with Midas that focuses on on chain yield farming and delta neutral portfolio management, has also been consistently generating strong returns even in adverse market conditions.

Key performance metrics for mHYPER are available in the following dashboard: Dune

4. Scope of Work

Hyperithm proposes to cover the full scope of treasury management activities.
Where the DAO elects to appoint multiple service providers, Hyperithm is open to a clearly defined division of responsibilities in accordance with the DAO’s governance decisions.

Endowment Management

• Active management of the DAO’s ETH and stablecoin treasury
• Deployment across established on chain protocols
• Continuous monitoring, rebalancing, and execution with a risk adjusted return objective

Gnosis Chain Treasury Operations

• Operational and strategic liquidity management on Gnosis Chain
• Multi currency liquidity management across approved protocols and pools
• Management and execution related to Circles v2 associated capital

Token and Market Operations

• Execution of GNO buyback programs
• OTC transactions and execution
• Treasury related market execution and capital deployment

Governance and Delegated Committee Role

• Participation in treasury relevant governance discussions and voting
• Execution of governance rights associated with DAO held assets
• Acting as a delegated treasury committee for DAO controlled entities

Reporting and Transparency

• Monthly treasury reports covering allocations, positions, execution activity, and performance
• Ongoing disclosure of treasury actions and material changes

Engagement Term

• The engagement is proposed for an initial term of twelve (12) months, commencing upon DAO approval.

5. Investment Strategy

5.1 Strategy Foundation: Experience Derived Approach

Hyperithm’s investment strategy is grounded in experience managing delta neutral positions across multiple market cycles, across varying risk profiles, rather than in short term directional price views.

Historically, Hyperithm has managed third party capital with continuous liquidity requirements, and has therefore treated capital recoverability and operational continuity under market stress as baseline conditions when evaluating strategy suitability.

5.2 Strategy Constraints Shaped by Market Stress

As a result of this operating history, Hyperithm has consistently declined to deploy treasury type capital into strategies that rely on fragile liquidity assumptions, narrow market conditions, or exit paths that cannot be reasonably assessed ex ante.

Strategies where loss boundaries, unwind mechanics, or capital recovery depend on optimistic market scenarios have been treated as misaligned with the objectives of treasury capital management.

Importantly, these constraints reflect decisions formed through real market stress events, where preserving capital and maintaining uninterrupted operations took priority over maximizing headline returns.

5.3 Strategy Scope Informed by Historical Deployment

Within these constraints, the strategies Hyperithm has historically deployed have been centered on ETH and stablecoin assets, and have focused on non directional return generation in structures where payoff profiles are relatively well-defined.

This has included, among others, deployment of ETH and stablecoins into on chain lending markets, allocation to yield bearing stablecoin instruments with embedded return characteristics, and participation in structured or term based strategies where maturity, settlement mechanics, and downside scenarios are defined in advance.

5.4 Portfolio Construction and Use of Leverage

These strategies have not been managed as a single static portfolio or according to fixed allocation targets.

Instead, exposures have been adjusted in response to market conditions, with an emphasis on avoiding repeated concentration of capital in any single protocol, strategy, or risk driver.

The use of leverage has similarly been constrained.

Where applied, leverage has historically served risk management or capital efficiency objectives, rather than return amplification, and has been employed selectively within clearly understood parameters.

5.5 Application to the Gnosis DAO Treasury

This section is not intended to prescribe a fixed investment strategy or execution plan for the Gnosis DAO treasury.

Rather, it summarizes the strategy selection boundaries and decision criteria that have historically guided Hyperithm’s management of treasury like capital.

Any specific strategy selection, allocation sizing, or implementation for the Gnosis DAO treasury would be determined separately through prior discussion and alignment with the DAO.

6. Security

Treasury assets are held under a DAO controlled custody structure, such as Safe.

For operational execution, institutional grade wallet infrastructure such as Fordefi or Fireblocks may be utilized, with all asset movements subject to multi approval and role segregation controls.

Hyperithm uses Hypernative as its primary on chain security monitoring solution. Hypernative performs real time transaction simulation prior to execution, detecting malicious transactions, protocol anomalies, and zero day exploit signals before assets are moved. Based on predefined internal policies, detected risks can be automatically blocked or escalated for additional review. This enables proactive risk prevention without materially slowing treasury operations.

Transactions are executed strictly within pre defined custody policies that specify authorized actors, approval thresholds, permitted transaction types, and approved destinations. Routine treasury operations consist of executing transactions within these policies.

Policy changes are governed by Fordefi’s Admin Quorum mechanism. To prevent unilateral modifications, the Admin Quorum is configured such that policy changes require approval from multiple administrators, including a DAO designated administrator (or an independent co signer appointed by the DAO). This administrator does not participate in day to day transaction execution and serves solely as a governance checkpoint for policy changes.

In the event of a security incident, execution may be paused and Hyperithm remains responsible for coordination and communication with the DAO.

7. Reporting & Transparency

All reporting is provided for informational purposes only and does not constitute DAO approval, performance guarantees, or a transfer of decision making authority.

Underlying positions and transactions are generally observable on chain via DAO controlled public addresses. In addition, Hyperithm already operates a third party, real time monitoring and reporting setup through Accountable, and this framework can be applied to this case as needed. This provides consolidated visibility across treasury positions. Assets may also be managed through structured or vault based setups to support operational efficiency and risk management.

Where appropriate, the reporting framework is designed to remain compatible with commonly used DAO monitoring or third party analytics tools, should the DAO elect to incorporate additional oversight or verification mechanisms.

7.1 Regular Reporting

Hyperithm will provide monthly reporting to the DAO, offering a high level overview of treasury management activities, including:

• Portfolio composition and allocation status

• Summary of material activities during the reporting period

• Any material changes to risk exposure

Reports will be shared via the DAO forum or other pre agreed communication channels.

7.2 Event driven Communication

In addition to regular reporting, Hyperithm will communicate with the DAO on an event driven basis in the case of material events, including but not limited to:

• Material execution or operational issues

• Security incidents or protocol level risks

• Circumstances that may materially affect the continuity of treasury operations

• Situations where an expansion of the approved mandate or the potential addition of new strategies, subject to DAO approval, is being considered

Relevant information will be shared promptly, taking into account the nature and materiality of the event, through agreed DAO communication channels.

In the case of material incidents, Hyperithm will provide timely initial communication to the DAO. Initial reporting for critical issues will be provided within 8 hours of detection, followed by updates as relevant information becomes available, including any mitigation actions or proposed next steps.

8. Fee Structure

Performance is measured based on the change in value of the DAO’s treasury assets over the measurement period. Each approved asset, including ETH and stablecoins, is valued individually, converted to USD on a mark to market basis, and aggregated at the portfolio level for fee assessment.

8.1 Performance Fee Structure

Hyperithm will charge a flat performance fee equal to twenty percent (20%) of net positive portfolio returns, measured on an annual basis following DAO approval.

No management fee is charged.

Total compensation is capped at USD 1.5 million over the initial twelve (12) month term. Under no circumstances will total compensation, inclusive of all cash and non-cash components, exceed this cap.

8.2 Settlement and Alignment

Fifty percent (50%) of any earned performance fees are settled in stablecoins.

The remaining fifty percent (50%) are settled in GNO denominated incentives, subject to a twelve (12) month lock up period, reinforcing long term alignment with the Gnosis ecosystem.

8.3 Loss Treatment

Performance fees are subject to a high water mark and accrue only on net new profits above the previous portfolio peak, and only in measurement periods with positive net performance.

[Lucidly]

Proposal: Treasury Management Services for Gnosis Dao
Submitted by MEV Capital and Lucidly Labs
Contact: Yashish (yashish@lucidlylabs.xyz)

1. Overview

MEV Capital and Lucidly Labs Limited submit this proposal collectively as part of Gnosis Dao’s Treasury Management Services.

Our scope of services extensively cover liquidity management, maintenance of pods for separate DeFi clusters, endowment management, delegated committee, governance and voting, transparency dashboards, monitoring systems and strategic Gnosis ecosystem support.

GIP-143 highlights key inefficiencies on transparency, performance and actionable execution. With this proposal, we ensure accountable performance standards, low latency risk infrastructure and strictly performance based compensation with shared liability in case of negligence.

2. Introduction

MEV Capital is an institutional digital asset manager with key focus on EVM chains activities. Operating since 2020, MEV specializes in market neutral mandates across highly liquid digital assets and battle-tested decentralized protocols.

MEV Capital clients include crypto-native institutions, family offices, HNIs, Investment banks / publicly listed companies and DAOs and crypto treasuries [references available upon request] with >$400M Assets under Management and >1.5B$ peak AUM curated across DeFi vaults for restaking and borrowing activities.

Lucidly Labs Limited is a research and engineering team building hyperstructures and modular tooling for onchain capital deployment since 2023. Upon execution, Lucidly would be responsible for deployment and maintenance of structured pods with onchain verification, DeFi integrations and reporting and risk infrastructure for Gnosis DAO.

Why MEV Capital x Lucidly Labs

Separation of risk underwriting and execution/accounting is important for 3 major reasons

• Operational segregation: Division of roles in devops/accounting related tasks from asset management as 2 teams use separate infrastructures.
• Risk segregation: Lucidly’s real time monitoring infrastructure continuously tracks adherence to MEV-defined risk mandates, automatically flagging deviations and enforcing parameterized health checks.
• Contagion containment: Lucidly’s independent capital deployment engine encapsulates each strategy or whitelisted allocation within isolated “pods,” ensuring that strategy specific risks remain ring fenced and do not propagate across the treasury.

3. Proposed Scope of Work

Operational Liquidity Management

• Automated low latency CLMM algorithms with block level benchmarking, rebalancing execution and hedging infrastructure for FX (EURe, GBPe, BRLA, BRZ, ZCHF) and strategic pools on GC ensuring deep DEX liquidity

  Liquidity Uptime >98%
  Price Impact (100k swaps) <100bps

• Bridge: Maintaining and ensuring liquidity on various chains with balance tracking and making necessary transactions when needed for third party bridging infrastructure. Operating relayers on behalf of Gnosis

• Proposals for GNO incentives issuance from a liquidity utilization first approach aligning financials to gnosisDAO treasury. Replace direct incentive issuance to bribes on vote markets where necessary to save costs

• GIP execution (within 1 week of approval) and disbursements with counterparty due diligence

• Gnosis Circles liquidity support

Endowment Management

• Lending cluster to actively manage stablecoin + ETH exposure across low-risk bluechip Aave and Morpho markets with strict guardrails.

• Delta neutral yield cluster, Fixed income yield cluster and Liquidity Provisioning yield cluster.

• Automated deposits, rebalances, claims and liquidity buffer maintenance across whitelisted strategies without any manual intervention

• Risk adjusted alpha research (Stablecoins and ETH yield instruments)

• Strategic GNO buybacks depending on Treasury NAV and Gnosis market cap delta via DEXs,Aggregators, CEXs and OTC

  [Strategic alignment: Gnosis Ltd. holds sole discretion regarding any deployment. We assure no deployment to any protocol misaligned to the Gnosis ecosystem]

Governance and Voting

• Active governance participation for governance tokens held by Gnosis DAO as a delegate to achieve best possible gauge emissions on GC, long term asset preservation and upkeeping the interests of all GNO holders.
• Proposing intensive data driven actions and new initiatives for deployed assets that strongly align with Gnosis ecosystem
• Monthly reports on voting activity and governance thesis for active feedback loops

Transparency and Reporting

• Real-time reporting Dashboard: Offchain infrastructure to
  Account attribution from individual yield clusters on multiple timeframes
  NAV calculation
  Historic rebalances
  Treasury deposits and withdrawals
  Risk metrics
  Sample Dashboard

• Onchain verifiability for NAV calculation and allocation record programs by running inside a TEE(Trusted Execution Environment)

• Open-sourced API endpoints for data exposed on Treasury Dashboard
  Sample API

• Monthly comprehensive treasury reports covering
  Portfolio Summary (by asset, chain)
  Revenue (Historic and Current), average APR
  PnL since inception - MTD, YTD
  Active Positions - purpose and deployment of funds across protocols, loans management (Collaterals, Debts, LTV, max LTV)
  Tracking execution of approved GIP disbursements
  GNO incentives provided on Gnosis Chain (by protocol and share)

• Telegram/Discord monitoring alerts - to report PnL, APY, rebalances
  

  

Gnosis Ecosystem Support

• Working closely with Gnosis chain dapp’s on engineering, liquidity front
• Business development - additional social coverage for gnosisDAO - performance, reporting and transparency.
• Inviting strategic DeFi teams to deploy on GC
• Improve current and engineer new defi instruments for GNO onchain
• Interact with the community for understanding requirements of liquidity on the gnosis network.

4. Risk Framework

Curating economic security and managing risk parameters is the most important part of our job. Our risk framework extensively covers:

• 24/7 alerting systems and automated emergency triggers with Hypernative
• Inbuilt verification checks for slippage, price oracles before the execution of any transaction
• Pre-approved emergency unwind procedures
• Any critical vulnerabilities found disclosed immediately to the DAO with comprehensive incident review
• On-call team availability as and when required throughout the length of the term in case of any crisis events
• Active public ticketing system with assured response time within 6 hours from the management team

5. Fee Estimates

As part of the Gnosis Treasury Management mandate, we will use Sky Savings Rate (sUSDS) for stablecoins and Lido staking yield (stETH) for ETH exposure as performance benchmarks, and agree to charge a performance fee with these standards set as the hard hurdle rates for respective assets.

Total Annual Cost: $180,000 base fee + 14% performance fee earned on returns above set performance benchmarks.

Fee Component	Compensation
Annual Base Fee	$180,000/year, paid monthly
Annual Performance Fee	14% above benchmark, paid annually
Hard Cap	$1,500,000

Long term Alignment to Gnosis DAO: As part of our long term alignment to Gnosis DAO, we propose denomination of 50% of the performance fee in GNO and remainder in USD vested till the maturity of the annual contract.

[Net performance fee calculation measured year-over-year against benchmark assets yield]

This proposal offers an ongoing engagement and set reviews on preferred timeframes with Gnosis Ltd.

Termination of the services would require a 90 day notice, during which we would be liable to unwind existing positions as per the DAO’s requirement. Performance fee would be applicable pro-rata till date of termination.

5. Team and Legal Structure

MEV Capital Asset Management Ltd. (BVI) is the Licensed entity as an asset manager that would act as the delegated committee for corporate governance holding mandates from Gnosis Ltd., tradFi counterparties.

Since 2020, we have attracted high caliber talent from top academic institutions and proven track record in both traditional finance and the crypto industry globally. The operations and development team is formed from crypto-native, legal and IT experts from financial fields.

Active in DeFi, we have partnered with the best-in-class institutions offering deep expertise in digital assets management and curated vaults - money markets, staking, multi-strategy and fixed yield.

MEV Capital Historic performance Metrics and Current Deployments:

MEV Capital

Provided upon request: Fund termsheets, Client references, KYC, KYB, audit documentation.

6. Timelines:

Upon execution of the services agreement with the aforementioned terms, we aim to work with set KPIs. As part of the onboarding, we would require 15 days to set up new clusters, risk infrastructure and reporting dashboards.

Within the first 4 weeks of execution, FX pools and bridge liquidity management deployments will be in production, with a full deployment assured in maximum 45 days from execution of the contract.

Thoughts to the community

In this proposal, we tried to highlight the scope of work based on our asset management expertise with a success aligned fee structure and more context on our entity structure, previous track record and operational competence.

We are open to a community call to review the terms of this proposal/share any additional resources to give a better understanding.

Stoked to participate in the discussions ahead, feel free to reply here for any feedback/questions as we structure this collaboratively.

Team MEV Capital and Lucidly Labs

[maxyz.xyz]

MAXYZ: Transparent and Autonomous Onchain Operations for GnosisDAO

Executive Summary

The MAXYZ believe that the GnosisDAO’s most pressing need at the moment is operational stability, not treasury optimisation. While asset management matters, the more immediate priority is tightening processes around essential DAO functions.

We propose to realise this through:

• Rebuilding kpk’s proprietary automation, but in an open source and autonomous manner
• Setting up monitoring linked to emergency onchain actions where possible
• Providing live, public dashboards in collaboration with established third-party providers

Implementing automation, monitoring and dashboarding will serve as a great opportunity to get familiar with the treasury as a whole. This will allow us to formulate an investment policy framework together with stakeholders and community members, which will be presented as a GIP in 2026-Q3.

Liquidity management of Gnosis related products (e.g. Gnosis Pay) can benefit from automated incentives distribution. We have extensive experience with doing so on Balancer gauges, and are arguably the team with the most familiarity around veBAL and vlAURA incentives voting.

Last but not least, we have been the exclusive stewards for Balancer DAO’s governance process for multiple years. Building payloads for DAO multisigs’ Snapshot votes, acting as voting power delegates and navigating the general political DeFi landscape.

MAXYZ

The MAXYZ team traces its origins to the Balancer Maxis, a group of dedicated community members who formalized their support of Balancer DAO operations in a professional capacity. Several MAXYZ team members have contributed to Balancer DAO since August 2021.

MAXYZ offers expertise across both onchain and offchain domains, including:

• Onchain operations and execution
• Governance process participation at multiple levels
• Liquidity management strategy
• Custom UI development
• Development of automation for onchain execution
• Market maker partnerships and coordination

For additional context on the team’s responsibilities within the Balancer ecosystem, please refer to the final Balancer Maxis update published prior to the formation of MAXYZ: Balancer Maxis - The Final Update - Balancer Maxis - Balancer. We have a fully public track record of 1000+ governance payloads executed going back to 2023.

Scope of Work

Open Source Development of Operational Modules

The MAXYZ have a long history of using onchain automation. For years, an inhouse developed GasStation smart contract has automatically distributed Ether (gas) amongst our developers. Fully onchain, fully open source, fully automated. Transferring ownership is a matter of a single onchain call. At all times the DAO can thus maintain control over this system independently of us, its operators. Similar setups exist for injecting secondary rewards into Balancer gauges, processing fees through CoW Swap burners or relocking vlAURA in multisigs. The latter even saw adoption by the Aura team themselves.

Some of the deactivated automation agents listed by kpk have clear, off-the-shelf solutions already available to us. Others can be developed by us in this same paradigm quite easily. Internal security review by our team’s auditor (Recon) will ensure meeting required security standards.

We also have extensive experience with reviewing permissions on the Zodiac Roles module, kpk’s modus operandi. Reusing that approach as a temporary solution or as an alternative to the smart contract/module based system will be evaluated in the first 30 days.

Furthermore, we have worked a lot with (Gnosis) Safes, not only operationally, but also in terms of how to reflect real-world organizational structures within Gnosis safe hierarchies. An example is our design of a hierarchical nested safe setup for Balancer DAO and its subsidiaries. We will leverage this experience to make sure GnosisDAO has full custody while adhering to best practices in the space.

The end state is operations infrastructure that is fully open source, verifiable onchain, and transferable with a single call ensuring GnosisDAO is never dependent on any single team, including us.

Gnosis Chain strategic and operational liquidity management

Multi-currency liquidity, DeFi liquidity, lending markets and bridges

Managing multi-currency liquidity is at the core of GnosisDAO’s growth strategy for the chain and its products like Gnosis Pay. As a result a treasury manager needs to have deep understanding and hands-on expertise on deploying, managing and monitoring deployed liquidity performance. Liquidity is not only important for multi-currency tokens, liquidity for other native Gnosis tokens are necessary for fostering activity on the Gnosis chain and providing a positive experience for users

Areas of expertise:

• Amplification Factor: balance between setting to concentrate liquidity but not too much which will risk assets in case of a depegging event
• Swap Fees: setting competitive swap fee settings and monitoring market conditions that may warrant a temporary adjustment
• Concentrated Liquidity: understanding where liquidity needs exist across a price range
• Custom pool parameters: example, hooks, initial setting and refining of parameters to provide the best liquidity
• Incentive Management: bootstrapping liquidity by fine tuning incentive programs, either through direct incentives or bribes where supported

In the last year, we have provided partner support in setting up major liquidity pools for Balancer v3, including design, execution and optimization of major stable coin pairs such as the GHO:USDT:USDC pool on mainnet or the EURe:USDC pool on Arbitrum, both of which show significant growth since their inception. We’ve also worked with internal strategy/simulation teams to optimize the newer reCLAMM (readjusting concentrated liquidity) product. Given our history with Balancer, we’ve interacted with most if not all major stable coin issuers in the space and 50+ protocols for other liquidity needs. We have a proven track record to execute on customers needs onchain.

Example of improved liquidity utilization after tuning swap fee and amplification factor parameters on a Balancer v3 boosted pool.

Example of surge hook parameters being updated in order to adjust to market conditions, result was increased volumes.

In terms of lending market activity, we feel it is important to understand possible risks of depositing to any protocol. There should be additional scrutiny and caution before exposing the DAO’s assets to any new protocol. That doesn’t mean that mature protocols are immune from risk, however limiting total exposure to any protocol should be a pillar of any strategy.

Reliable bridging is foundational to any chain’s user experience. Users may tolerate rough edges on new chains, but a poor bridging experience creates friction at the first point of contact—before they even arrive. However there could be some opportunity loss if there is an over abundance of tokens that go unused. There should be a balance between satisfying liquidity needs and not over subscribing to bridge partners. There is also a risk to using each bridging partner, having an idea about which bridging provides the best outcomes (fees, slippage, chain reach, etc) for GnosisDAO is key. We have, over the years, worked with many bridge partners to supply BAL liquidity on new chains as veBAL was rolled out on a number of chains. Whether that be seeding official bridges or bridges like Axelar/Squid for Base and Arbitrum and Across for the same and additional chains.

The team has proficient experience which would aid in supporting the solver incentive program. We have distributed many different forms of incentives for the Balancer DAO. We’ve used Angle Merkl, disperse.app, direct deposits to addresses, deposits to pool gauges, and we also utilized incentive injector contracts (developed in-house) which automates the weekly distribution of incentives to staking gauges so programs can be set up over many weeks.

Circles liquidity

We look forward to supporting the Circles V2 program in any way required, whether that be new safe creation, safe payload management, liquidity pool creation or management supporting tokens created out of the Circles program, or helping to develop monitoring tools for key metrics.

In terms of track record, we have been involved in the launch of Circles by providing technical support on how to integrate their product with Balancer’s infrastructure as well as testing initial LBP launches. We are currently advising and supporting Circles on how to migrate to Balancer v3’s LBP infrastructure.

GIP disbursements, payments, counterparty due diligence

We have ample experience disbursing various types of payments for the Balancer DAO, from fees to salaries. We have distributed salaries for the Balancer DAO for 2+ years. We would look to implement similar procedures and controls for GnosisDAO. This activity will be captured in standard reporting so anyone from the DAO can track activity if they so please. You can find an example of BIP payload building and reporting here. For counterparty due diligence we believe it is important to cover a few areas before formally engaging any other provider or protocol.

• Identity Verification: ensuring teams are good actors as far as we can tell
• Conflict Disclosure: all investments, relationships with Gnosis ecosystem entities
• Reference Checks: contact prior clients, verify track record claims
• Capability Assessment: demo of monitoring tools, incident response procedures
• Define Counterparty Engagement Framework: what are responsibilities, SLAs, term limits, exit provisions, etc.
• Establish KPIs: ensure there is a framework to track performance of the counterparty

Endowment Management

Active ETH + stablecoin management across DeFi

We believe the Ether and stablecoins held by the DAO should be utilized sparingly for generating income, if at all. True growth of the treasury should come from GNO appreciation; not from leveraged Ether staking or exotic stablecoin yield. Of course that does not mean that these assets should not be put to work; diversifying across opportunities with little to no risk (such as established staked Ether positions or yieldbearing stablecoins) are a safe way of staying ahead of (macro) inflation. However, we believe that any yield beyond these standards introduces unnecessary risk, and that efforts are better diverted to other value accrual.

24/7 monitoring, alerts, emergency procedures

Monitoring deployed GnosisDAO positions for value preservation is paramount. This involves tracking advertised versus actual APR, impermanent loss and peg for example, and having emergency response modules in place in case of (perceived) risk spikes.

This is exactly the kind of setup we designed together with Hypernative for Balancer v2 pools, which prevented all compatible pools of this type ($19m TVL) from being drained during the exploit of November 2025. We recently finished a similar setup for all Balancer v3 pools. By leveraging this knowledge we will implement a transparent and verifiable monitoring solution and emergency procedures.

Risk-adjusted alpha research (ETH yield, stables, RWAs)

We acknowledge the size and complexity of the treasury to be significant. Given our current knowledge we consider it difficult, if not impossible, to come up with a comprehensive plan for all of its different positions before the given deadline.

We therefore suggest starting with an initial onboarding phase of 6 months, where we get familiar with the treasury, while taking care of all day to day operations and put the aforementioned automation, reporting and monitoring in place. In parallel we compose an investment policy with our findings and an outline of the way forward; including asset composition, runway, long-term vision, etc. With enough input from the community this will then be voted on as a GIP.

GNO buybacks and OTC/CEX execution

For GNO buybacks, we will review the previous setup established by kpk and then build a verifiable open-source alternative incl. live dashboarding on buyback performance, similar to other DAOs (e.g. Aave’s buyback program).

We understand Gnosis DAO is or was engaged with Efficient Frontier as a market maker. In our experience, these are the best partners to design OTC or CEX operations with. If their agreement is not extended or no longer in place (kpk’s reports are unclear around exact terms), then we have a network of market makers we have worked with in the past, which could assist in these types of transactions.

Governance & Voting

Treasury-related token voting (pro-GnosisDAO/GNO)

The MAXYZ will exercise voting rights aligned with GnosisDAO interests across all treasury-held governance tokens. We will manage Snapshot voting on relevant proposals, participate in forum discussions, and execute votes that prioritize the Gnosis ecosystem’s growth and sustainability.

GnosisDAO holds governance tokens across several protocols. We will actively manage these delegations:

• Lido [LDO]: Participate in Lido governance, particularly on matters affecting wstETH integration and Gnosis Chain support
• Shutter Network [SHU]: Support Shutter’s development and integration within the Gnosis ecosystem
• CoW Protocol [COW]: Vote on proposals affecting CoW Swap, solver incentives, and Gnosis Chain integration

veBAL + Aura voting (GC emissions)

Given our deep involvement in the Balancer ecosystem since 2021, we have extensive experience optimizing veBAL and vlAURA positions for maximum strategic impact. For GnosisDAO, we will leverage this voting power to direct liquidity incentives toward Gnosis Chain and Gnosis-aligned pools. Delegated veBAL activity by one of our team members: Boardroom.

veBAL Management (~166.5k delegation):

• Vote for gauges supporting Gnosis Chain liquidity (wstETH/GNO, sDAI pairs, EURe pools)
• Monitor and maintain voting power through timely relocks
• Participate in Balancer governance to propose new gauges where needed
• Coordinate with Balancer Foundation on strategic initiatives beneficial to Gnosis Chain

vlAURA Management (~3.76m delegation):

• Automatic vlAURA management with our in-house developed locker Safe Module
• Strategic voting to maximize Gnosis Chain emissions on Aura-boosted pools
• Harvest and recycle voting rewards (bribes) to compound voting power
• Optimized vlAura voting for GNO aligned opportunities through StakeDAO’s new, unified Votemarket (which we helped get deployed)

Relevant DAO proposal monitoring

We will monitor governance activity across protocols where GnosisDAO has strategic exposure or holdings such as Aave, Spark, Uniswap or Safe. For significant proposals affecting GnosisDAO interests, we will post summaries and voting recommendations to the forum for community input before executing votes.

Kleros voting (where applicable)

Participate in Kleros governance on matters relevant to GnosisDAO, including dispute resolution mechanisms and integration opportunities.

Reporting & Transparency

Live treasury dashboard

GnosisDAO holds one of the largest treasuries in the DeFi ecosystem. It is essential for the DAO and its members to have the ability to review all deployed positions at any given time. To achieve this we have partnered with an existing onchain portfolio tracker that already provides live dashboards for dozens of DAOs. This partnership will allow us to provide live dashboard functionality to GnosisDAO covering the following feature set:

• Asset distribution overview
• Historical treasury charts
• Live view of protocol positions
• Revenue metrics, such as daily PnL stats based on daily position snapshots
• Live reports of POL across Gnosis safes
• Proof of reserves / Nav tracking

NAV + GNO circulating supply tracking

In line with GIP-146 we will support reporting to address issues with unclear circulating supply metrics, opaque valuation of VC investments. We will work together with relevant stakeholders to define reporting standards and create a public dashboard either on Dune or via our tech stack.

Component	Methodology
Onchain assets	Mark-to-market with DEX price feeds
LP positions	Full decomposition of underlying + accrued fees (e.g. Uniswap / Balancer positions)
Offchain holdings	Carry at cost or last funding round
Circulating GNO	Exclude: treasury, locked vesting, DAO-controlled positions

Offchain asset review

Offchain assets will be reviewed on a monthly basis. Upon GnosisDAO’s request, these positions can also be presented in live dashboards.

Monthly reporting cadence

The live dashboards will be exported on a monthly basis and posted to the forum. In addition, we are open to work together with other service providers such as @Regen_Financial to review positions at an independent level and add an additional auditing layer on top of the existing infrastructure.

Service	Provider	Cost
Primary Reporting / Live Dashboards	MAXYZ (via third party data providers)	included
Independent Audit	Regen Financial (if mandated by DAO)	~$135-195k/year

Live Dashboards and Reporting Examples

Live dashboards (built by us)

• Balancer Analytics
• Balancer Analytics
• Balancer Analytics (Official)

Dune

• https://dune.com/xeonus/balancer-protocol-performance
• Balancer Alliance | Dune

Agreement Structure

The proposed agreement is on an annual basis. Termination is possible on a 90 days’ notice. Liability is limited to the total annual value of the agreement.

Fee

Given the more defensive nature of the treasury strategy we propose, we do not see it fit to charge performance fees. Besides, such a structure might provide perverse incentives for taking unnecessary risk. We would much rather align ourselves with the DAO as a whole through GNO vesting schedules, combined with a base cash component.

Annual fee is then comprised of the following:

• $500,000 USDC
• $500,000 worth of GNO at 90-day TWAP, which will be locked and vested linearly over 2 years

On top of that, MAXYZ will request reimbursements for spent gas and third party (software) subscriptions.

Legal

After operating for years as a fully decentralised band of freelancers, the MAXYZ officially incorporated last year as a Cayman Islands exempted company. Having this legal structure already in place will make it easy for MAXYZ to act as the delegated treasury committee for the Gnosis Assets Holding I Foundation and any future DAO-controlled Cayman entities.

Conflict of Interest

MAXYZ members are active service providers to Balancer DAO. We disclose this relationship fully. As GnosisDAO’s operator we act exclusively on behalf of GnosisDAO’s interests. Where Balancer and GnosisDAO interests intersect (e.g. veBAL/vlAURA voting), we will prioritize neutrality and avoid conflicts. In the unlikely event of a direct conflict, we commit to taking a step back and flagging the matter to the DAO for independent resolution.

Leadership

Gosuto - Financial Controller Gone Onchain

2015 EVM maxi since ICO

2018 Background as a financial controller in a previous life

2020 MSc Data Science

2021 Fulltime onchain contributor (financial reporting, data science, onchain operations)

2022 Founding treasury council member for BadgerDAO

2022 Selected as a Safe Guardian (Volume 1)

2024 Winner of Best Integration With Gnosis Pay at a ETHGlobal hackathon

2025 Proposed Gnosis blocks by running a Dappnode (e.g. see graffiti at slot 20584921)

2025 Founding treasury council member for Balancer DAO

Xeonus - From Neurons to Nodes

PhD in Neuroscience, 6+ years at a leading Swiss IT consulting firm as Principal Consultant spearheading API integration, data streaming, and data warehouse projects for major banks and insurance companies. Full-time in DeFi since 2023. Founded DeFilytica GmbH in 2022, building analytics dashboards and tooling apps for Balancer, Beets, and Aura. Designed hierarchical Safe architecture for Balancer DAO and pause modules integrated with Hypernative that saved over $19M during a recent exploit. Currently serves on the Balancer Foundation Board of Directors overseeing Balancer DAO.

ZeKraken - JP Morgan Lost Their Best Asset

Worked 15 years at J.P. Morgan. 6 Years as a portfolio manager supporting the execution of discretionary strategies and building tools to automate trading, portfolio analysis, and tax optimization. The other 9 years were spent as a project manager supporting the Investments business. I’ve been supporting the Balancer DAO since August 2021. First as a community member testing the front end, then I progressed to many other roles over the years as I shifted towards a more formal role, full-time in DeFi as of January 2025. I spent time managing the BAL liquidity mining distribution (i.e. pool incentives) prior to veBAL existing. I helped facilitate many treasury swaps and managed “meta-goverance” for those tokens with governance powers. In my most recent role I primarily advise partners on pool creation and parameter settings, assist with new chain/product rollouts and testing, and support operational tasks as outlined in the MAXYZ’s Balancer DAO scope of work. I’ve also developed a number of arbitrage bots to facilitate swaps on newer products before aggregators were onboarded, support strategy testing, and bring more volume to Balancer overall.

Alex the Entreprenerd - Elite Solidity Security Researcher

Founder of Recon; Solidity audits powered by cloud-based fuzzing (Medusa, Echidna, Halmos, and Kontrol). $3B+ Protected in TVL. Also delivers over 1500 security researchers their morning news via Daily Warden, and ended countless times as a top contestant across leading audit platforms (Spearbit, Warden, C4, etc.). Active open source contributor and salutes every whitehat.

In addition to these leaders, we have a competent team of web3 contributors with various backgrounds and skillsets spread out over American, European and Asian timezones.

[sheeki]

Proposer

• Sheeki on behalf of Impossible Finance

Summary

GnosisDAO is looking for a treasury manager that can do two things at once: operate like a reliable, accountable financial operator (day-to-day liquidity, risk controls, reporting, incident response), and operate like a crypto-native product ecosystem participant (on-chain execution quality, multi-chain reach, strategic liquidity programs, and governance participation).

Impossible Finance proposes an operating model that is conservative by default, verifiable by design, and flexible only through explicit governance gates.

We anchor endowment performance to a DAO-ratified baseline (for example wstETH for ETH exposure and a low-risk stable yield baseline), then separate “core endowment” from any experimentation via a capped Innovation Pipeline. We also propose using Gnosis-native primitives as real treasury infrastructure: CoW for execution, Mesa auctions for large rebalances and buybacks, and Conditional Tokens plus FPMM markets as an advisory layer to improve governance signal and align incentives to outcomes.

This proposal is designed to fit within the DAO’s annual compensation envelope (≤ $1.5m) and to address the community’s recent concerns directly: incentive alignment, transparency, incident response discipline, and avoiding a repeat of opaque or unbounded mandates.

---

1) Scope Fit to the RFP

We propose to cover the full scope described in the RFP, with clear internal separation of responsibilities so the mandate does not collapse into a single “black box” function.

A. Gnosis Chain strategic and operational liquidity management

We will manage operational liquidity across the multi-currency stack (USDT, USDC, EURe, GBPe, BRLA, BRZ, ZCHF and future additions), including liquidity provisioning, inventory and rebalancing policies, bridge routing, and execution playbooks per asset.

Operational coverage: our core team is distributed across Asia, Europe, and US timezones, providing near-continuous coverage for execution, monitoring, and incident response. We run an on-call rotation with defined escalation paths so critical events are handled quickly regardless of UTC hour.

• Liquidity provisioning and inventory management where needed
• DeFi liquidity, lending markets, and solver incentive programs
• Bridges and routing policies required to support Gnosis Chain liquidity
• Circles liquidity where mandated, including providing and managing liquidity for Circles-related assets and rails as specified by the DAO and Gnosis Ltd roadmap. At minimum, this typically includes stable-denominated liquidity for on/off ramps and core trading pairs used by Circles users. We will confirm the exact asset list and target pairs during onboarding and publish a Circles Liquidity Plan covering: assets/pairs, target depth, rebalancing bands, incentives (if any), and monthly effectiveness metrics.
• GIP disbursements, payments, counterparty due diligence, and operational controls

B. Endowment management

We will manage ETH and stablecoin allocations with a conservative default posture anchored to a DAO-ratified baseline:

• ETH baseline: wstETH (or DAO-approved equivalent)

• Stable baseline: a DAO-approved low-risk stable yield baseline

  The baseline becomes the default allocation when no special strategy is approved and the benchmark for evaluating performance net-to-DAO.

  Conservative posture means: strict protocol/chain whitelists, position caps, no unbounded leverage, defined liquidity buffers for operations, and pre-written depeg/exploit/bridge incident runbooks with 24/7 monitoring and escalation.

C. Delegated committee role for DAO-controlled legal entities

We can act as the delegated treasury committee for Cayman-incorporated entities that hold a mandate from the DAO, operating within explicit policy constraints and with full reporting back to governance.

D. Governance and voting

We will participate in treasury-related governance processes as authorized, including relevant DAO proposal monitoring and voting mandates (including veBAL and Aura voting if in scope and delegated).

Governance monitoring (examples Balancer and Aura)

Our team runs an ongoing governance and incentives monitoring pipeline across major DeFi venues and ecosystems. To keep this concrete, below are two examples we actively track because they matter whenever strategies touch veBAL/vlAURA, gauge-directed incentives, and incentive vote markets for liquidity incentives on some of our tokens and our portfolio tokens.

• Balancer (balancer.eth, veBAL): We monitor the full Snapshot lifecycle (proposal flow, expected vote blocs, voting power changes, and gauge-related parameter updates) and translate it into practical guidance for treasury execution timing and incentive forecasting. Balancer has 1,049 Snapshot proposals to date, with activity through Jan 15, 2026, 124,381 total votes cast historically, and 2.99B veBAL voting power used. Voting power is highly concentrated, with the top 6 voters controlling ~71.7% of total voting power, so we explicitly account for bloc behavior when forecasting outcomes and recommending votes or positioning.
• Aura (aurafinance.eth + gauges.aurafinance.eth, vlAURA): We track Aura governance and gauge voting across Ethereum and Base, focusing on emissions direction, gauge allocations, and how Aura decisions interact with Balancer gauge markets. Aura has 890 Snapshot proposals to date, and across Aura governance plus gauge voting we observe 11.27B vlAURA voting power used historically. Voting power is similarly concentrated, with the top 34 voters controlling ~93.1% of total voting power, making whale alignment and incentive-driven voting dynamics critical to understand.

What we deliver to GnosisDAO (if delegated / in scope):

We provide (i) weekly vote previews with expected-outcome ranges based on bloc mapping, (ii) incentive impact notes showing what a vote is likely to change in emissions and downstream rewards, and (iii) post-vote reconciliation documenting what changed, how it affected incentives, and any implications for treasury positions.

This ensures governance exposure is managed as a measurable, auditable process rather than ad hoc participation.

How we operationalize this

We convert governance monitoring into concise “vote briefs” and emissions impact assessments: what a vote changes, who the dominant blocs are, likely outcomes, and how it affects expected yield and risk. In our final submission we can include a sample tracker view and a sample vote brief artifact.

E. Reporting and transparency

We will provide live visibility into positions and risks, plus a standardized monthly reporting pack. We also explicitly support the DAO choosing an independent reporting/accounting layer to avoid “self-graded” reporting.

Live dashboard (near real-time)

• Positions by Safe and wallet, broken down by chain → protocol → strategy (lend, LP, stake, idle)
• Exposure and concentration views with cap checks (asset, stable issuer, chain, protocol)
• Utilization audits: idle capital, out-of-range LP, unclaimed rewards, pending claims
• Yield decomposition: base yield vs incentives vs fees, plus explicit cost line items (gas, slippage, bridging)
• Action log for material changes (what changed, why, approval link, and on-chain verification pointers)
• Risk monitoring indicators: depeg watchlists, protocol alerts, bridge risk status, and emergency runbooks

Standardized monthly reporting pack

• NAV bridge month-over-month (what changed and why)
• Performance vs a DAO-ratified baseline, net-to-DAO after costs
• Holdings and allocation tables with month-over-month deltas
• Incident log with timestamps (detect → escalate → mitigate → post-mortem) and SLA compliance
• Next-month plan (expected changes, actions, and any governance approvals required)

Independent reporting/accounting support (optional, DAO-selected)

If the DAO selects an independent reporting partner, we will provide clean data feeds, standardized schemas, and reconciliation support (positions, flows, realized/unrealized framing where applicable, and cost attribution) so reporting remains independent while remaining fully verifiable on-chain.

---

2) Operating Principles

The mandate should be legible, benchmarkable, and replaceable. These principles shape every design choice:

Principle 1: Baseline-first, risk-budgeted upside

The treasury should reliably fund the ecosystem. “Outperformance” is optional and must be purchased with an explicit risk budget and explicit governance permission. The default allocation should be able to stand on its own with simple, conservative building blocks.

Principle 2: No stealth risk creep

Risk should not drift over time because of incentives or ambiguity. We propose an explicit Treasury Policy Appendix (whitelists, caps, leverage rules, bridge policy, incident SLAs) ratified at the start.

Principle 3: Verifiability beats storytelling

Dashboards are helpful, but accountability comes from standardized reporting, clear incident timelines, and reproducible records of decisions and actions.

Principle 4: Separation of concerns

Core endowment operations, Gnosis Chain operational liquidity, and experimentation must be separated in reporting and in permissions. Otherwise, experiments quietly become “the portfolio.”

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3) Differentiation: What Impossible Brings That Is Hard to Copy Quickly

A. Gnosis-native execution as treasury infrastructure

Many managers “can use CoW.” Fewer build a treasury execution playbook around the Gnosis stack.

We propose to make CoW Protocol the default execution rail for day-to-day swaps and rebalances when it improves execution quality, and to use Mesa / Gnosis Auction for actions that benefit from transparent price discovery and reduced market impact, such as:

• Large rebalances
• Strategic token swaps that require community legibility
• GNO buybacks (if mandated)
• Liquidity events that are better served by auction mechanics than by continuous market execution

This is market structure which It improves auditability, reduces “why did you trade like that?” governance drama, and supports Gnosis’s own primitives in a way that compounds ecosystem value.

B. Conditional Tokens and FPMM markets as an advisory layer

We do not propose full futarchy or autonomous execution. We propose a standardized “decision market” package for major treasury choices and ecosystem initiatives.

Conditional Tokens (CTF) + FPMM markets as an advisory layer

We propose a practical “decision-market” program that complements governance rather than replacing it. The goal is to create a live information layer around high-impact treasury and ecosystem decisions, using Gnosis primitives in a controlled, non-theatrical way.

Scope includes:

• A standardized set of market templates for common decision types (allocation changes, buyback triggers, incentive program outcomes, liquidity targets)

• Resolution design and oracle choices appropriate to each market (minimize manipulation and ambiguity)

• Market integrity controls: market sizing limits, disclosure, and rules for interpreting signals (markets inform decisions, do not auto-execute)

• A monthly “market insights” appendix showing what markets implied vs what happened (accuracy review)

• KPI-linked instruments for provider alignment where appropriate (payout only if defined outcomes are achieved)

  Deliverables in Year 1: initial template set, 2–4 pilot markets around well-defined decisions, and a public dashboard page explaining markets in plain language for delegates.

  If Year 1 pilots meet the DAO’s KPI gates, Year 2+ shifts from “proof” to “program”:

  • Expand from 2–4 pilot markets to a curated set of recurring markets aligned to the governance calendar (only decisions with clear, measurable outcomes).
  • Standardize a repeatable market launch pipeline (spec → oracle/source → manipulation checks → liquidity plan → disclosures → post-resolution report).
  • Publish ongoing effectiveness metrics (market-implied probabilities vs outcomes) so the DAO can measure decision-quality impact over time.

C. Policy-driven multi-chain utilization

GnosisDAO’s assets should not be trapped in a single liquidity island. At the same time, multi-chain operations can become a hidden risk surface without a strict framework.

We propose a clean “core + sleeve” architecture to keep the endowment conservative while still enabling explicitly approved initiatives:

• Core Endowment (default): DAO-ratified baseline allocations (ETH baseline + stable baseline), conservative whitelists, tight caps, and liquidity buffers for operations.

• Special Purpose Sleeves (opt-in): capped sub-portfolios approved by governance for specific goals (for example: multi-chain liquidity support, ecosystem liquidity programs, or Innovation Pipeline pilots). Each sleeve has: a mandate, hard cap, whitelist constraints, stop conditions, and separate reporting so performance and risk are not blended into the core.
  Ring-fencing and non-contagion: Every Special Purpose Sleeve is treated as an isolated “pod” with its own cap, whitelist, risk limits, stop conditions, and reporting. This ring-fencing prevents strategy-specific risks from propagating into the Core Endowment and keeps unwind decisions clean and auditable.

  • Sleeve approval and change-control process

    Each Special Purpose Sleeve is opt-in and must be explicitly authorized by governance before any capital is deployed. We propose a two-layer approval model:

  1. One-time approval to create a sleeve (required):

     A governance vote (Snapshot or GIP, as the DAO specifies) approves the sleeve’s mandate and rulebook: objective, initial cap, asset and protocol whitelist, chain whitelist, risk limits, stop conditions, reporting requirements, and the authorized operators/signers.

  2. Operating approvals within the sleeve (not a vote every time):

     Once the sleeve exists, day-to-day execution does not require repeated governance votes as long as actions remain within the approved rulebook. Operational decisions are executed under the DAO’s delegated authority and recorded in the monthly pack and action log.

  3. What triggers a new governance approval:

     A new vote is required for any of the following:

  • Increasing the sleeve cap above the approved maximum
  • Expanding the whitelist beyond the approved assets/chains/protocols
  • Changing the sleeve objective or stop conditions materially
  • Extending the sleeve term beyond the approved duration (if a term is set)
  • Any exception request that breaches pre-approved risk limits

  1. Emergency stop and reversibility:

     Stop conditions are pre-defined. If triggered, the sleeve enters “freeze mode” (no new risk), and the operator focuses on risk reduction and unwinds as feasible. Any extraordinary action outside the rulebook is escalated immediately for governance or designated committee approval.

     If a stop condition triggers, the sleeve enters freeze mode (no new risk) and we focus on risk reduction/unwinds as feasible.

     Unfreeze process (default):

     1. Publish a short incident note (trigger, positions, actions taken).
     2. Confirm stabilization against pre-set thresholds (oracle/liquidity/protocol risk/exposure caps) for a minimum observation window.
     3. Publish an unfreeze memo (root cause, current state vs thresholds, phased re-entry plan, any rulebook updates).
     4. Approval: unfreeze requires designated committee/signers quorum approval (or a governance vote if the DAO mandates stricter control).
     5. Resume via phased re-entry (for example 25%→50%→100% of sleeve cap) with auto re-freeze if triggers recur.

  This structure keeps the DAO in control of scope and risk, while preserving operational efficiency and accountability and makes it easy for governance to resize or terminate any sleeve without disturbing the core endowment.

D. Treasury Innovation Pipeline (governance-gated experimentation)

The DAO will continue to see proposals for “new revenue streams” and novel strategies. The right answer is neither “never experiment” nor “let the manager freestyle.” The right answer is a gated pipeline with templates, caps, staging, and kill-switches.

We will maintain a quarterly pipeline of non-core opportunities that can be tested safely under explicit governance control. This includes capacity-limited, principal-conservative opportunities (for example, situations where principal remains in top-tier money markets and incremental yield comes from constraint mechanics), but it explicitly excludes operationally heavy, hard-to-audit activities by default.

E. Open “Treasury OS” posture and optional independent reporting

We will provide standardized templates, clear schemas, and reproducible reporting. If the DAO prefers, we will integrate with an independent reporting/accounting partner that contracts directly with the DAO. Our operating posture is that the DAO should be able to replace us without losing visibility or infrastructure.

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4) Investment Objective, Baseline, and Risk Framework

A. Baseline definition (DAO-ratified)

We propose a conservative baseline portfolio that becomes the reference point for performance, incentives, and evaluation:

• ETH exposure baseline: wstETH (or a DAO-approved equivalent)
• Stable baseline: a DAO-approved low-risk stable yield baseline

This baseline is important because it prevents confusion between market beta and manager skill, and it enables net-to-DAO attribution.

B. Risk policy appendix (ratified at mandate start)

We propose the DAO ratifies a short, enforceable policy appendix covering:

• Chain whitelist
• Protocol whitelist (tiered)
• Bridge whitelist and exposure caps
• Leverage policy (default no leverage; any leverage requires explicit approval and caps)
• position limits by asset, chain, protocol, and strategy
• Liquidity requirements for runway and emergencies
• Incident response SLAs and escalation contacts
• Reporting minimum requirements and formats

This is the “constitution” that prevents the mandate from drifting.

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5) Operating Model and Controls

We will operate under a controls-first model that emphasizes reliability, transparency, and bounded risk. Execution is performed via Safe-based role permissions and documented runbooks, with pre-defined escalation paths and emergency procedures.

Optional: Options overlays for hedging and controlled yield enhancement (governance-gated)

Subject to explicit DAO approval and a defined risk appendix, we can support risk-defined options overlays as an additional toolkit for treasury risk management and execution quality. Default posture remains conservative and spot-first. Options would be used only as an overlay with strict constraints such as:

• Fully collateralized positions only (no naked shorts)
• Defined structures (examples: protective puts, covered calls, collars)
• Notional and loss caps, maximum tenor limits, and governance-approved triggers
• Approved venues only (on-chain or off-chain as permitted), with auditability and reporting
• Separate reporting line items for premiums paid/received and realized outcomes
• Kill-switch rules and unwind procedures documented in advance

We view options primarily as a risk management tool (reducing tail risk) and secondarily as a way to monetize volatility in a controlled manner.

Custody and permissions

We operate with Safe custody and strict separation of roles. The goal is to make it technically difficult to exceed mandate limits.

• Multi-sig custody remains under DAO-approved Safe structures
• Clear proposer, reviewer, executor separation
• Optional modules only if explicitly approved and documented
• Break-glass procedures with narrow scope, documented triggers, and post-incident disclosure requirements

24/7 monitoring and incident response

We will run 24/7 monitoring with severity-based escalation and public-facing incident reporting discipline.

We propose explicit incident SLAs such as:

• Critical: initial disclosure within 2-3 hours, mitigation plan within 8 hours
• High: disclosure within 12 hours
• Normal: included in monthly report with clear classification

We will maintain runbooks for the common failure modes: stable depegs, protocol exploits, oracle anomalies, bridge issues, and chain instability.

C. Execution quality

We maintain a written execution policy: when to use CoW, when to use auctions, when RFQ or OTC is justified, and when (if ever) CEX execution is necessary. Any off-chain execution would be governed by venue whitelists, exposure caps, and auditability standards.

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6) Managing GNO Discount to NAV (if mandated)

If the DAO mandates active management of GNO’s discount to NAV, we propose a rules-based, transparent policy rather than discretionary intervention. We would operate only under a published policy that defines: NAV methodology, circulating supply methodology, trigger bands, persistence windows, tranche sizing caps, cooldown periods, and pre-declared execution methods (for example Mesa auctions where appropriate). This avoids opaque decision-making and ensures interventions are auditable, predictable, and governance-aligned.

Importantly, we are not approaching this as “just trading.” Gnosis has prior history and community context around NAV discussions, discount management, and adversarial behavior models (including governance-driven attacks and value extraction dynamics). Our design assumes incentives can be gamed around governance-controlled flows, and therefore emphasizes hard rules, disclosure, and safeguards over judgment calls.

• published NAV methodology and circulating supply methodology
• defined discount bands and persistence windows (avoid reacting to noise)
• capped tranche sizes and cooldown periods
• execution via Mesa auctions and/or CoW, with post-trade reporting: size, average price, execution route, and impact on discount

This makes the program legible to tokenholders and reduces governance conflict.

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7) Reporting and Transparency

We propose a two-layer reporting system: a live dashboard for ongoing visibility, plus a standardized monthly report that reads like a real institutional treasury pack.

A. Live dashboard (minimum)

• Positions by wallet, chain, protocol, and strategy
• Claimable and unclaimed rewards
  • “Rewards” = yield outputs from positions (interest/fees/incentives).
  • “Revenues” = protocol/business cashflows (fees/grants/etc.). We track and report them separately.
• Yield sources and decomposition where possible
• Cap compliance and concentration views
• Action log for major changes with rationale

B. Monthly report (minimum sections)

• NAV bridge month-over-month: what changed and why
• positions and exposures by chain and protocol
• realized vs unrealized PnL framing where applicable
• baseline comparison net-to-DAO
• costs: gas, slippage, bridging, swap fees, incentives
• utilization audit: idle capital, out-of-range LP, unclaimed rewards
• incident log with SLA compliance metrics
• forward plan for next month and any policy exceptions

C. Independent reporting option

Separation of duties: We separate (1) strategy design and rationale, (2) execution, (3) monitoring, and (4) reporting. Where the DAO prefers, reporting and reconciliation can be performed by an independent party using standardized data feeds so oversight is not “self-graded.”
If the DAO prefers separation of reporting from management, we will support an independent reporting/accounting layer with clean data feeds and full cooperation.

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8) Treasury Innovation Pipeline

This is how we safely capture the “new revenue stream” narrative without importing operationally heavy strategies into a core treasury mandate.

A. What qualifies

We focus on opportunities that are: bounded downside, verifiable, liquid under stress, and compatible with a whitelist-based policy framework. Examples include capacity-limited or constraint-driven opportunities that do not require opaque leverage or non-auditable counterparties.

B. Gating checklist (required for every candidate)

Every candidate must include:

• objective and KPI
• worst-case loss scenario and downside limits
• protocol and chain whitelist compliance
• liquidity and unwind plan
• monitoring plan and kill-switch
• counterparty and conflict disclosures
• staged deployment plan (pilot, step-ups, stop conditions)
• review date and termination criteria

C. Budget separation

Innovation is capped and reported separately. Core endowment cannot be repurposed into experiments without explicit governance approval.

D. Quarterly innovation memo

We publish what we evaluated, what was approved, what was rejected, and performance and learnings from active pilots.

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9) BTC Strategic Reserve (opt-in only)

We’ve seen community discussion around whether Gnosis should have BTC exposure. Our default recommendation is to separate “asset exposure” from “operational businesses” inside a treasury mandate.

• BTC exposure (if desired) can be implemented cleanly via an explicit policy.
• BTC mining is a different category: it introduces operational, legal, counterparty, and monitoring complexity that should not be bundled into a treasury manager scope by default.

Only if the DAO opts in, we can implement a BTC strategic reserve policy with:

• explicit allocation cap and band
• custody and venue standards
• monthly cost-basis reporting and risk disclosure
• liquidity and exit rules

Bitcoin mining is out of scope by default. If the DAO wants to explore mining, it should be a separate governance proposal with separate risk annexes, legal review, counterparty due diligence, and a dedicated monitoring and reporting framework.

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10) Term, Renewal, and Transition

We propose:

• Initial term: 1 year
• Quarterly reviews: KPI-based, including incident metrics and reporting quality
• Termination rights: shorter termination for cause or sustained underperformance versus mandate
• Transition plan: documented, tested handover so the DAO is not locked in to us as a vendor.

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11) First 30/60/90 Days Plan

First 30 days

• full inventory and reconciliation of wallets, positions, and obligations
• ratify policy appendix (whitelists, caps, baselines, incident SLAs)
• deploy monitoring and escalation ladder
• publish reporting template and deliver a preview report

By day 60

• live dashboard v1
• operational liquidity playbooks for key Gnosis Chain assets and currencies
• execution policy published (CoW vs auction vs RFQ vs CEX)
• draft buyback policy (if mandated)

By day 90

• multi-chain sleeve v1 policy and reporting separation
• first quarterly innovation memo
• decision market templates for major treasury choices (if requested)

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12) Fees and Incentive Alignment

We propose three packages so the DAO can choose the level of ambition clearly, while keeping scope, accountability, and incentives explicit.

Resourcing and role coverage

Impossible is a cross-functional operator, not a single “portfolio manager.” The RFP combines execution, reporting, legal-entity operations, governance participation, and communications. We deliver this via a dedicated Treasury Pod, backed by our broader organization (Operations, Corporate/Finance, Legal, Research, Engineering/Data, and Governance/Community).

Core Treasury Pod responsibilities (mapped to the RFP):

• Treasury Operations and Reliability (24/7): day-to-day operational liquidity across the multi-currency stack, rebalancing, solver incentives and liquidity ops where applicable, payments and disbursements, and emergency runbooks with incident escalation.
• Corporate / Finance Ops: budgeting and payment support, reconciliation support, and coordination with any DAO-appointed independent reporting/accounting partner.
• Legal / Counterparty & Entity Ops: counterparty due diligence workflows, documentation support, and delegated committee / Cayman entity coordination where mandated and authorized.
• Risk & Research: conservative baseline construction, protocol/asset whitelist maintenance, scenario and stress testing, and governance memos for approvals.
• Engineering / Data: live dashboard, monitoring and alerting, reporting pipelines, and standardized monthly packs (positions, changes, utilization audits, NAV bridge).
• Governance / Community interface: DAO proposal monitoring, vote briefs, clear monthly updates, and transparent explanations of changes and incidents.

We also have team coverage across multiple time zones, enabling responsive operations, monitoring, and incident handling without relying on a single region.

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Package A: Ops + Safety (Conservative default)

• $1.1M fixed annual retainer focused on operations, reporting, and conservative baseline management
• No performance fee
• Strongest KPI gating and renewal discipline

Included resourcing (Treasury Pod):

• Treasury Lead (delivery owner and governance interface)
• Ops Lead + on-call rotation (24/7 monitoring and incident response)
• Risk/Research (baseline construction, whitelist policy, stress tests, approvals support)
• Engineering/Data (dashboard, alerts, reporting automation)
• Legal + Corporate/Finance support (entity ops, counterparty DD, payments/reconciliation support)

This package is designed to be an “all-inclusive” safety and operations default for the DAO: maximum predictability, minimum incentive complexity, and strong renewal discipline based on measurable reliability and reporting quality.

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Package B: Baseline + Measured Outperformance

This package is designed to be the most common selection in practice: lower fixed cost than Package A, while keeping upside strictly bounded and governance-aligned.

• Reduced base retainer of $800K, plus a capped performance component, still within the annual envelope (≤ $1.5M)
• Performance applies only above a DAO-ratified baseline and only after a high-water mark
• Strategies must be whitelist-approved and governance-aligned
• Performance is computed net-to-DAO, inclusive of slippage, gas, bridging costs, and any LP impermanent loss effects

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Package C: Conservative Core + Explicit Innovation Sleeve

• Core remains baseline-conservative
• $800K base retainer covers the Package A operating model for the conservative core
• Up to $700K annual budget reserved for an explicitly governed Innovation Sleeve (separate mandate, separate approvals, separate reporting line items), used only when the DAO opts into specific experiments
• Compensation remains within the annual envelope and is tied to measurable outcomes and compliance with gating

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We are also open to GNO-denominated vesting components where appropriate to strengthen long-term alignment, subject to governance approval and clear vesting/lock terms.

We proposed three packages so the DAO can choose the level of ambition clearly.

[Calvinimpossible]

Calvin (also from Impossible here) Happy to answer any questions on ourselves as well as give feedback to other proposers as well on their proposals, but this thread format is a bit hard to do so without clouding the channel. Would love to volunteer (in the proper spaces) to discuss with other teams how to make all proposals better in this process

[exagroup.xyz]

Exa x Gauntlet

Submitted by: ExaGroup (EXA) in partnership with Gauntlet

Contact gherardo@exagroup.xyz

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Executive Summary

This proposal outlines a coordinated, modular operating model for the Gnosis DAO Treasury. Unlike monolithic single-firm mandates, our approach utilizes three specialized operators to cover the full treasury surface area.
This ensures vertical excellence in Risk/Security (Gauntlet), Off-chain Execution and Coordination/Governance (EXA) without the dilution of accountability.
Our model is explicitly designed to support the GNO Value Prop through a systematic NAV-linked buyback engine while maintaining the highest security standards in DeFi via non-custodial architecture and automated risk guardrails.

Element	Terms
Annual Base Fee	$1,100,000 USD
Performance Fee	None
Yield Liability	Differential monthly refund of base fee if benchmark not met
Benchmark Calculation	Gauntlet
Liability for Negligence	$500,000 per year
Termination Notice	90 days
Total Annual Cap	$1.5M USD equivalent

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Values & Principles: The P.A.L.O. Framework

Preservation: Protect principal through Gauntlet’s stress testing and high-risk forecasting.
Alignment: Strategic actions are chain-agnostic but favor Gnosis Chain and the GNO token.
Longevity: Generating positive cash flow to minimize the need for asset liquidations.
Optimization: Active rebalancing between on-chain, off-chain, and derivative-based strategies.

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1. Accountability Structure

By separating strategic, operational, and execution functions, we create a system of “checks and balances” that protects the DAO from single-point-of-failure risks.

Layer	Entity	Mandate	Accountability
Treasury Coordinator	ExaGroup (EXA)	Operations, Governance, Legal, & DAO Interface	Sole Accountable Lead to Gnosis DAO
Risk & Yield	Gauntlet	Yield strategy design, modeling, & 24/7 monitoring	Accountable under EXA coordination
Off-Chain Execution	ExaGroup	OTC, CEX interactions, & off-chain liquidity	Sole Accountable Lead to Gnosis DAO
Capital Owner	Gnosis DAO	Mandate definition & ultimate control	Final Authority

The goal of this mandate is to deliver institutional-grade treasury operations through maximal automation, professional liquidity management, and disciplined execution. The operating model is designed to minimize manual intervention while ensuring robust governance, risk control, and repeatable processes. A core priority is the systematic GNO buyback program, explicitly targeting GNO trading at or near NAV. In parallel, liquidity provisioning is structured to ensure that core ecosystem assets and strategic pairs operate efficiently.

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2. Security & Operational Guardrails

Powered by Gauntlet’s industry-leading risk monitoring, we implement strict automated and manual safety triggers:

• Oracle Health Monitor: 24/7 monitoring of all price oracles. If any oracle remains “stale” for >60 minutes, EXA is authorized to execute an immediate “De-risk Transaction”
• Liquidity Depth Cap: To ensure exit liquidity, no more than 15% of any individual pool’s TVL shall be DAO funds.
• Non-Custodial Architecture: All funds remain in DAO-controlled multisigs with enforceable guardrails. No operator has unilateral withdrawal rights.

To address smart contract exploit risks, Gauntlet integrates multiple layers of security through procedural controls and external partnerships. The security framework leverages: zeroShadow vSOC, Hypernative, Chainalysis

Execution will be managed via a SAFE multisig, utilizing Zodiac roles modifier permissions.

2.3 Liability Framework

We accept responsibility for direct financial losses resulting from:

• SLA Failure: Failure to execute approved transactions within defined timelines (e.g., emergency de-risking) that results in liquidations.
• Execution Errors: Material errors in transaction parameters (e.g., incorrect oracle addresses or excessive slippage) leading to principal loss.
• Unauthorized Activity: Trades or positions executed outside of the whitelisted Zodiac parameters or the agreed Operational Manual.
• Underperformance: Should an endowment strategy underperforms it’s target base rate on a 7-day rolling basis, Gauntlet agrees to refund Gnosis any vault or protocol-level fees collected by Gauntlet during the time period that strategy underperformed.

Terms & Limits
Recourse: Claims are settled via a reduction in accrued management fees or direct reimbursement.
Arbitration: Disputed classifications are subject to binding independent third-party arbitration.

Exclusions
Liability is limited to operational conduct. Explicitly excluded are: smart contract exploits, bridge failures, oracle manipulation (external), market-wide volatility, regulatory actions, and force majeure.

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3. Scope of Work

3.1 Gnosis Chain Liquidity

• FX Operations: Manage liquidity for Gnosis Pay assets (EURe, GBPe, BRLA, BRZ, ZCHF).
• Ecosystem Depth: Support for Circles, lending markets, and AMM strategic pairs.
• Governance: Strategic use of veBAL and vlAURA voting to maximize Gnosis Chain gauge emissions.

3.2 Endowment Management

Leveraging Gauntlet’s robust yield product suite and risk management expertise, Exa will activate Gnosis’ Treasury to generate yields above the Ethereum Staking Rate (“ESR”) and Sky Savings Rate (“SSR”) in a scalable, risk-aware manner while maintaining full liquidity and transparency.

Approach: Gnosis, via Exa, supplies capital directly into the vault, maintaining custody and control. Gauntlet applies its years of risk management experience to manage and monitor the vault in real time.

Vault Strategy Summary

Approach & Mechanics

• Gnosis via Exa supplies capital; Gauntlet manages and monitors in real time.
• Aera Protocol (incubated by Gauntlet) used for automated, non-custodial vault management with dynamic rebalancing.
• Strategies leverage multiple ETH and stablecoin yield sources across Morpho, Lido v3, and cross-chain DeFi protocols.

Vaults

1. gtETH Vault
   • Core Lending: Lend blue-chip/prime assets on Morpho for organic borrowing demand.
   • Levered Staking / ETH Looping: Use LSTs (stETH), borrow ETH, purchase more stETH; dynamically rebalanced based on health factors.
   • Key Benefits:
     • Earn WETH yield above ESR
     • Instant supply/withdrawals, no lockups
     • No leverage risk in Core Vault; Levered Looping mitigates directional risk
2. gtUSDa Vault
   • Multi-depositor vault optimized for stablecoins
   • Sources yield from lending rates, delta-neutral perpetuals, and other DeFi strategies

Summary:

• Automated, risk-conscious strategies leveraging Aera protocol
• Cross-chain, multi-protocol integration
• Institutional-grade management and monitoring by Gauntlet
• Dynamic rebalancing between lending and levered staking to optimize yield while controlling risk

3.3 Governance

Exa provides governance support services to enable informed DAO decision-making, optimize voting outcomes, and ensure alignment between governance actions, treasury management, and long-term protocol objectives.

Governance Strategy & Positioning: Definition of governance priorities aligned with GnosisDAO objectives, including treasury protection, ecosystem growth, and GNO value accretion. Identification of high-impact governance venues across internal DAO processes and relevant external protocols, with a focus on emissions, incentives, and structural decisions. Strategic voting frameworks are designed to maximize Gnosis Chain–related incentives while safeguarding long-term economic sustainability.

3.3 Reporting & Transparency

Gauntlet Active Risk Management & Advisory
To support Exa’s proposal, Gauntlet will enter a comprehensive partnership with Exa to deliver data pipelines, dashboarding, and automated reporting. Gauntlet will build and maintain the monitoring infrastructure and develop a custom risk framework for Exa’s operational oversight of Gnosis’ strategic liquidity provisions and GNO buyback strategy. This includes specific execution recommendations, building and responding to alerts alongside the Exa team, and providing Exa with comprehensive reporting to ensure the Treasury is acting within a custom risk framework.

Data Ingestion & Infrastructure

• ETL & Mapping: Identification and mapping of all required data sources, including DEX liquidity, on-chain borrower/supplier behavior, and volatility metrics.
• Integration: Execution of ETLs to extract data from relevant liquidity venues across Gnosis Chain and Ethereum Mainnet.

Automated Risk Monitoring & Reporting

• Real-time Dashboards:
  • LP & Endowment Positions: Live tracking of existing LP positions and all endowment holdings.
  • GNO Benchmarking: GNO + NAV benchmarking dashboard to report on circulating supply and market health.
  • Performance Metrics: Automated insights into APR, usage, and sustainability of key liquidity positions.

Alert Infrastructure

• Slippage Alerts: Delivery of real-time alerts on minimum slippage thresholds for key pairs and LP positions.
• Active Response: Gauntlet provides guidance on the necessary actions when risk or performance alerts are triggered.

Active Strategic Advisory

• Weekly Rebalancing Recommendations: Gauntlet provides specific weekly recommendations for rebalancing liquidity and endowment positions.
• Active Reporting and Advisory: Gauntlet contextualizes reporting to Exa to enable opinionated and risk-conscious decision making.

Liquidity Management Recommendations

• Liquidity Optimization: Proactive strategic liquidity recommendations to improve capital efficiency.
• Rebalance Recommendations: Proactive strategic liquidity recommendations to improve capital efficiency.

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4. Authority Matrix

Activity	Decision Authority	Execution	Emergency Control
On-chain Yield Deployment	EXA (within mandate)	Gauntlet	DAO
Risk Parameter Updates	Gauntlet (Proposal)	EXA	DAO
Emergency On-chain Unwind	EXA	EXA	DAO / EXA
OTC / Block Trade Approval	EXA	EXA	DAO
Treasury Voting	EXA	EXA	DAO

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5. Fee & Incentive Structure

Component	Amount / Rate	Notes / Incentives
Base Management Fee	$1,100,000 / Year	Monthly refund if benchmark not met, calculated by Gauntlet
Performance Alpha Kicker	None	Incentive built into monthly benchmark refund; no separate kicker

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6. Implementation Timeline

Phase	Timing
Community Discussion	Immediate
Proposal Refinement	Based on feedback
Onboarding	Weeks 1-2 post-selection
Initial Operations	Weeks 3-4
Full Deployment	Month 2

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7. Termination & Orderly Wind-down

Designed for long-term sustainability with clear exit rights:

• Notice Period: 90 days written notice by either party
• Handover Protocol: Structured withdrawal of all positions, prioritizing gas efficiency and slippage minimization
• Final Compensation: Base and performance fees prorated to final active date; base fees continue during wind-down to maintain incentive alignment

[filstrats]

Gnosis DAO Treasury Management Proposal

Submitted by: FIL Strategies LLC
Treasury Lead: Phil Meng, CFA
Governance: Lund Ventures
Legal: 1121 Law

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What This Proposal Offers

Gnosis DAO has the scale, assets, and positioning to operate its treasury as a durable financial institution. This proposal provides a framework to realize that potential:

• NAV alignment — A systematic approach to closing, and capitalizing on, GNO’s persistent discount to net asset value
• Achieving endowment sustainability — Recurring income generation to fund DAO operations without principal liquidation
• Independent reporting — a third party will be engaged to provide external financial validation; the treasury manager does not grade its own homework
• Defined accountability — 12-month term; non-renewal requires no cause; formal review at 6 months
• Simple fees — Flat annual compensation with no complex performance fee calculations

The objectives are measurable. The accountability is real. The strategy is designed for the specific opportunity Gnosis has today.

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Introduction

Gnosis DAO oversees a treasury with scale, structure, and responsibilities that introduce institutional complexity requiring disciplined governance and management. The treasury spans on-chain and off-chain assets, multiple currencies, protocol liquidity positions, governance obligations, and DAO-controlled legal entities. At this level, treasury management is not a peripheral function—it is core financial infrastructure for the DAO.

This proposal sets out a framework for managing that treasury with clearly defined responsibilities, explicit performance expectations, disciplined risk management, and direct accountability to DAO governance.

Effective treasury management at this scale is not the product of a single role or provider. It requires coordinated execution across treasury operations, investment management, governance processes, legal structuring, and financial reporting. The operating model proposed here brings together specialized, crypto-native operators across these functions, with responsibilities clearly delineated and oversight retained by the DAO.

The approach applies established investment and treasury management principles—portfolio construction, asset allocation, risk budgeting, benchmark-relative performance measurement, and systematic monetization of volatility—within a crypto-native operating context. DeFi protocols are treated as implementation tools rather than strategies in themselves.

The objective is straightforward: to manage the Gnosis DAO treasury with the rigor, transparency, and judgment expected of a long-term institutional steward, while remaining fully accountable to DAO governance.

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Structural Opportunity: NAV Alignment and Capital Efficiency

Gnosis has a diversified treasury, protocol cash flows, and embedded governance optionality that is not currently reflected in the value of GNO. GNO has continuously traded at a sustained discount to its net asset value. From the most recent published report, this discount represents at least ~$60m in unrealized value relative to the underlying assets the DAO controls.

While market prices ultimately reflect supply and demand dynamics beyond any single participant’s control, the persistence of this discount suggests a structural inefficiency rather than a transient market condition. The DAO is uniquely positioned to address this through disciplined deployment of its own balance sheet in ways that improve capital efficiency, reinforce NAV as a credible reference point, and generate recurring income.

Our proposed strategy combines volatility monetization with mechanical support below NAV through a conservative options framework. The objective is not to force price outcomes through discretionary intervention, but to create consistent, rules-based actions that improve price discovery over time while contributing to treasury sustainability.

When a treasury consistently trades below the value of its underlying assets, and when that treasury has the sophistication and scale to monetize the resulting arbitrage opportunity, doing so becomes both a strategic opportunity and a clear priority for the mandate term.

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Primary Objectives

This mandate is organized around two observable, measurable objectives that will inform performance evaluation and renewal decisions.

Objective 1: Improve Alignment Between GNO Price and Net Asset Value

The first objective is to improve the relationship between GNO’s market price and its underlying net asset value over the term of the mandate. Progress will be evaluated based on:

• Changes in the magnitude and persistence of NAV discounts
• The transparency and consistency of treasury actions that reinforce NAV as a meaningful reference point
• Overall market confidence in the DAO’s capital structure

NAV alignment is treated as a directional outcome informed by execution quality, market conditions, and the credibility of DAO treasury practices. It is not a guaranteed result, but it is the primary strategic focus.

Objective 2: Establish an Endowment Model for Long-Term Funding

The second objective is to move the treasury toward an endowment-style model capable of funding a growing share of DAO operating expenses through recurring, dollar-denominated income. This involves:

• Systematically converting volatility premium and arbitrage-related gains into stable reserves
• Deploying those reserves in conservative yield-generating instruments
• Reducing reliance on token sales or reactive asset liquidation

Progress will be measured through realized income generation, growth in stable dollar reserves, expansion of sustainable funding coverage as a percentage of DAO expenses, and overall predictability of treasury capacity to support operations through market cycles.

These objectives are mutually reinforcing. Improved capital efficiency supports NAV credibility and investor confidence. Recurring income supports long-term DAO sustainability and operational independence. Together, they represent a coherent path toward financial maturity for Gnosis DAO.

A note on baseline expectations: Operational execution, governance participation, and reporting quality are not objectives—they are baseline requirements. Failure in any of these areas is grounds for non-renewal regardless of investment performance. The objectives above define what distinguishes adequate from excellent stewardship.

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The Options Framework: Mechanics and Rationale

At the core of this strategy is a disciplined options framework designed to function effectively across different market environments without reliance on directional forecasts or discretionary trading.

The treasury would sell puts on GNO, and calls on ETH and other token holdings, as coordinated positions that generate premium income while facilitating systematic portfolio rebalancing. These are not speculative instruments—they are capital efficiency tools that allow the DAO to monetize volatility while maintaining strategic positioning.

In weaker market environments, GNO puts move toward assignment. If assigned, the treasury accumulates GNO at strikes below NAV—effectively buying at favorable valuations during periods of market stress when discounts tend to widen. To offset increased GNO concentration, token exposure is reduced through call assignments or direct rebalancing. Premium income from both legs continues to accrue, building dollar reserves even as portfolio composition adjusts.

In stronger market environments, token calls move toward assignment. If assigned, the treasury monetizes token appreciation at predetermined strike prices, capturing gains in a disciplined manner. To maintain target exposure levels, GNO put activity is scaled or GNO is accumulated directly, reinforcing convergence toward NAV. Again, premium income accrues throughout, and the portfolio rebalances toward desired composition.

The framework is self-correcting. The treasury is either accumulating GNO below NAV, monetizing token gains, generating premium income, or—most frequently—doing all three simultaneously. The strategy does not depend on predicting market direction. It depends on volatility existing and on GNO’s persistent NAV discount creating an exploitable structural inefficiency.

All positions could operate under Foundation-approved notional limits and strike selection rules tied to NAV levels and benchmark references, to the extent necessary for structuring purposes. Open positions, assignments, and resulting portfolio changes would be disclosed and incorporated into monthly reporting. Options activity would be fully integrated into NAV calculations and risk dashboards.

A Note on Derivatives

Some may reasonably ask: should a DAO treasury use options at all? This is a fair question, and we address it directly rather than waiting for it to be raised.

What this framework is:

• Fully collateralized—no leverage, no margin calls
• Rules-based—strikes, notionals, and expirations governed by pre-approved parameters
• Non-directional—the framework profits from volatility existing, not from predicting direction
• Transparent—all positions disclosed on a periodic basis

What this framework is not:

• Speculation on price direction
• Leverage or synthetic exposure
• Complex multi-leg structures with hidden risks
• Black-box strategies that cannot be explained to governance

Options, used conservatively, are standard tools in institutional treasury management. They allow monetization of volatility that would otherwise be uncompensated exposure. The DAO already bears GNO and token price risk; this framework generates income from that risk with the intention of hedging and offsetting risk, rather than simply enduring it.

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What This Could Generate

To ground expectations in observable reality, the following illustrates a target yield profile based on publicly reported treasury composition from late 2025. These figures represent neither guarantees nor fixed allocations, but rather what disciplined execution might deliver from existing assets under reasonable market conditions.

Asset Category	Approx. Notional	Target Yield	% Deployed	Target Annual Return
GNO	~$165M	8.0%	25%	$3.30M
ETH	~$130M	9.5%	50%	$6.175M
Stablecoins	~$60M	4.0%	90%	$2.16M
SAFE	~$18M	11%	80%	$1.58M
Other Assets	~$13M	8.0%	80%	$0.83M
COW	~$8M	12%	80%	$0.77M
Estimated Total	~$399M	—	—	~$14.82M

From most recent published report (figures may not sum due to rounding)

The significance is structural rather than precise. Existing assets can support meaningful recurring income without principal liquidation while also reducing risk, contributing materially to endowment funding and operational budget stability.

Target yields assume:

• Conservative options overlays
• Stablecoin deployment in institutional-grade strategies based on risk tolerance and return objectives
• Separately managed cash allocation for operational liquidity
• GNO options strategies that monetize volatility in both directions, leading to either GNO accumulation below NAV or GNO monetization above spot

The “% Deployed” column reflects realistic constraints around liquidity needs, counterparty limits, and operational prudence. Not every token can or should be deployed at all times.

Over a 12-month period, systematic execution of this framework may generate meaningful realized income while also working to reduce GNO’s NAV discount and building the stable dollar base required for endowment sustainability. Actual results will depend on market conditions, volatility levels, and deployment opportunities.

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Treasury Operating Framework

Operational Treasury Management

Operational treasury management exists to ensure that capital is reliably available wherever the DAO requires it: contributor payments, ecosystem incentives, GIP-approved disbursements, and infrastructure support for Gnosis Chain. This function prioritizes liquidity, execution reliability, and capital preservation.

Operational funds will be segmented from long-term endowment capital and maintained across on-chain wallets and DAO-controlled legal entities. Working capital buffers will be sized to support payroll, vendor payments, grants, and recurring commitments, with periodic review as obligations evolve.

Gnosis Chain operates with a growing set of native currencies including EURe, GBPe, BRLA, BRZ, and ZCHF, with additional currencies anticipated. Managing liquidity across these assets requires continuous monitoring of market depth, bridge capacity, exchange rate stability, and stress scenarios. Liquidity positioning in DeFi lending markets, bridge contracts, solver incentive programs, and Circles liquidity infrastructure is treated as operational infrastructure rather than return-seeking activity.

All GIP-approved payments and disbursements will be executed accurately, on time, and with full documentation and audit trails. Counterparty relationships—whether with service providers, OTC desks, exchanges, or custodians—will be subject to documented due diligence, ongoing monitoring, and periodic review.

Operational capital is not deployed with return generation as a primary objective. Liquidity, availability, and risk control take precedence.

Endowment Capital Management

Endowment capital represents the long-term financial foundation of the DAO and is managed with an explicit expectation of risk-adjusted outperformance relative to passive benchmarks.

Benchmarks will be defined in coordination with the DAO following selection and will reflect the actual composition of endowment assets. A reasonable starting reference point would be a blended benchmark incorporating ETH staking returns and short-duration U.S. Treasury yields, weighted to the portfolio’s exposure profile. Performance will be measured net of all fees and reported monthly with clear attribution to strategy, counterparty selection, and market conditions.

Active management focuses on durable, repeatable sources of return rather than directional speculation or outsized risk-taking. ETH and stablecoin holdings are managed through optimized staking arrangements, strategic positioning in high-quality lending markets, and selective liquidity provision where risk-adjusted returns justify the exposure and associated smart contract risk.

All endowment strategies operate within a defined risk management framework including:

• Asset-level risk classification by liquidity and counterparty exposure
• Protocol and counterparty concentration limits
• Continuous monitoring with automated alert thresholds
• Formal escalation procedures for material risk events

Risk management is embedded in daily operations and treated as a core competency, not a compliance afterthought.

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Mandate Structure and Roles

FIL Strategies LLC would serve as treasury manager under a term-limited mandate covering operational treasury management, endowment capital management, and governance-related activities.

Treasury Lead: Phil Meng, CFA

Phil would be responsible for day-to-day treasury execution, investment implementation, risk management, and reporting to the DAO.

Phil has spent over two decades managing risk, liquidity, and investment portfolios under institutional constraints, including building treasury and endowment-style portfolios from first principles. Having started at Susquehanna (SIG) and been portfolio manager at other volatility trading firms, he has deep experience in options trading and managing large option portfolios.

Most relevantly for Gnosis DAO:

Phil built and led the Treasury & Markets function at the Stellar Development Foundation, a multi-billion-dollar crypto foundation, designing asset allocation, investment policy, risk limits, governance controls, and reporting infrastructure from scratch.

That treasury transitioned from a short-term operating balance into an endowment-style portfolio, where:

• Treasury cash grew from sub-$30M to over $700M in liquid reserves, while supporting global operations and ecosystem commitments
• Core assets were preserved
• Dollar-denominated income funded ongoing operations
• Portfolio risk was managed at the total balance-sheet level, not position by position

The portfolio was actively managed across:

• Crypto-native assets
• Derivatives and structured products used for hedging and yield, not speculation
• Stablecoin and fixed-income strategies

Governance: Lund Ventures

Lund Ventures would provide governance advisory support focused on proposal analysis, voting alignment with DAO interests, and strategic input on governance participation across protocols.

Lund Ventures pioneered the Optimism Grants Council, which has become a framework for other major ecosystem grants programs, and currently leads the Optimism Budget Board.

Lund Ventures was founded by Dane Lund, a legal and financial innovator focused on building and advising frontier businesses. Dane began his crypto career as a core contributor to Alliance, the premier web3 accelerator, and went on to build the Optimism Grants Council—now a model for other decentralized grants programs.

Dane started his career in 2012 as a corporate governance litigator at Willkie Farr & Gallagher after earning his J.D. from Harvard Law School. He later transitioned into finance, first as a financial sponsors banker at Barclays and then as an investor in public and private equity, private debt, and litigation finance.

Legal: 1121 Law

1121 Law would support legal structuring and serve as general counsel for the delegated council. Their experience advising DAOs and protocol-adjacent entities on governance design and off-chain framework implementation ensures that delegation is properly structured and accountability mechanisms function as intended.

1121 Law is founded by Mark Roszak, a U.S.-based attorney focused on the legal and regulatory issues regarding digital assets and blockchain projects. His practice supports founders, protocols, funds, DAOs, and infrastructure providers across the lifecycle of crypto-native businesses—from entity formation and product structuring through governance implementation, commercial contracting, and regulatory risk management.

In addition, Mark previously advised teams at Syndicate and Goldfinch, supporting their efforts on web3-native legal and regulatory considerations as those platforms scaled. Dane Lund is also a partner of 1121 Law.

Financial Reporting: Third Party Reporting

Independent financial reporting is a structural requirement of this mandate. A qualified third-party provider will be engaged within 30 days of mandate approval, with provider selection subject to DAO confirmation. We have existing relationships with qualified providers. The provider will make reports directly to the DAO—delivering monthly asset composition including on-chain and off-chain positions, and an annual audited balance sheet. This creates structural separation between operational reporting (provided by the treasury manager) and independent financial verification. The treasury manager does not validate its own performance.

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Governance and Delegated Authority

FIL Strategies would act as the delegated treasury committee for DAO-controlled, Cayman-incorporated entities as specified in the RFP, with authority to execute treasury operations in line with DAO-approved mandates.

Treasury-related governance participation includes:

• Voting treasury-related tokens in alignment with Gnosis DAO interests and long-term GNO holder value
• Participating in veBAL and Aura voting related to Gnosis Chain emissions and liquidity incentives
• Monitoring relevant DAO proposals across the ecosystem
• Participating in Kleros voting where applicable

All voting decisions will be documented with supporting rationale and reported monthly to the DAO. Lund Ventures will advise on governance positions and assist FIL Strategies in seeking community input where appropriate.

The governance relationship is deliberately structured to preserve DAO control while enabling operational efficiency. Material changes to mandate scope, strategic frameworks, or compensation arrangements require DAO approval through standard governance processes. The treasury manager operates under explicit delegation, not independent discretion.

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Reporting and Transparency

The DAO will have access to a treasury dashboard covering all on-chain positions and material off-chain holdings. FIL Strategies will work with a third-party provider to include:

• Full balance sheet views categorized by liquidity profile and risk classification
• NAV per GNO with disclosed methodology and supporting calculations updated in real time
• Circulating GNO supply tracking with stated assumptions and periodic validation
• Open options positions with strike levels, expiration timelines, and notional exposure

The external finance provider will provide independent monthly financial reporting for all DAO-controlled entities, ensuring external validation.

The DAO will have visibility into GNO’s net asset value, the components driving that calculation, any adjustments or assumptions applied, and how NAV evolves relative to market price over time.

Incident Disclosure

Material incidents—including unauthorized access attempts, loss of funds exceeding defined thresholds, execution or custody system failures, or significant deviations from approved mandates or risk limits—will be:

• Disclosed to the DAO promptly after identification
• Followed by a post-mortem within one week, including timeline, root cause, impact assessment, and remediation plan

Reporting is treated as a core operational obligation and a fundamental accountability mechanism, not an administrative burden.

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Compensation Structure

Annual Cash Compensation: $1.2 Million

GNO Token Compensation: $300k GNO (priced upon project approval)

This covers:

• Comprehensive treasury operations across operational and endowment mandates
• Continuous monitoring and risk management infrastructure
• Governance participation across multiple protocols
• Legal coordination through 1121 Law
• Independent financial reporting

This structure is deliberately simple. There are no complex performance fee calculations, no monthly benchmark reconciliations, no disputes over attribution or fee accruals. The DAO knows with certainty what the annual cash cost will be, and budget planning is straightforward.

Performance Recognition

At each annual renewal decision, the DAO may award a discretionary performance bonus based on demonstrated outcomes against the two primary objectives. This approach offers several advantages over formula-driven performance fees:

• It eliminates disputes over benchmark definitions, attribution calculations, and fee accruals
• It gives the DAO complete flexibility to weight outcomes based on what actually mattered

If outcomes fall short of expectations or if execution quality does not meet standards, no bonus need be awarded.

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Term, Review, and Accountability

Element	Terms
Initial Term	12 months
Formal Review	6 months
Renewal	Subject to DAO approval through standard governance processes
Non-renewal	Does not require demonstration of cause

At each review point, the DAO will evaluate:

• Progress against the two primary objectives
• Execution quality
• Reporting timeliness and transparency
• Governance participation
• Overall value delivered relative to compensation
• Any material incidents or operational issues

Material changes to mandate scope, strategic frameworks, risk parameters, or compensation arrangements require DAO approval. The treasury manager operates under DAO control, not independent discretion.

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Implementation Timeline

Phase	Activities
Days 1-30	Complete asset inventory and risk classification; deploy monitoring and alerting systems; coordinate with external finance provider; deliver baseline treasury report; initiate counterparty onboarding
Days 30-60	Conduct liquidity analysis; establish options execution frameworks; deliver first monthly performance and risk report
Days 60-90	Finalize Investment Policy Statement for DAO approval; complete stress testing; establish ongoing governance and reporting cadence

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Closing

Gnosis DAO has the scale, assets, and strategic positioning to operate its treasury as a durable financial institution capable of funding operations indefinitely while supporting the long-term value of GNO.

This proposal provides a systematic framework for execution combined with clear accountability to DAO governance. The objectives—improving GNO price alignment with NAV and establishing sustainable endowment funding—are observable, measurable, and directly relevant to long-term DAO success.

FIL Strategies, supported by Lund Ventures and 1121 Law, is prepared to assume this responsibility under DAO oversight, with continuation determined entirely by governance based on demonstrated results.

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FIL Strategies LLC
Phil Meng, Treasury Lead
January 2026

[filstrats]

For those who would like a condensed version, here is a one-page summary of the proposal:

[ScottishChris]

Institutional-Grade Risk Optimizations & Reporting - Protect DAO Assets First

Strategy Proposal
Treasury Management aligned with Gnosis DAO values
Submitted by: yields.digital (along with a trusted execution partner)

1. Executive Summary - Why Our Proposal Wins
Gnosis DAO requires treasury management that prioritises capital preservation, operational reliability, and transparent governance, over speculative yield.
We are not here to take risk with DAO assets; we are here to manage risk correctly - protecting your assets under all market conditions.

The yields.digital proposal provides an institutional-grade treasury operating model, built specifically for crypto-native treasuries, and designed with a clear separation of risk intelligence & reporting (yields.digital) from execution (a mutually trusted and regulated execution partner).

2. The Overarching “Why” - Protection First, Optimization Second
Gnosis DAO’s treasury mandate is fundamentally about protecting assets and ensuring operational resilience through market cycles, and for the very long term.

Yield is treated as a controlled optimisation to be managed within pre-agreed risk limits and with full transparency and liquidity considerations.

The most common causes of treasury underperformance in crypto are not a lack of yield opportunities - they are hidden tail risks, insufficient oversight, execution leakage, misaligned incentives, and weak reporting.

The yields.digital operating model is designed to eliminate these failure modes through:

• independent risk intelligence/ analysis,
• disciplined execution, and
• institutional - grade accountability.

3. Why yields.digital becomes Gnosis DAO’s best partner?

With yields.digital, Gnosis DAO members have full transparency & oversight of assets at all times.

yields.digital applies proprietary quantitative modelling onto on-chain data (collected directly and via third-parties) to assess and categorise risks and yields, thus allowing risk-adjusted portfolio optimizations. We are also building predictive models that anticipate problems ahead by assessing onchain behaviours. All metrics can be currently viewed as html or pdf reports via our dashboard or API.

This robust and innovative foundation layer will give DAO members full transparency and oversight and also provide vital new information to the execution team.

Despite being in crypto & DeFi for many years, our ex-TradFi backgrounds means we’re very well-connected with many regulated trading and execution firms. We’re close to a few who have experience with DeFi and propose partnering with them for the Gnosis DAO Treasury Management. Reality is that we could execute ourselves, however, we prefer the separation and oversight to ensure that Gnosis gets better outcomes.

What makes our team suitable?

• Institutional portfolio construction, management and execution.
• On-chain risk management and transparent wallet reporting (Risk Metrics video)
• Implementing robust infrastructure and operational resilience (Github video).
• Strong controls and management between chains

And well-earned reputations, built over many years, that none of us are prepared to tarnish.

The combination of senior TradFi governance and DeFi-native execution is rare. Most treasury failures in crypto stem from either weak risk controls or weak execution. This partnership addresses both through clear separation of responsibilities.

4. Operating Model – Separation of Powers by Design

We propose a dual - layer operating model:

This structure mirrors institutional treasury best practices, where independent risk oversight reduces incentive conflicts and increases accountability/ transparency.

5. Strategic Approach – Capital Protection Framework

Our treasury management framework is built around three pillars:

This is consistent with how endowments and corporate treasuries are managed—protecting principal first, then optimising return within strict constraints.

6. Scope of Services (Aligned to Gnosis DAO RFP)

• Gnosis Chain liquidity management
• Multi-currency stablecoin liquidity (EURe, GBPe, BRLA, BRZ, ZCHF, etc.)
• DeFi lending, liquidity, bridges, solver incentives
• Circles liquidity
• GIP disbursements, payments, counterparty due diligence
• Endowment management (ETH + stablecoin strategies)
• Monitoring, alerts, emergency procedures
• Risk-adjusted research (ETH yield, stables, RWAs)
• GNO buybacks, OTC/CEX execution, investment tracking
• Delegated committee role for DAO-controlled entities
• Governance participation and voting
• Live dashboard, NAV reporting, and monthly cadence

Our scope is structured towards a long-term partnership with our aims of exceeding the DAO’s requirement for reliability, transparency, and continuous risk-adjusted execution.

It’s essential we are all transparent and agree priorities from day 1, and must-have controls ensuring that we suitably protect the treasury in the short term, whilst expanding towards the ‘perfect’ solution longer-term. Reality is that we can provide some of the above services ‘today’ but also will need a ramp up period to ensure maximum coverage of the above requirements.

Available today: 36 assets, 6 protocols, 5 chains, 158 pools, all EVM.

7. Reporting & Transparency – (including GIP-143)

We will deliver: (see Appendix for current screenshots)
• Live treasury dashboard (on-chain + off-chain)
• NAV tracking and exposure reporting
• Monthly portfolio reporting outlining performance, risk changes and governance actions. (We can also provide these on a weekly basis).

• Predictive risks / yields are currently being designed by our m/l specialists.

Transparency is a core risk control. The most resilient treasuries are those that remain auditable, explainable, and verifiable to stakeholders, at all times.

8. Fee Structure & Long-term Alignment

Our commercial structure will be designed to fit within the $1.5m annual budget, with incentives absolutely aligned to positive long-term outcomes for the DAO and its members.

The yields.digital commercial proposal that include risks management, yields optimization, comprehensive weekly/ monthly reporting, alerting, dashboards, etc will be 45k euros per month plus 3% of yield from AUM (ie, if APY is 5%, then 3% of 5%).

This proposal is aggressively designed to ensure we win the Gnosis DAO contract, and currently does not include “execution” components of the Treasury Management.

9. Conclusion – A Professional Treasury Operating System

The yields.digital (with an execution partner) proposal delivers a professional treasury operating system:

• institutional discipline,
• crypto-native execution,
• continuous monitoring, and
• transparent reporting.

We are confident this will give the strongest structure to protect and manage the Gnosis DAO treasury over the long term.

yields.digital risks (short video demo)

Current Portfolio Reporting tool