Karpatkey: GnosisDAO Update / July-October 2024

Treasury
1

Karpatkey: GnosisDAO Update / July-October 2024

Introduction

This report will summarise karpatkey’s activities and achievements in the past 4 months (July - October 2024). With a continuous focus on strengthening the Gnosis Chain DeFi ecosystem and assisting with Gnosis-related products, karpatkey has provided support across multiple areas.

Summary

  • Financial Results: The treasury has declined from $838 million at the end of June to $628 million as of the end of October.
  • Breakdown of the past 4 months:
    • DeFi Results: $2.5m
    • Operations Results: -$10m
    • Change in Market Value: -$203m
  • As of the end of October, the Total Value Locked (TVL) stands at $289 million, with monthly volumes reaching $189 million.
  • Monthly reports here.
(m) Initial Balance Change in Market Value Operations Results Defi Results Final Balance
July 838 -160 -4.43 0.780 674
August 674 -150 -1.24 0.531 524
September 524 42.9 -3.69 0.574 564
October 564 63.8 -0.539 0.608 628

Treasury Operations

Important treasury actions in the last 4 months:

  • Deployed 15k ETH in Aave v3 Lido Markets.
  • Deployed $2m in Arrakis.
  • Increased liquidity in Uniswap v3.
  • In the process of establishing a GHO credit line, marking the first DAO-to-DAO lending agreement.
  • Engaged in market making stkGHO with the advantage of purchasing stkGHO at a discounted rate while earning an average annual yield of 15-20%.
  • Sold $6.7m worth of ETH at an average price of $2527 ready to be deposited in Gnosis VC.
  • Distributed funds across protocols to enhance and optimise liquidity on the Gnosis Chain.
  • Ensured sufficient liquidity for GBPe through rebalancing.

Further actions which have been taken:

  • Conducted constant liquidity reviews and reviewed the state of Gnosis Chain.
  • Built and expanded relationships by connecting with various protocols.
  • Engaged with existing partners to maintain and strengthen partnerships.
  • Secured assets by implementing effective risk management practices and leveraging cybersecurity technology like Hypernative.

Ecosystem Development

One of the main goals has been to make the Gnosis Chain a viable blockchain. Therefore, we have led initiatives and managed further deployments and integrations on Gnosis Chain.

In addition to the above, we have also:

  • Lead the GnosisPay Cashback rewards programme. See the dashboard created by our community member Dune.
  • Worked continuously on the reward programme to incentivise CoWSwap solvers since April. The incentives have been running using treasury funds and we have currently disbursed over 130k xDAI.
  • Deployed CoW AMM pools such as wETH/GNO, wstETH/sDAI, and GNO/COW.
  • Completed integrations on Uniswap v3 to facilitate deposits and support ecosystem growth.
  • Actively worked with our partners, provided liquidity and reduced friction.

GNO

Key events currently occurring for the GNO are:

  • Market making commenced in September for GNO in centralised exchanges in order to increase liquidity and facilitate larger trades.
  • GIP 100: Buybacks (see here)
    • $15m Karpatkey Discretion: $7m out of $15m executed.
    • $15m TWAP: $10m out of $15m executed.
  • We are in negotiations of an OTC deal to purchase GNO from one of our largest sellers.

Tech Overview

Having a trustless system with extensive automation is crucial for treasury and risk management, therefore the following is currently being worked on:

  • In the process of switching to roles v2 which has been developed with the Zodiac team. This will ensure a more trustless system and less reliance on the old setup where only select transactions will occur.
  • Making use of Zodiac Roles to safeguard the treasury safe. Currently, for GnosisDAO it has been integrated with mainnet and in progress for Gnosis Chain.
  • The testing of implementing automations is underway. If successful, we will move onto the next step of incentives.

Governance

GIPs we assisted with which recently passed during this period:

  • GIP 112: Should the Gnosis Infrastructure team make changes to the GnosisDAO’s Snapshot configurations?

    • Worked alongside the development team to implement these changes.

  • GIP-110: Should the Gnosis DAO create and fund a Gnosis Pay rewards program with 10k GNO?

    • Leading the rewards programme by providing the infrastructure and support with Gnosis Pay.
4 Likes