Simple Summary

This publication presents the November Funding Update, consisting of the following key activities:

• Bridge funds to Ethereum;
• Acquire GHO to support runway;
• Consolidate asset holdings; and,
• Create Allowances to support Operations.

Motivation

This publication balances near-term operational needs, consolidates asset holdings and extends some Allowances to the MainnetSwapSteward to support optimising the DAO's stablecoin holdings.

Fund Ongoing Initiatives As with every funding update, our goal is to ensure that all ongoing initiatives and service provider streams remain adequately funded. Since most activities have now transitioned to GHO, specifically aEthLidoGHO, this update focuses on maintaining sufficient liquidity within the Prime instance.

To meet upcoming funding requirements, we plan to repurchase 8 million GHO from the market over the next month and deposit it into the Prime instance. This allocation will support existing streams, including ACI, TokenLogic, ALC, Chaos Labs, and LlamaRisk, as well as the upcoming renewal of Certora and BGD contracts, the continuation of the Merit initiative, and the payment for Aave v4 audits.

Bridge Assets to Ethereum For this cycle, funds held across several networks will be bridged back to Ethereum to continue supporting the DAO’s operational needs. Some assets will be swapped on the respective network prior to being bridged by the AFC, such as sUSD on Optimism. Once received on Ethereum, all assets will be deposited into the Aave Protocol to generate yield and ensure efficient treasury management.

Specification

Bridge Assets to Ethereum

Transfer the following assets to Ethereum via AIP using the bridge adapter contracts.

Approvals

Polygon

Amount: 130,000 USDCn Amount: 230,000 USDT Amount: 135,000 wPOL Spender: AFC 0x22740deBa78d5a0c24C58C740e3715ec29de1bFa Method: approve() above assets on the Aave Collector contract to the AFC address

Binance

Amount: 123,000 USDC Amount: 323,000 USDT Amount: 27 ETH Spender: AFC 0x22740deBa78d5a0c24C58C740e3715ec29de1bFa Method: approve() above assets on the Aave Collector contract to the AFC address

Sonic

Amount: 12 WETH Spender: AFC 0x22740deBa78d5a0c24C58C740e3715ec29de1bFa Method: approve() above assets on the Aave Collector contract to the AFC address

Optimism sUSD to be swapped to USDC, and USDC to be bridged from Optimism to Ethereum and sent to the treasury manually.

Amount: 55,000 sUSD Spender: AFC 0x22740deBa78d5a0c24C58C740e3715ec29de1bFa Method: approve() above assets on the Aave Collector contract to the AFC address)

Withdraw wETH to ETH, then ETH to be bridged manually as it cannot be bridged programmatically.

Amount: 195 wETH Spender: AFC 0x22740deBa78d5a0c24C58C740e3715ec29de1bFa Method: approve() above assets on the Aave Collector contract to the AFC address)

Fund Ongoing Initiatives

Runway

Amount: 200k SYND Amount: All SPK Amount: All SAFE Amount: All POL Spender: AFC SAFE 0x22740deBa78d5a0c24C58C740e3715ec29de1bFa

Aave v4 Security Audits

Asset: aEthLidoGHO Amount: 1.5M Spender: v4 Audits 0xAAf400e4Bbc38B5E2136C1a36946Bf841A357307 Method: approve() aEthLidoGHO on the Aave Collector contract to the Aave v4 Audits address

Merit Program Create allowance for Merit, 3M aEthLidoGHO from Aave v3 Prime on Ethereum:

Asset: aEthLidoGHO Amount: 3M Spender: 0xdeadD8aB03075b7FBA81864202a2f59EE25B312b Method: approve() aEthLidoGHO on the Aave Collector contract to the Merit address

Reimbursements

Asset: aEthLidoGHO Amount: 71,698 Spender: TokenLogic 0xAA088dfF3dcF619664094945028d44E779F19894 Method: approve() aEthLidoGHO on the Aave Collector contract to the TokenLogic address.

Ecosystem Reserve

Send all AAVE on the collector to the Ecosystem Reserve.

Swaps

Approve stablecoins to be swapped to pyUSD and rlUSD.

Increase token budgets as they have been used in the swaps performed here:

USDC->GHO DAI->GHO

Increase USDC token budget by 2.0M. Increase DAI token budget by 1.0M.

Emissions

Increase allowance of stkAAVE and stkBPT for 14 days of emissions between end and restart as per mentioned here

References

• Implementation: AaveV3Ethereum, AaveV3Polygon, AaveV3Optimism, AaveV3BNB, AaveV3Sonic
• Tests: AaveV3Ethereum, AaveV3Polygon, AaveV3Optimism, AaveV3BNB, AaveV3Sonic
• Snapshot: Direct-to-AIP
• Discussion

Copyright

Copyright and related rights waived via CC0.