Business Development Service Provider Funding Proposal for Q3 2024

Background

The establishment of the Business Development Service Provider (BDSP) took place in Q1 2024 under BIP-525 with the intent of forming a dedicated working group focused on business development and growth-oriented activities.

During Q2, the primary goals for the BDSP focused on growing the Balancer ecosystem and creating new partnerships. Please find updates from April and May in the links attached.

Key Objectives for Q3-2024

Lead Contributor: lipman

  • Execute the launch of Mode and Fraxtal
    • Build liquidity on new chains
    • Implement, monitor, and adjust incentive strategies on new chains
    • Establish a comprehensive partnership network and ecosystem on the new chains, encompassing liquidity providers and networks, yield-bearing assets, lending protocols, etc.
    • Complete governance requirements for various activities (e.g Frax for PoL deploying on Balancer)
  • Enhance presence on existing chains
    • Develop, coordinate, and execute growth initiatives on Layer 2 solutions for existing chains, focusing on Arbitrum, Optimism, and Base networks.
  • Expand the yield-bearing thesis initiative.
    • Continue developing liquidity for Eigenlayer LSTs and LRTs
    • Develop liquidity for yield bearing assets within the Karak and Symbiotic ecosystems
    • Introduce new pools for yield-bearing stablecoins.
    • Bring LST/LRT partners to new chains where Balancer is deployed
  • Execute and explore grant programs
    • Execute the STIP Bridge program on Arbitrum (e.g. finding partners, managing incentives, seeking co-incentives, etc.)
    • Support existing grant programs (e.g. Balancer’s OP LST/LRT incentive program being managed by Beets, etc.)
    • Apply for new grant programs
  • Prepare for v3 launch:
    • Seek integrations and partnerships in anticipation of the v3 launch.
    • Continue supporting engineering to onboard aggregators
    • Collaborate on GTM and BD-related materials (e.g. pitch deck, website, docs, etc.)
  • Extend the ve8020 governance initiative.
    • Explore ve8020 collaborations with pre-token projects or tokens with recent TGEs, such as LRT projects.
    • Promote ve8020 to projects with existing tokens.
  • Develop leads and opportunities for Balancer ecosystem projects (e.g. Gyroscope, CowAMM, Xave, QuantAMM, etc.)
  • Continue ad hoc outreach to projects exploring new partnerships and opportunities.

Pledge to abide by the DAO’s Code of Conduct: YES

Pledge to abide by the Accountability Guidelines: YES

Adhere to [BIP-372] and the SP standards: YES

Length of Engagement & Budget: 3 months (July 2024 - September 2024)

  • Lipman
    • $12,500 USDC per month ($37,500 total for the quarter)
    • 2,923 locked BAL per month
      • ~$10,000 in USD value as of the $BAL price of $3.42 as of Jun 11, 2024
      • 8,769 BAL for the quarter
  • Discretionary budget
    • $6,000 USDC for the quarter

Of note, Json will no longer be contributing to the BDSP in Q3. However, the BDSP would like to retain the $6k USDC used for Json’s Q2 comp as a flexible discretionary budget, which would be distributed in agreement with the Maxis. Potential examples for uses of this discretionary fund could include compensating a part-time replacement for json, expenses for events not covered by BIP-612, or other BD related activities.

Overall, the budget in USD terms for Q3 is unchanged compared to Q2.

Impact on the Treasury

The Treasury wallets currently hold ~3.95M BAL. Funding the BDSP for Q3 2024 would cost around 0.22% of the treasury’s BAL holdings, which annualizes to ~0.88% of the treasury’s BAL. The Treasury wallets currently hold ~$5.34M in stables. Funding the USDC portion would cost around 0.81% of the treasury’s USDC, which annualizes to ~3.26%.

The Balancer DAO multisig 0x10A19e7eE7d7F8a52822f6817de8ea18204F2e4f will interact with USDC 0xA0b86991c6218b36c1d19D4a2e9Eb0cE3606eB48 by writing transfer passing the BDSP Safe 0xC7E84373FC63A17B5B22EBaF86219141B630cD7a as recipient and amount 43500 USDC as 43500000000.

The Balancer DAO multisig 0x10A19e7eE7d7F8a52822f6817de8ea18204F2e4f will interact with BAL 0xba100000625a3754423978a60c9317c58a424e3D by writing transfer passing the BDSP Safe 0xC7E84373FC63A17B5B22EBaF86219141B630cD7a as recipient and amount 8769 as 8769000000000000000000.

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