(RFC) OIP 113: EconohmicLabs
- reserve bond below backing makes little sense for either parties, but I see you mention this was written when we were above backing
- this is too ambiguous to be an ask
This proposal was never a request for comment (RFC) and because of that I moved it to the general section. You can't proceed to Snapshot vote before first being in the RFC section to gather feedback, OIP and then Snapshot.
This statement is also confusing me:
By focusing solely on the Olympus Econohmy, Econohmic Labs is asking the community for matching funds dollar for dollar based on our outside capital raised. By the Olympus community betting on Econohmic Labs, outside capital will be more comfortable making the bet themselves.
Can you clarify this request? It sounds like you're asking for Olympus to match the funding you raised, but it is not mentioned under the "Asks."
EconohmicLabs can you elaborate on applications and utilities and/or the business plan here? All of this sounds like a great idea but I'd also like to see the numbers behind it, what happens if things don't go according to plan, if Olympus will ever hold a %share or guaranteed return type of a thing. Right now since there could be a market buy of the OHM are the asks essentially for first look/named partnership?
hOHMwardbound There is no formal financial relationship here other than Econohmic Labs being a holder. We want to build applications, services, and utilities that enable OHM to get to it's end goal. Our goal, is to acquire more OHM through operations. An example offering Econohmic labs is working on is econohmic on-boarding a fiat on-ramp enabling easy DCA of OHM to simplify on-boarding new ohmies. We think this a critical gap we can fill while the DAO focuses on core objectives and roadmap. If things do not go to plan we will be a large holder of OHM which we intend to find other use-cases for. In addition, an open dialog with the dao and council will aid us in growing our vision: applying utility to ohm. The conversation will be what does OHM need that it doesn't have the bandwidth for now and maybe we can fill those gaps. If you believe in OHM, the possibilities of what we may build on top of it are endless. We are focusing on the things we think will work best out of the gate before getting broader in experimentation.
just plain no, it "sounds good" but we've heard good sounding proposals before(lobis), still have a bad taste from that… not now and definitely no "matching" funds from OHM… either buy OHM outright and proceed or forgetaboutit
spoys_P Hello, this is from an earlier version. We will not be asking for a match!!
111-altrektcrew This is from a prior version after discussion with the DAO it was removed as it wasn't the right approach for what we are going for. Well remove before OIP
spoys_P This is from a prior version after discussion with the DAO it was removed as it wasn't the right approach for what we are going for. We'll remove before OIP
111-altrektcrew as mentioned we aren't asking for a grant or matching funds (we worked through this with DAO members and realized this wasn't the right approach) and we plan to buy 1m in OHM with net new money. We are also planning on raising 2.5m to invest in building utility for ohm. We aren't launching a token. We aren't forking ohm. I'm unsure what is turning you off so much? We are ohmies looking to help the protocol succeed. Having the communities support is critical in doing that.
If I understand correctly the aim here is to get a vote of confidence from the Olympus community and DAO as this will help econohmic labs raise its seed round. If that's correct it might be good to treat this introduction to the community like you would treat your first reach out to an investor:
- Show us a pitch deck detailing traction, problem/solution, roadmap etc
- Tell us who you are (just discord username would suffice)
- Tell us why you are the team for doing this
I understand you arnt asking for an investment of money but you are asking for public alignment so I personally think you need to show a bit more to get folks excited and backing your vision.
Folks.
They are not asking any funding from OlympusDAO.
As Ohm is trading below backing, issue of Reserve bonds does not make any sense. And they understand it. They will have to buy ohm in market(ohm is trading at a discount anyways on market).
Fear of them controlling the ohm governance, that is unwarranted. Anyone can buy in open market and get governance power, we cant stop anyone.
So lets give it a yes.
Sounds great that OHM is about to get a new holder and active ecosystem participant. However, I don't see the need for an OIP. The DAO should not hand out official endorsements, especially not in the form of OIPs (Olympus Improvement Proposals) either to formed or unformed companies or projects.
To get first looks at new products and features, the best way is to participate in the discord, forum and community calls. This is where initiatives are shared and discussed. It will be impossible to have a list of OIPd first access partners that the dev teams have to run new features by - it would slow down development of the protocol which is bad for everyone. There is already an established way for organisations building on or around OHM to get extra benefits - Olympus Grants.
Olympus should not set precedent by issuing reserve bonds via OIPs to unknown parties. The goal of Olympus is to create a decentralized reserve currency and monetary policy. That implies it's programmatic and smart contract based. The OIP tool should not be used arbitrarily.
Finally, it's great to have enthusiastic builders thinking about how to build on OHM. But as for all new ideas, the challenge is not coming up with a vision. It's delivering results. I think you will have better success if you focus on presenting what you have done, build relationships in the OHM community by focusing on the problems you are solving, pay attention to formalia (it would help if you had read the guidelines before posting an OIP, e.g. always post RFC first), don't publish "an old version" of the post (looks very sloppy).
Best of luck
Why are my comments are awaiting for approval for ever. ??
smartboy21 Would help if you didn't spam them, but I think I approved the most detailed one. The forum auto-moderator is weird, we need it to fight off all the spam, but it sometimes censors for no reason so we have to manually approve.
cpt_zeke +1 to this.* This comment sums up some of the nuance behind this proposal (which seems well intended) but in its current form does not appear to be appropriately directed for success within the existing ecosystem Olympus has built. In its proposed state, just because we can enshrine this in an OIP, doesn't mean we must do it.
Below is an updated draft OIP. We've taken into consideration the community's feedback, fixed initial errors, and added some additional context. Fwiw we spent over 90 days discussing this with senior DAO members and none of us caught a few errors in the initial draft. A lot has also happened over that 90 day period. It was not our intention to bypass process, we had thought enough comment had occurred before we posted.
At Econohmic Labs we believe OHM is the future of decentralized finance and we want to pave the way to this future.
Our plan is to build applications and services that support the growth of the Econohmy.
Our seed round goal is $3.5m. The use of proceeds will be as follows:
1.75m engineering/infra
.5m corporate compliance/legal
.25m marketing/pr
Up to 1m gOHM (Our goal is to consistently be in the top 3 entities of gOHM ownership)
Seed funding will be provided by outside investors currently uninvested in OHM.
The Olympus community basically gets 3 things:
A new active OHM holder
Utilization of OHM and partner protocols
A 2.5m investment in operations and engineering developing tools focused on the utilization of OHM
Let OlympusDAO focus on OHM. Econohmic Labs will bring it active utilization.
Our team of founders and advisors are seasoned with over 1B in exits in Web2 and significant experience building regulated businesses. We believe this experience will enable us to build a company off-chain to empower the on-chain economy. Our team consists of 50% engineering / quants and 50% business development/marketing/regulatory/operations professionals. Our founding team and advisors are long time Ohmies with long term conviction in what the project is building. This is not a short term bet for us, but a bet the farm bet over the course of a decade. We plan on doxxing post funding, before we leverage the reserve bond that is a part of this proposal.
An on-chain currency that is a stable, downside-protected asset with inflation protection, that can be used as a unit of account and is backed by a treasury has incredible implications for DeFi and, ultimately, the world at large. We are believers that the story of Olympus has not even begun yet, but as Zeus has said, the game is already won.
The idea of Econohmic Labs is to incubate a variety of business lines that use OHM as its core monetary energy. The first business line will be Econohmic Loans.
A traditional c corp business focused on ensuring regulatory compliance with OHM as it’s base collateral leveraging other Olympus partners like Vesta to bring the power of Defi to the real physical world. The goal of this project would be to leverage OHM as a collateral asset and create a cheaper cost of capital in the real world than LIBOR rate capital. We would draw upon a variety of web3 lending protocols to borrow at rates significantly cheaper than the current LIBOR rate. We would then loan this out to institutions (in exchange for collateral) who want a cheaper cost of capital in the real world to generate yield (factoring, community banks, lending platforms). As a matter of practice Econohmic Labs will NOT lend to crypto companies but will only lend to companies focused on other verticals (Retail, Advertising, Medical). The unlock here is bridging defi to the real world which will unlock scale for defi and bring in new capital to the Econohmy. OHM is the real unlock as it enables a native on-chain asset that will grow purchasing power over time, thus enabling significant capital efficiency. We have a number of partners lined up for this initiative already.
Another business line we are actively working on is Econohmic Onboarding. We have been whitelisted as an early pilot partner for a new Fiat onboarding capability which will allow (initially for US consumers) the ability to instantly buy gOHM on a credit card and eventually automatic DCA. We believe this can bring a whole new group of retail buyers into the Olympus ecosystem.
By focusing solely on the Olympus Econohmy, Econohmic Labs is asking the community for to support us with the following:
- For Econohmic Loans, Econohmic Labs is asking for a reserve bond so that we may acquire the initial 1M in OHM without major slippage or price impact. This will also ensure that the 1M goes directly into the Olympus treasury. As we will not be selling this OHM, these reserve bonds will not create sell pressure. We are also comfortable with the bond being issued at backing if we are under backing at the time of purchase and at market price if we are above backing at time of purchase. We do not want any free ride from the DAO but given the scale of purchase we would like to minimize slippage/fees. You could think of this as more of an OTC buy.
Asks
Designate Econohmic Labs as a partner of OlympusDAO who can get first looks at new products and features launched by OlympusDAO. This does not mean Econohmic Labs will get immediate access but will work collaboratively with the DAO to get access to products where it makes sense in order to create value for all stakeholders (Protocol, Holders, Econohmic Labs, Partner Protocols)
Whitelist Econohmic Labs for a 1M capacity reserve bond for our initial OHM purchase, subsequent purchases will be conducted as market buys from Econohmic Labs revenues.
How to designate as partner without knowing who this is? This makes no sense, good intentions and all.
I am generally in favor of teams building and the whole premise looks good to me, but how exactly do we know this is not just some random person?
Maybe ..
1. Buy the 1m OHM at market then reach out? Its literally trading below backing. This is the simplest way to get wide ranging community backing.
2. Doxx and provide credentials and what you hope to achieve?
Opening up a 1 off bond to acquire OHM does not help ohm and is against the ethos of the project itself. This would make sense if we were above and this was a request to increase bond capacity to buy. However inverse bonds are invoked and you can execute a 1m buy between different pools. More than enough liquidity out there.
Completely agree with buildings tools and utilization, and bringing in outside money. Will vote yes to cement this into a partnership, but we need more information on who this is, how you plan to do it. This would be the same material you will be sending to outside folks to raise.