Proposal “DCG-SUPPLEMENTAL-JULY-23“ (Completed)Back

Title:Dash Core Group July Supplemental Funding Proposal
Owner:quantumexplorer
One-time payment: 652 DASH (16804 USD)
Completed payments: 1 totaling in 652 DASH (0 month remaining)
Payment start/end: 2023-07-12 / 2023-08-11 (added on 2023-07-18)
Votes: 438 Yes / 34 No / 33 Abstain

Proposal description

Dash Core Group July 26th Supplemental Funding Proposal

DCG already submitted 1 funding proposals for the budget cycle that pays out July 26th. This is a supplemental proposal that will fund Dash Core Group with an additional 652 Dash:
1) DCG Compensation: 2,558 Dash per month (currently in month 2/3)
2) DCG Compensation Supplemental: 652 Dash (currently in month 1/1)

What is going on between the incubator proposals, the lysergic proposal, and this supplemental?


 Initially Incubator strategists made 3 proposals for a total of 1150 Dash, representing a 15% increase month to month, soon thereafter a community member called lysergic made a proposal aimed to distribute those funds instead to DCG. This in turn caused Rion to look more greatly at DCGs public information on our finances and burn rate. Rion later met with me and we discussed our respective finances. He proposed that incubator would reduce their ask to 800 Dash, which would allow both DFOs enough funding through mid October to November (if neither reduced costs).

As a personal side-note: I believe Lysergic has a valid point: without DCG and more notably a good release of Platform, incubator wouldn't be able to ship. However I personally also believe that there will be a great deal amount of value derived from the work of incubator. I value incubator and don’t want to see them defunded. My hope is that we see Rions 800 Dash proposal and the supplemental from DCG at 650 both pass. This would allow the maximum amount of effort to continue going to development of the Project.

What does this specific proposal fund?


Assuming DCG’s current compensation proposal passes, with the price of Dash at $33, our funding for compensation will represent a significant gap from our actual compensation expense. This proposal will look to reduce some of the gap between our compensation revenue and our compensation expense.

 How bad are things?

While things are worrying, development currently is continuing unaffected by the price. I believe that our community is strong and that we will find solutions together that will allow almost all paid contributors on the project to remain.  Our aim in the upcoming month is to give options to the network to vote on.

Did DCG reduce staff?

We recently reduced our compensated team size by about 10%, our current break even price sits at around 80$/Dash. Our compensation reserve now sits slightly less than 2 months (if no additional funds - and around 3 months considering current level of funding).

Does DCG plan on reducing costs?

Yes, through various means we aim to temporarily reduce spending by between 20 and 30% in the upcoming month or two.

How much of an impact do the supplemental proposals have?

A big impact. The supplemental proposals leave us in a much better state to hold off being forced to cut vital employees as the bear market lasts longer.

If you have any questions, please direct them to @quantumexplorer at dashcentral to ensure we are notified of your request.

Requested funding is as follows for the July 26th superblock:
  • 651 Dash ($21,483 USD @ $33 per Dash)
  •     1 Dash Proposal fee reimbursement
Total: 652 Dash

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Discussion: Should we fund this proposal?

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-1 point,8 months ago
In light of the decision proposal I think there is still time to float another suppelmental and let the network decide instead of having to rely on governance.
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-1 point,8 months ago
There is no reason any DFO should honor funding requests from other DFOs, let the network decide how to run the budget and stop asking for the minimum funds possibly unallocated, comptettion is good for Dash.
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2 points,9 months ago
With DCG current runrate (Ash gave an estimate of $200,000) and with DCG current reserves (Ash gave an estimate of $300,000), even with receiving continued support for DCG Compensation and DCG Supplemental proposals, will DCG not run out of reserves later this year anyways ? Due to DCG too high runrate and the very real possiblity of Dash price remaining under $80 for the rest of this year ?

December 2023 is mentioned by Ash as the month when DCG could run out of reserves, even if DCG takes most of the superblock (which luckily you dont plan to do).

See : https://www.dashcentral.org/p/dash-incubator-ash-2023-q3

Will your plan to temporarily reduce spending by between 20 and 30% in the upcoming month or two really avoid the scenario of DCG running out of reserves later this year ? Or is DCG runrate even with those cuts just too high for the (bear) market / crypto winter Dash is currently in and the low Dash price we have now and may have the rest of the year ?
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2 points,9 months ago
I raised my concern about this situation of DCG possibly running out of reserves 4 months ago (see https://imgur.com/9mNPhyN / https://www.dashcentral.org/p/DCG-SUPPLEMENTAL-MAR23) and now i can't help but wonder if this is really enough of a plan to prevent DCG of running out of reserves later this year.
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-1 point,9 months ago
Unfortunately, unless the price of Dash goes up, there is no good solution here
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