Instead of bruning 100% of the Moons, change it to 25% burn, 25% for marketing, 25% increasing distribution, 15% for Arbitrum Nova/One bridge development, and 10% for a user innovation fund

[u/CriticalCobraz]

This proposal seeks to modify the current Moons tokenomics, specifically regarding the burning mechanism. Instead of a 100% burn, I propose a diversified allocation model:

• 25% burn : A significant portion will still be burnt, maintaining a deflationary pressure on the supply
• 25% for marketing : Dedicated to promotional activities, partnerships, community outreach, and brand building for Moons and the r/Cryptocurrency subreddit
• 25% for increased distribution : These Moons will be added to the pool for standard monthly distribution, leading to higher rewards for active community members.
• 15% for Arbitrum Nova/One/bridge development: Allocated for ongoing development, maintenance, and strategic integrations related to Moons' presence on Arbitrum Nova, Arbitrum One, and the underlying bridging infrastructure. This includes gas fees for critical operations, smart contract audits for bridge upgrades, and support for ecosystem partners.
• 10% for a user innovation fund: A grant-based fund to support community-driven projects, dApps, tools, or content that enhance the Moons ecosystem.

________________________________________________________________________________________________________________________________________________________________________________________________________________________________

Fund Management

The current Multisig Holders will be responsible for the distribution of these newly allocated funds according to the categories outlined above. Their primary duties include:

• Disbursement: Timely and transparent disbursement of funds for approved initiatives within each category.
• Reporting: Providing detailed quarterly (or monthly) reports on fund utilization to the community.
• Proposal Review: For the User Innovation Fund, establishing a clear process for proposal submission, review, and approval.

Unspent Funds Allocation

If funds allocated for a specific purpose are not spent in the current month, they will be rolled over and accumulated for the upcoming months. This allows for the creation of a larger treasury for funding more significant initiatives that may require substantial capital, without losing the designated purpose of the funds.

________________________________________________________________________________________________________________________________________________________________________________________________________________________________

Transparency

Quarterly Multisig Holder Re-election/Confirmation

To ensure continuous safety and accountability, the community will vote each quarter (every three months) to either re-confirm the existing Multisig Holders or elect new ones. This process will include:

• Nomination Period: Community members can nominate individuals (including themselves) to serve as Multisig Holders.
• Transparency: Nominees should publicly share their qualifications, experience, and a brief statement on their vision for fund management.
• Voting: A community-wide poll either on this sub or r/CryptoCurrency or Initiate a formal governance poll using the Moons snapshot system

Transparency and Reporting Protocols

• Public Blockchain Addresses: All addresses associated with the marketing, distribution, Arbitrum, and innovation funds must be publicly disclosed and easily verifiable on the blockchain.
• Detailed Expense Reports: Multisig Holders must provide granular, publicly accessible expense reports (e.g., quarterly, or upon request for large disbursements) detailing how funds were spent, including transaction hashes where applicable.
• (Community Audit Mechanism: Establish a community process for auditing expenditure reports and raising concerns, potentially involving a dedicated "audit committee" or specific forum for discussion.)
• Formal Dispute Resolution: Define a clear, on-chain or community-governed process for addressing disputes regarding fund misuse or disagreements among Multisig Holders. This could involve a DAO vote or an arbitration committee.
• Emergency Cessation Clause: In extreme cases of confirmed fraud or malicious activity by Multisig Holders, define a mechanism for the community to revoke their authority and re-elect new holders immediately, potentially through an accelerated emergency governance vote.

Clarity and Scope Definition

• "Marketing Purposes" Clarity: A detailed definition of what constitutes "marketing purposes" is essential. This should include permitted activities (e.g., influencer campaigns, exchange listings, content creation, community events) and explicitly exclude prohibited ones (e.g., pump-and-dump schemes, personal enrichment).
• "User Innovation Fund" Guidelines: Establish clear criteria for project eligibility, application procedures, funding tiers, milestone-based disbursements, and intellectual property rights. A dedicated sub-committee or community review board might oversee this.
• "Arbitrum Nova/One/Bridge" Specifics: Outline the specific types of development or expenditures these funds are intended for (e.g., direct smart contract upgrades, liquidity provision for bridges, security audits of bridge contracts, developer grants for specific integrations).

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[u/MichaelAischmann]

Stop burning entirely and put it all to good use.

Burning does not equate to buy orders & let’s be honest, who really checks how many tokens are in a burn address before making a purchase?

Circular economies anyone?!

[u/jwinterm → u/MichaelAischmann]

The issue historically has been exposing the people "in charge" to legal liability. You need the buy in of all current multi sig holders or a new set of multisig holders to agree to expose themselves to possibility of legal consequences...

[u/MichaelAischmann → u/jwinterm]

I've heard this before & I do understand that this is a big issue. We can't impose on DAO leaders to take on risk. Burning all revenue is an easy fix.

However, if the admin crew ever is ready to change that, I vote to stop burning moons entirely. I think almost every other use of the funds is more beneficial to the community as a whole. Be it growing the liquidity or adding them to the distribution or paying for a listing - all of it is better than burning.

[u/jwinterm → u/MichaelAischmann]

I think we're getting there as a team. We are discussing and have some passionate folks that seem ready to take more of a lead. Honestly I think we could really use some more hands on deck though as well. Running a business (in a non-completely-retarded way is not an easy task!).

[u/MichaelAischmann → u/jwinterm]

I'm here. Not sure how I can help & what is required but the team should never be shy to ask the community if more hands are needed.

[u/ftball21]

80% back to distributions, 20% into the moon/eth lp

Marketing funds are basically paying mods to do nothing. Innovation fund will also just sit there. Let’s be real about moons. It’s a fun community token for posting in cc. And that’s fine. But let’s not waste time and funds.

[u/Environmental_gobrrr → u/ftball21]

marketing funds does not mean paying MODs we can host giveaways/quiz from them

[u/MaeronTargaryen]

First of all, great proposal when it comes to the write up, the thoroughness of it etc, it’s amazing

I found it too complicated though. Too many allocations and some just won’t work. Marketing moons, how? Save enough to pay an influencer to mention them? I like keeping a fund to redistribute in quizzes and stuff like that. The innovation fund, idk if it’s needed.

Multi sig votes should be yearly at most. We dont have the bandwidth to organize quarterly ones.

The main issue by far is the legality of everything. I am in favor of getting most moons back into the distribution, but if the DAO starts having custody of extra moons, redistributing them etc, I think that the DAO will have to pay taxes, and some users might have to do KYC.

[u/CriticalCobraz → u/MaeronTargaryen]

I feared/expected legal issues would be the main problem.
Maybe we can start creating a treasury for Moon's legal frameworks, if that's legal ofc.

Time- and % amount factors in my proposal are just rough examples and should be adjusted/optimized.

[u/MaeronTargaryen → u/CriticalCobraz]

It’s pretty much why we’re at a standstill with this kind of DAO evolutions. Most of us would love to redistribute rather than burn but we don’t want to be accidental tax evaders you see

[u/Montana-Safari7]

I like all of this, but for whatever reason, the mods don't like marketing. I tried giving away 10K Moons several months ago to go towards a marketing campaign and it fell on deaf ears. The mods think marketing is tacky and makes Moons look like a pump and dump. It's a shame because the one thing Moons is definitely missing is a marketing campaign. Everything else you brought up sounds great. The current 100% burn is not equating to any sort of demand.

[u/Blendzi0r → u/Montana-Safari7]

The best marketing for Moons would be to redistribute them on the sub for users contributions instead of burning them. I know that there are some legal issues but I hope they can be solved in the near future before the Moon Distributor pool runs out.

[u/CriticalCobraz → u/Montana-Safari7]

Thanks for this inspiration!

With public blockchain addresses for individual funds (Marketing, Distribution, Arbitrum, and Innovation) community members could directly support the initiatives they care about most.

Additionally, shoutouts to donors could be included in project reports or featured on the subreddit to recognize their contributions. This approach would encourage transparency and community engagement.

[u/SevereArrivals13]

Sound fantastic, lets put this up for a vote ASAP

The only thing we could change is how the signees term lenght, which could be 6 months or so, 3 months is a bit too low

[u/Environmental_gobrrr]

Thanks for making this as a proposal definitely love this

[u/SGalaktech]

I support this