JBP-308 - ConstitutionDAO2 Fundraiser
Author: matterturbulent
Date: (2022-12-04)
Synopsis
E Pluribus Unum — Out of Many, One
15 Web3 groups (and counting) have come together to fundraise and bid on a private copy of the US Constitution going up for auction at Sotheby’s on December 13. This movement—called UnumDAO is the spiritual sequel to ConstitutionDAO, with many of the orgs being born from or inspired by the movement last year. We are utilizing the private multisig application Nucleo to obfuscate a portion of the donations to make our bid more competitive, and we plan to raise the remaining funds publicly on Juicebox. We’re prepared to show the world how far crypto has come in one year and to give our community and industry a positive signal. The goal is to start with the Constitution, and then continue acquiring important civic artifacts in order to create a “People’s Museum,” totally controlled by governance NFT holders, rotating to new locations, and educating the public about the history and innovations of democracy.
We are proud to partner with Juicebox given its status as the go-to decentralized platform for projects to raise funds in Web3. We are requesting a $150,000 USD grant from Juicebox at the initiation of the fundraise to seed it. Additionally, we want to use the holdFees flag(1) to enable us to refund donors in full should we lose the auction.
If bid fails then all funds become refundable, including the grant. All donors have the opportunity to reclaim funds within a 30 day window. After the 30 day window then remaining the funds get sent to the UnumDAO multisig for acquisition, curation, and care of other civic artifacts.
Motivation
This proposal will cement the partnership between JuiceboxDAO and “ConstitutionDAO2,” while simultaneously kickstarting the fundraiser. We recognize that Juicebox plays an essential role in the ecosystem, championing the value of decentralization. Juicebox is an essential tooling in Web3 and unlocks the ability for regenerative projects to establish their governance communities. This proposal represents a middle ground between shutting off fees and leaving them as is.
Specification
- JuiceboxDAO to distribute $150k worth of ETH to the UnumDAO project fundraiser from the v1 JuiceboxDAO treasury in FC#37.
- Utilization of the holdFees flag to enable full refund should UnumDAO lose the auction.
- Vocal support from Juicebox as a partner in the movement.
Rationale
Sotheby’s valued the Constitution copy at $20 - $30 million USD. If Juicebox fees are 2.5% and gives the project fundraiser a $150,000 grant then the fundraiser has to raise at least $6 million for Juicebox fees to exceed the initial $150,000 put in.
Risks
If the fundraiser undershoots $6 million but still wins the Constitution in the auction then JuiceboxDAO will not receive more fees than the initial amount of the grant.
Timeline
Within the next couple of days the fundraiser will go live and JuiceboxDAO should make the 150k donation upon initiation of the fundraiser. Should UnumDAO lose the auction we expect to do the refund based on the reasonable timeline for such activity. All donors have the opportunity to reclaim their funds within the 30 day window. Throughout the auction leading up to Dec 13 the coalition will advocate for Web3 to once again come together and buy a Constitution. Except this time we will win.
Note:
By default, JBX membership fees are paid automatically when funds are distributed out of the ecosystem from a project's treasury. During funding cycles configured to hold fees, this fee amount is set aside instead of being immediately processed. Projects can get their held fees returned by adding the same amount of withdrawn funds back to their treasury. Otherwise, JuiceboxDAO or the project can process these held fees at any point to get JBX at the current rate.
This allows a project to withdraw funds and later add them back into their Juicebox treasury without incurring fees.
This applies to both distributions from the distribution limit and from the overflow allowance.