An Integrative Plan for Cycle 5 - Budget & Commitments

This is not just any DAO. This is DAOhaus.

The last three lines of our manifesto form a creed:

We strive first to create value, not extract.
We strive first to collaborate, not compete.
We strive first to coordinate, not control.

These values can and should guide us through any challenge we face.

This document is an attempt to:

  • integrate all concerns to find a shared solution
  • influence us toward improved coordination.
  • create value that will serve us going forward.

The decisions we land on this week will shape the culture and efficacy of DAOhaus, and all of the current and future DAOs that will look to us for guidance.

The Sentiment of the DAO

We began to battle the bear by surfacing our 13 core objectives and asked the DAO how much of our total attention should be ascribed to each.

The results ended up looking like this:

Objective Focus%
Ship DAOhaus V3 44.3%
Ensure DAOhaus v2 runs smoothly 9.5%
Expand our current funding 8.8%
Determine high level DAOhaus strategy 5.6%
Build partnerships with external organizations 5.0%
Ensure DAO operations run smoothly 4.6%
Strengthen our developer ecosystem 4.5%
Set up DAOhaus governance for success 3.8%
Contribute to DAO public goods 3.4%
Incubate new DAOs 2.4%
Strengthen DAOhaus brand and awareness 3.2%
Strengthen our user community 2.8%
Maintain our current funds 2.1%

Roughly 50% of that is development related activity. Let’s call that Category A.

The other 50% could be broadly described as objectives that keep the DAO and our ecosystem thriving. Let’s call this Category B.

The above is a crystallization of DAO sentiment about relative priorities.

The above is not a signal that everything except software dev should be cut. With our team strength, a 5% allocation is still 30 hours a week.

Facts & Figures

We all know we can only pay out $70K tops in July & August to stay afloat until the next transmutation.

We asked everybody in the DAO how little money they could take in these coming months to help DAOhaus succeed - without creating undue financial hardship on themselves.

After everybody had a chance to clarify their sacrifice, with many stepping back or reducing commitment, we came in at a budget of $75K (cell I41) That’s pretty damn close.

Questions to ask ourselves

Beyond the perceived necessity of a plan, we ought to ask ourselves another category of questions.

Is this plan in line with our values?
Is this a story we’ll be proud to tell when it’s over?
Is this a fearful approach? If so, what are we afraid of?
Is this an inspired approach? If so, what is inspiring about it?

It’s not just about what we do to get through this, it’s also about how we do it. What story can we tell afterward?

The Original Plan

We’re damn close to finding a solution that works for the whole DAO.

Originally we were going to ask everybody to consider a 25% cut in overall compensation across the board for the next 2 months, with 40% of that as HAUS.

Level % Dai % HAUS
5 $5400 $4600
4 $4500 $3200
3 $3150 $2100

Anybody who just couldn’t do it could ask for an exception. With that information in hand we would know the reality of our situation.

This would give us time to do some emergency fundraising. To document our process of coming through this as a DAO. We could get huge social dividends for sticking to our principles all the way through this challenging situation.

Here is the proposal Paladins had on the table last Friday before we were convinced to wait and hear the layoff plan:

A 3 Part Proposal

The Standard Slash

  • We agree on a “standard slash” for everybody as the default.
    • Drop overall compensation levels by 25%.
    • Pay the remainder with 40% in HAUS.
  • If this doesn’t work for someone, they can ask the DAO for help by stating their case for needing more.
    • Some people can take less than the standard slash already so there is room to help those who need it.
    • This is close to what we already did, just asking those who need more to explicitly say so.
  • We keep the spreadsheet open until the last day of June so people can adjust and try to get us under $70K.
  • We go with what the DAO decides (like we always have), and we figure out how to make up the difference, if any, next month.


  • No extra coordination required & grants us 2 months of runway to figure out next steps
  • This isn’t much different from what we did at the Warcamp Meeting by filling out the commitment spreadsheet.
  • It makes requests for help a more active process.

Note: In the end, the data we collected in the spreadsheet is very similar in nature to the above. We’re only 5K off the mark.

June Pass the Hat

We have $106K in scheduled payouts for commitment track.
Our budgeting assumes $137K will go out - the number for May
We don’t know how much retro requests there will be.

  • Let’s just ask commitment track contributors if they could take a little more HAUS for June.
  • Let’s ask Retro contribs to maximize HAUS this month.


  • Simple
  • Might make the difference.
  • Highly optional

Projection & Reflection Documents

One of the primary concerns frequently voiced is that we aren’t focused, organized or even aware of what we are accomplishing - so how can we have accountability and financial oversight toward our objectives?

To remedy this we add “projection & reflection documents” to clarify work in the next period.

Projection Before work begins, provide a projection for the following period that includes goals, budget, team, scope, deadlines and metrics.

Reflection After the period is complete (and preferably consistently through the period) reflection on outcomes is added to the document so the DAO can sense progress toward our objectives.

We generate a template for these reports and make it simple for everybody. We let each team decide how to do the specifics.

We block off some time to show these reports to the whole DAO and get feedback. Visibility should lead to higher quality and more DAO-wide situational awareness.

This is similar to the RFP proposal, but does not create a gate and a vote requirement to begin work. We could do that in the future, but there’s scarce time to design the system.

If we’re under budget with commitments, then let’s let share their plans and do the work.

We can incorporate the importance and commitment allocations to build teams, set budgets and define objectives.


  • A pitch/demo day is time boxed to show projections and get feedback.
  • Encourage coordination with others who pledged to the same objective to prevent duplicated work.
  • Provide a template to put everybody on equal footing
  • If you pledged focus on an objective, back it up by incorporating your commitment into a projection document.
  • Many of these variables will be capped by the commitment % and dollar amounts revealed by the projection spreadsheet
  • Here is an example of a hastily formatted Proposal for the “Strengthen DAOhaus brand and awareness” objective
    • This document pulls commitment & budget data from the projection spreadsheet.
    • Contributors listed are just examples pulled from the data.
    • This is a proof of concept document and should be improved
  • The recent DevRel progress report is an example of a more detailed reflection document.


  • Increased transparency: We ask contributors to be specific about their commitments & plans for accomplishing an objective.
  • Higher standards: This can raise our standards overall and improve our professional culture going forward.
  • A chance for feedback: This keeps the DAO aware of initiatives and contributions so we can make better individual decisions as sovereign members of the DAO.

Other Considerations

  • Fundraising efforts are already being made.
  • Workstreams are being streamlined - we can come out of this a more efficient, lean team.
  • There is a conversation to be had about power & capture - and what happens when we stray from our values.
  • These numbers are informed by: Warcamp Financial Analysis courtesy of Amos

My request for this proposal:

  • If what I’m saying resonates with you, please let me know.
  • Lets keep this focused on how we can Budget & Improve Focus/Commitments
  • Share what you believe is needed to make this proposal work.
  • If this proposal creates a new tension:
    • Ask yourself if the tension really created by this proposal, or did it exist already?
    • If it’s a new tension, then ask how can we integrate it to make this proposal better.
  • Do you see ways to improve this? Let me know. Let’s integrate visions.

I align with some of your thoughts around RFP, I really think that is the best route going forward.

I was very impressed when everyone made cuts to get us within just 10k or so of our required goal. But the issue is that it really does not matter if it was 10k or 100k, the resolution of that across the entire DAO would require a lot of time and effort, which, I think, ultimately just kicks the can down the road. Unfortunately we do not have the time to extend this process out more. And investing 70k on another month of discussion, or even 10k is not a good option.

The overhead of switching to delivery based teams and a RFP process is actually not hard. We start simple and get something rolling now… It’s already rolling. the July cycle starts this week, but that’s good because we can use it as a forcing function, so it’s up to us to make this happen. More walk less talk is what we need right now.

It would be awesome to have your feedback and insight on this process.

I agree we should have a time boxed period where we can have a pitch day and let the DAO vote on proposals. The first RFP for the top 2 attention priorities is already up and I expect that to have a proposal and some further discussion tomorrow. We can have a proposal up for ratification by Thursday. This one can act as an example and signal by the DAO.

If it passes the on-chain ratification we can continue to iterate on the process, and I think it is very doable to have our first pitch day on July 8th for the remainder of our budget. This gives members a chance to write RFPs and a chance for teams to spec and fill those RFPs.

I also agree with the June Pass the Hat section. this could offer at least one more month to capitalize on initial RFPs so it is worth at least an outreach.

So the question to ask ourselves, is can we unite and do what’s best for the DAO now? Can we put this behind us and move into the future with some progress? And to answer your initial question, I would be very proud if we do these things, It would show that a DAO can collectively unite to do the thing that is best for the collective without top down commandments and without extending a bureaucratic discussions without stated end.