ATOM Accelerator DAO Transparency Report 6

Report Date: Friday 10th May 2024 Table of Contents 1. Overview 2. Financial Reports • Balance Sheet - Main and Strategy Wallets • Balance Sheet - Operational Wallets • Income Statement - Primary Wallets - Main and Operational • Income Statement - DAODAO Main Wallets • Income Statement - DAODAO Operational Wallets • Cash Flow Management Report - Strategy Wallets • Cash Flow Management Report - Main Wallets • Cash Flow Management Report - Operational Wallets • Hedging Operations: 3. Internal Operations/Changes 4. Grant Application Summary • Funding Distribution 5. Grant Funding Updates 6. Latest Batch of Grants 7. Grant Updates 8. RFP Updates 9. Oversight Election Process 10. Treasury Management of the AADAO 11. Venture Grants 12. Upcoming Updates Appendix A: Grant Summaries 1. Overview Since our last Transparency Report two months ago, the AADAO has been busy ushering in new changes in the spirit of the new mandate. We released our first Batch of grants for 2024, alongside announcing our Venture Grants program and signing our first Venture Grant agreement. More details on this are in…

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Damien: 11. Venture Grants As discussed during our mandate renewal , the Atom Accelerator DAO has begun to deploy Venture Grants. While the Cosmos Hub birthed the ecosystem that now has more than 110 chains, due to the public nature of IBC and the Cosmos SDK, it has been difficult to monetize and invest in entrepreneurial chain creation to date. Venture Grants aims to solve this. The Cosmos Hub, via the ATOM Accelerator DAO (AADAO), can solve this public good monetization problem by embracing a role of providing capital to early-stage builders in exchange for alignment with ATOM - from coming on as a consumer chain of the Hub and whitelisting ATOM as gas, to preferential airdrops and token allocations directly to the Cosmos Hub community pool (governed by stakers). ‍ Venture Grants deployed by AADAO will help grow and diversify the ATOM Community Pool, help to exponentially grow the AEZ and ATOM usage At the time of this writing, we have signed our first Venture Grant agreement. We are currently awaiting the funding round to complete before making our announcement and diving into the details of the agreement. You can consult more on our Venture Grants on our…

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The information provided in this report effectively counters claims that the Atom Accelerator DAO (AADAO) lacked transparency. It’s clear that these claims are unfounded. At Govmos, we’ve examined countless financial reports over the years, and we appreciate the value of detailed data. While there’s always room for enhancement, the AADAO’s commitment to transparency in the Atom Economic Zone (AEZ) is commendable. Analyzing the data ourselves allows us to pinpoint key areas of concern, fostering well-reasoned discussions to address potential issues. On the financial front, we found no irregularities. The ratios in both spending and compensation align with industry standards. Damien: 11. Venture Grants As discussed during our mandate renewal , the Atom Accelerator DAO has begun to deploy Venture Grants. While the Cosmos Hub birthed the ecosystem that now has more than 110 chains, due to the public nature of IBC and the Cosmos SDK, it has been difficult to monetize and invest in entrepreneurial chain creation to date. Venture Grants aims to solve this. Regarding the new prospective shared on venture grants: On this front, we are well aligned with the points…

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Govmos:

The information provided in this report effectively counters claims that the Atom Accelerator DAO (AADAO) lacked transparency. It’s clear that these claims are unfounded.

In my opinion the Atom Accelerator DAO is not transparent as long as the grant applications and above all their evaluation is not public to the community.

Yep - this is correct. Venture Grants are more akin to venture finance/capital, than traditional grants.

We outlined some general ideas about these grants here in this blog, but I think this segment is probably an effective tl;dr:

The Cosmos Hub, via the ATOM Accelerator DAO (AADAO), can solve this public good monetization problem by embracing a role of providing capital to early-stage builders in exchange for airdrops, ATOM as whitelisted gas, and new project token allocations directly to the Cosmos Hub community pool (governed by stakers). ‍

As a result of this positioning, the Cosmos Hub will be a security provisioner, liquidity provider (via ATOM Wars), and venture grant seeder. This will create a strong diversified offering that outpaces the race-to-the-bottom security commoditization that the likes of Eigenlayer are headed towards.

Hoping to have more details about Venture Grants, with possible deal scenarios out shortly.

Thanks @Govmos! Especially for the analysis of the financial reports and ratios!

We’ll have more info about Venture Grants out shortly. In the meantime, in case you missed it, a blog on how we feel Venture Grants fit in with the Cosmos Hub’s overall offerings.

Will check out the Talent Hub shortly too

Do check out the discussion on this here.

It’s encouraging to witness an increasing number of financial related operations in the Hub’s vicinity, a trend we predicted approximately a year ago. The Hub, a decentralized banking infrastructure built around atom’s unit of account, holds a first-mover advantage in its sphere of influence. Indeed, while not in direct competition with EigenLayer, which serves as a secure vault, the Hub aims to replicate traditional investment banking services in a decentralized manner. This creates business opportunities by innovating beyond security services and creating a wide array of banking services on top of it: debt capital markets (clearing and liquidity services), equity capital markets (fundraising, investing, securitization), mergers and acquisitions and more. We already explored the potential sectors the Hub could further expand on in this post: Discussion: AEZ Growth & the ATOM Alignment Treasury global bank business 3516×1724 430 KB source: Discussion: AEZ Growth & the ATOM Alignment Treasury - #29 by Govmos If this topic piques your interest, you can access a comprehensive 20-page document discussing the Cosmos ecosystem, a permissionless B2B2C network,…

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Thank you - I actually hadn’t seen these yet.

When is there an update on batch 6 and 7? It’s the same “info” that was given in Transparency report 5 from February

Thanks for pointing this out.
At the latest, I’ll make sure this list is updated on the next report (the appendix is essentially copied from one report to another). But I’ll try to get this forum post + grant descriptions added to our website earlier than that