[IDEA] Enhancements to LiquidSig

Since it was established on by Proposal N-11 in September 2023, LiquidSig has successfully conducted a number of initiatives:

  • Provided roughly ~2M of AXL-NTRN liquidity on Astroport, of which it retains about $1.94M in its treasury at current price, and distributed a small portion of the resulting LPs to incentivize sticky wstETH liquidity and supported the go-2-market of an ecosystem project via Apollo’s locked vaults
  • Sustained ~2M of wstETH liquidity to the wstETH - ETH and wstETH - NTRN pairs on Astroport
  • Bootstrapped ~1.1M of DYDX - USDC and >$2m TIA - stTIA and TIA - NTRN liquidity on Astroport
  • Distributed AXL incentives pledged by Axelar to Osmosis and Injective to support the adoption of wstETH on their platform

Yet, the lack of established processes and policies led to inefficient decision-making, operational delays, and insufficient coordination with ecosystem dApps. To address these challenges and achieve smoother, more standardized, transparent, and better coordinated operations, the program is being overhauled.

Introducing LiquidSig V2

LiquidSig V2 introduces a structured, tiered system comprising a “Council” for decision-making and an “Ops” team responsible for execution. This structure is designed to streamline operations and ensure more efficient and effective program management.

Key characteristics of LiquidSig V2 include:

  • Tiered System: The establishment of a Council and Ops team allows for clear separation of strategic decision-making from operational execution, ensuring that each function can be performed more effectively by members with the appropriate expertise and capacity.
  • Monthly Cadence: The program now operates on a monthly cycle, allowing for more agile and responsive management of operations and adjustments to align with evolving ecosystem needs.
  • Ecosystem Engagement: By involving representatives from ecosystem projects, especially those who are best placed to assist with operations due to their intimate knowledge of their own dApps, we enhance our coordination and operational efficiency within the ecosystem.

Improved Workflow and Signer Engagement:

A more structured workflow has been introduced to streamline operations:

  1. The process begins with an open intake form, allowing anyone to apply for incentives: Neutron Intake Form
  2. Two weeks before the start of a new period, the Ops team prepares the monthly budget based on existing commitments and approved inbound requests, which is then reviewed by the Council.
  3. Following budget approval, the Ops team is responsible for preparing transactions and manuals, reviewing and signing transactions, coordinating with ecosystem projects, and maintaining accurate records of payouts in relevant databases.
  4. To continuously improve our processes and incentive criteria, DAO contributors and LiquidSig members are encouraged to propose and refine policies. Once these proposals are voted in by either the MainDAO or the Council, they are implemented to further enhance the program.

Transition from Apollo Safe to DAODAO

Funds and operations are also in the process of being transitioned from the legacy Apollo SAFE contract and UI to a more featureful DAODAO implementations, which enables the creation of subDAOs and is compatible with the broader Neutron DAO, paving the way for LiquidSig to eventually become part of Neutron’s governance structure.

Council Name Address
Hadron Labs Spaydh neutron1yycmdn4t5gmzfddtsle2xurd3x30h4crz02j9x
Hadron Labs Kai neutron1tkavhfqt8358vl74z7r5kdkdy05s98yka0gl0t
Neutron Community Rarma neutron15hfzjddg3hrjwfgyf8m6xy67yp2ssk27spts6j
Timewave Udit neutron16tk4ctkqq8kjtrp7pe94sdu595rnt0upv0ctmq
Axelar Georgios neutron1pymharqxfutl5ncpxe8hghpsz4y39jxl8wlfd0
Stakehouse Adrian neutron1y6d3ul0xlaewwqzy8nqkzaqzus9v0zfj5u26d6
Ops Name Address
Hadron Labs Soi2Studio neutron17s76s29nyuu5p6xaqz0sndw3sgl78hy4gqm342
Astroport Andre neutron137d4mxc78fcsw70mfha0l63x030q6gr62s4yuf
Mars Dane neutron1dcerph9tsdts0zh9aqp7yz88ud9fjwqg5n5ce0
Apollo Bruce neutron1jssn7m7u06jwe6ckzgxwsqs4uqlmyljf9te4eu

Through these enhancements, LiquidSig V2 aims to address the limitations identified in the previous iteration, ensuring more effective governance, improved operational efficiency, and stronger collaboration within the ecosystem.

We believe these changes will significantly benefit all stakeholders and contribute to the overall health and success of the ecosystem.

PS: If you are enthusiastic about Neutron, have experience working and optimizing incentives program and/or working with on-chain analytics, and are looking for ways to be more involved, reach out to us.