Hi, everyone; thanks for checking out the Weekly Relay! Whether you hold MKR or DAI, own a vault, or want to get more involved in governance, this is your one-stop shop for MakerDAO updates. Authors: @alec , @Sol_Invictus and @Artem_Gordon 🍿 CURRENT EVENTS Despite delegation being around for almost 18 months, we have yet to see an educational institution from Asia participate in governance. Until now... Hong Kong University of Science and Technology (HKUST) enter the fold as Maker’s newest Recognized Delegate. The following Core Values drive their platform: ● Establishing a mutually beneficial and friendly environment between Universities and Protocols. ● Developing innovative solutions through critical thinking. ● Educating the next generation about the benefits of blockchain technology in TradFi. ● Sharing insights, industry knowledge, and experiences. ● And supporting the protocol on Treasury, Budgeting, Process Streamlining, and Collateral Risk Management. Summary of Delegate Statement HKUST openly embraces the visions and innovation stemming from bleeding-edge technologies, and its students are actively encouraged to explore these new frontiers. "As blockchain technology is still maturing and adoption rapidly increases, continuous education and development should be established. For mainstream adoption to be achieved, strategic planning, proper decision-making, and marketing are required. Therefore, establishing a research lab (EPI) to synergize the growth of MakerDAO, by governance participation, with exposure to blockchain technology and decentralized finance, would provide a mutually beneficial symbiotic relationship between MakerDAO and the University." The delegator will be led by a University researcher, with volunteer students filling out the Research Lab. This Lab expects to be fully vested in Maker Governance, with frequent and timely communication on all governance decisions. Note: The Lab will receive assistance from other Faculty members on topics such as Research, Education, Business Development, and Web3-centric developments. The initial focus will be placed on several initiatives, including: ● Actively participating in forum discussions ● Initiating new improvements proposals ● Monitoring protocol news and updates ● Seeking consultations with respective faculty members, or with collaborating external parties ● Communicating with internal team members ● And offering public Q&A with their delegators The Delegate Platform can be read in its entirety here. Core Unit eligibility for Golden Parachute and Vesting With @Davidutro ’s recent Offboarding Proposal, Governance Communication’s watch is coming to a bittersweet end. COM-001 Work Unwinding Summarized The unwind is underway and should be completed by the end of January 2023. As this date approaches, the following will occur: ● The last contributor invoices will be paid during the first week of January. ● Financial statements for both December and January will be published. ● An agreement will be made with Accountable to administer the severance package in February, assuming the proposal passes. ● All excess funds will be returned from AccountAble and the Operational Multisig. ● The Continuous Operations Multisig will have its funds returned. ● An agreement will be made for the ambassador program multisig to replace David. ● All Content work will be published on the GovComms public GitHub along with their appropriate content copyright licenses. ● All intangible assets will be appropriately licensed, and it will be verified that any transferable assets be transferred to the appropriate parties (Dai Foundation or GovAlpha). “Following the budget rejection, we worked with the GovAlpha Core Unit to transition the critical and most valuable parts of our work. We are on track to close or transition all of our work by the end of December.” Golden Parachute Summarized "Govcomms did not prioritize getting an MKR compensation package in place early on. Instead, we decided to prioritize our actual work while waiting to see if a preferred standard would emerge by the end of the year. That never happened, and so we planned to publish our proposal, modeled after GovAlpha’s, for RFC in December 2022, so it could be voted on in January, in time for what would have been our first 1-year cliff vest in February(under the GovAlpha model). With the Core Unit being defunded, we instead added our MKR compensation here as a part of our offboarding." The initial poll offered four percentage-based options, which would track as follows: Community Response The post generated a range of responses. Many expressed gratitude and well wishes. Others belayed confusion and offered condolences. However, the bulk of the discussion focused on a singular topic. The ever-polarizing topic of severance, or ‘The Golden Parachute.’ Many agree on the general concept of this parachute. Disagreements, instead, stem from their contents. How much should the DAO compensate offboarded units? Some Recognized Delegates feel that these packages are too generous compared to traditional and ‘real-world’ examples. Others, such as @csmith , expressed opposing opinions. "I am particularly disappointed to see the posts and votes advocating for granting David and Artem the absolute minimum MKR vest. To put some numbers around it: ● Their 100% retro vesting would result in moving a total of 159.8 MKR ● The PauseProxy currently has 73,400 MKR ● Endgame is advocating minting 50-70k new MKR ● Delegates at the top of the compensation level get paid $144,000 per year > for voting, or roughly $100k more than the 25% level It seems wrong that David and Artem’s hard work and best faith efforts to do right by the DAO are being rewarded in this way." Per @ElProgreso ’s suggestion during Delegate office hours, David repolled with nine more granular options and the ability to choose two. A total of 6 voters participated in this poll, and we encourage everyone to submit their opinion. While the details are far from set, @Artem concluded with wise words meant to extend well beyond the scope of this singular proposal. "There are a number of challenges and targets on everyone’s plate, but we are fortunate to have the opportunity to work together at any time, on any day, from anywhere, hand in hand, to achieve bulls-eye solutions. The answer may lie somewhere in the middle, or it may not. This cannot and should not be decided by any single individual. Our membership in a DAO should not prevent us from working together as a strong community. Anyhow, there are still a few Delegate office hours left, and I suggest they be utilized now more than ever. Whether you are venting your opinion or creating charts, analyses, models, mind maps, SWOT analyses, etc. Let’s use this precious time to structure the next set of calls to try to find a solution before the next round of budget polls is complete." To read the proposal and its ensuing discussion, click here. The poll’s current tally can be found via this link. Written by @alec to maintain neutral opinions Compound v2 D3M Onboarded The long awaited poll to integrate the D3M with Compound has officially passed! The community showed overwhelming support to finally onboard a second protocol, as it’s been over a year since Aave has been integrated. This action helps better position DAI as a more liquid and convenient stablecoin to borrow. Compound users can now benefit from a fixed DAI borrowing rate, which is an attractive option within the volatile structure of DeFi. Compound v2 DAI D3M Onboarding Summarized Vault Parameters ● Maximum Debt Ceiling: 5 million DAI ● Target Available Debt: 5 million DAI ● Ceiling Increase Cooldown ( ttl ): 12 hours ● Target Borrow Rate ( bar ): 2% D3M Links & Resources [Signal Request] Should Maker Prioritize Onboarding A Compound D3M? @GFXlabs posted a signal gauging the community’s interest in prioritizing the onboarding of a Compound D3M. Polling concluded with a 48% ‘Yes’ vote, topping second-place 'Abstain by a narrow 2% margin. Compound D3M Risk Assessment @Sean of the Risk CU offers a deep dive into the newly activated D3M (Dai Direct Deposit Module). The post details the entire history of the D3M proposal before moving into a complete analytical breakdown of the mechanism. [Compound v2 D3M] Direct Deposit Module Technical Assessment @Derek of the Protocol Engineering CU provides a technical breakdown and assessment of the D3M module. Note that per the post, this implementation is viewed as “high-risk.” [Compound D3M] Compound Protocol & cDAI ERC20 Token CES Domain Team Assessment @dbkcan of CES-001 offers another D3M assessment; this time focused on the risk of onboarding cDAI (Compound’s interest-bearing DAI derivative). The overall contract risk was assessed as “medium.” Calls, Meetings, and Events Visit: Calls Calendar Last Week’s Calls ● Decentralized Voter Committee – Wednesday, December 7 th , 2022 – Cancelled ○ Be sure to follow the Endgame’s Discord Channel for the latest and freshest news and discussions! ● MakerDAO Governance & Risk Meeting #218 – Thursday, December 8 th , 2022 ○ Video / Forum / Forum Recap | December 1 - 7, 2022 / Slides ○ Selected Discussions: ■ November Financials: @adcv walked us through the monthly financial breakdown for MakerDAO. Check the written version of the report here. ■ Approval-Priority Voting: @LongForWisdom approached the issue of work prioritization within the DAO and presented Approval Voting as a possible solution. Read his forum post here. ■ Yearn Yield: Overview of MIP92 by @corn , its author. Upcoming Calls ● KYM #16: MIP92 | Onboard PSM USDC to Yearn - Wednesday at 12:00 PM ○ Join Link ● Decentralized Voter Committee - Wednesday at 2:00 PM ○ Join Link ● Delegate Office Hours - December 15, 2022 11:00 AM ○ Join Link ● MakerDAO Governance & Risk Meeting #218 - December 15, 2022 12:00 PM ○ Join Link Core Unit Office Hours ● Join Link | GovAlpha Governance Q&As - Mondays at 17:00 UTC ● Join Link | Sustainable Ecosystem Scaling - Tuesdays at 13:30 UTC ● Join Link | Protocol Engineering - Tuesdays at 15:00 UTC ● Join Link | 6S Capital - Every Other Wednesday at 14:00 UTC ● Join Link | Growth - First Wednesday of Each Month at 17:00 UTC ● Join Link | Governance Communications - Fridays at 18:00 UTC ⚓ Resources ▸ All Available Dashboards ▸ All Available Guides | Google Sheet ▸ Calls Calendar ▸ Core Units ▸ Delegates ▸ Forum and Maker Discord ▸ Forum Explorer ▸ Forum discussions - Governance Dashboard ▸ Governance Dashboard Tracker | Google Sheet Version ▸ Guides ▸ Job Opportunities ▸ Learning Portal and Technical Documentation ▸ MakerBurn ▸ MakerDAO’s Discord Servers ▸ Office Hours List ▸ Participation Tools ▸ Votes and Important Dates Calendar Disclaimer Disclaimer: This update is assembled by a group of members in the MakerDAO community. This does not serve as financial advice or an inducement to vote in any specific way. This update is for information and communication purposes only.