Request for clarificaiton: Liabilities + Transparency Reports

[linxx]

Hello all,

Through this post, I’m hoping to receive clarity around two key pieces of information that remain opaque at the moment and are, in my view, crucial when proposing buybacks, redemption, and the future tokenomics of ANT.

1. There has been numerous mentions by @luis (happy cake day btw) and @Joan_Arus regarding $40m in current liabilities. Luis and Joan can you breakdown the $40m in liabilities outstanding by line item? Taxes were mentioned as one of the contributors to the total, but if the association is taxed at a 5% tax rate that only equates to $8.5m (at a $170m treasury). What other liabilities exist? Clarity on this is extremely important to get a better sense of what the Book Value of ANT really is if we’re to continue discussions around buybacks and ragequit.

2. A previous poster highlighted a deleted transparency report. Why was that report deleted? Are the compensation figures for the Association ($3.9m) accurate? Do all five AA members receive salary, or do the six General Assembly members also receive a salary?

Thank you for the additional information,

[dcfgod]

Further adding to #1 - when the dao spent money in the past was there a tax? Like when we moved the $12M to contributors?

If not, then why can’t we just do the same thing? Or hire a market maker to do the buyback with the amt of funds required?

[luis]

@linxx

Luis and Joan can you breakdown the $40m in liabilities outstanding by line item? Taxes were mentioned as one of the contributors to the total, but if the association is taxed at a 5% tax rate that only equates to $8.5m (at a $170m treasury). What other liabilities exist?

I’ll let Joan break down liabilities + tax brackets, he knows better. The whole tax bracket situation depending on what the DAO does is a massive pain in the ass, and I wonder when does that chain break?

E.g. say there’s 12% taxation if Zug considers the DAO isn’t fulfilling the original vision of the project after 4 years of the DAO being live. Who pays those taxes? Will Zug be tracking every transaction that comes out of the DAO, evaluating whether the intent satisfies that of the project, and choose the tax bracket?

Personally I’m getting more and more comfortable with paying 12% straight away, transferring funds to an unwrapped entity (a pure DAO, if you will) and not having to worry about this.

I’d love clarification on that myself, as that legal research happened after my tenure.

@linxx

Do all five AA members receive salary , or do the six General Assembly members also receive a salary?

Yes, $2.5k/mo + 50k ANT vested over 3 years (committee membership period).

GA members do not receive any comp. GA meetings happen once a year, so time commitment is really low.

@linxx

A previous poster highlighted a deleted transparency report. Why was that report deleted?

God knows. @AClay ?

@dcfgod

Further adding to #1 - when the dao spent money in the past was there a tax? Like when we moved the $12M to contributors?

I hope someone can correct me if I’m wrong, but I think the AA is paying 5% on the background for those costs?

[pilezitin]

Im struggling to see how $2.5k per month for 5 AA members totals up to $3.9m? can you provide further clarity on this and also give detail into how 5 members managed to rack up over $400k of expenses over one year? Thanks

[AClay]

All of the teams were in the AA last year, and were spun out as separate proposals in to the DAO in their own entities.