Overview
The GMX DAO recently finished the first term for all three committees, officially starting on October 28, 2024. The initial proposal approved the transfer of $40,625 USDC to the multisig wallet at 0x376C872e1C5C151f68A5fF28EfAdBC82F7Ed4ac1
Out of this, $35,250 USDC has been spent on committee payments, and $5,375 USDC remains unspent.
Breakdown of spending:
Governance Committee: $6,250 (1 member)
Listing Committee: $16,500 (3 members)
Security Committee: $12,500 (4 members)
Total spent: $35,250
Remaining balance: $5,375 USDC
The new 6-month committee term runs from May 1st to October 31st. The total cost for this period is about $36,000 USD. Since $5,375 is left over from the previous term, we are requesting $30,625 USDC to cover the remaining amount for this new term.
Committee Payment Structure
The payment allocations for each committee are outlined as follows:
Governance Committee (5 members): $6,000 USDC
Payment Terms:
Each committee member will be paid $1,000 per month for six months.
Notice: Four members from GMX Labs are waiving receipt of the honorarium as they are already indirectly compensated and aligned with the GMX DAO through contributor agreements.
Purpose:
Oversee and support DAO governance, ensuring efficient decision-making and proposal management.
Listing Committee (3 members): $18,000 USDC
Payment Terms:
​​Each committee member will be paid $1,000 per month for six months, the committee began functioning on May 1st, 2024.
Purpose:
Evaluate and approve new asset listings in line with DAO standards to maintain high-quality listings within the GMX ecosystem.
Security Committee (5 members): $ 12,000 USDC
Payment Terms:
​​Each committee member will be paid $500 per month for six months.
Purpose:
Ensure protocol security by managing access, overseeing critical governance functions, and handling potential threats.
Funding Request
The proposal requests approval to transfer $30,625 USDC to the 0x376C872e1C5C151f68A5fF28EfAdBC82F7Ed4ac1 covering six months of compensation for committee members across Governance, Listing, and Security. This funding is essential to support these elected committees’ ongoing operations and responsibilities, which play a critical role in the DAO’s growth and stability.
Requested Action
We request the DAO’s approval to fund committee payments for the next six months, as outlined, ensuring a continued focus on key governance, listing, and security objectives within GMX.
It seems unusual to be paying committee members in USDC rather than in GMX token.
In western companies, the big decision-makers (board members, c-suite personnel) often receive their compensation in company stocks rather than money, as it incentivizes them to make decisions that improve stock performance.
There’s already enough mistrust of the GMX community staff with the unusual way Botanix/Spiderchain bootstrapping was presented, it makes way more sense to tie payments to any community member (chat mods, committee members, etc) to the protocol’s token and its performance, rather than usdc.
Also it sends the wrong message when platform stakers have to receive their fees as gmx coin, while the very people overseeing gmx get their “fees” in usdc. It adds fuel to the argument that GMX token isn’t a desirable fee currency and should be replaced by usdc, the preferred fee currency of committee members.
I get that the May - October setup is already set in stone, but maybe post-October all members of the GMX community that receive a fee should get them in a uniform token.
GMX is highly volatile. To maintain fair and predictable compensation, we’d need to constantly adjust token amounts depending on price fluctuations, which creates overhead and uncertainty for both the DAO and contributors. To clarify, contributors from the Labs team are already compensated in GMX tokens, aligning with the protocol’s long-term success.
Committee members are not full-time they dedicate a limited number of hours per week (usually ~10 hours), and many already waive a significant portion of compensation. For instance, Labs team members on the committee don’t take any additional pay.
For recurring roles that are operational in nature (not strategic equity-aligned like long-term Labs contributors), USDC offers stability and clarity in budgeting and reporting, especially when community funds are involved.
That said, we agree that post-October would be worth exploring a more unified compensation model.
Hi Btcfever my outlook is slightly different for example of you work for coinbase. They don’t pay you in coinbase stock, you are paid in dollars. However as a committee member I personally wouldn’t have an issue with this.