BeethovenX

Proposal

Grant Music Directors the ability to deposit DAO Treasury funds with Aura Finance, and to move the current Rocket Pool BPT holdings to Aura Finance in order to earn Aura and boosted BAL emissions.

Further deposits to Aura Finance would be limited by the existing $200,000 monthly Music Director discretionary limit, or otherwise require approval by governance.

Motivation

The Beethoven-X governance framework requires governance approval prior to depositing treasury funds into a new protocol. Moving funds to Aura allows a higher earnings rate of BAL for a given BPT by using Aura’s veBAL boost, and additionally allows the earning of AURA.

Earnings of BAL and AURA can be used as strategic assets, while also increasing total treasury holdings.

This proposal will be the first in a series of BIPs aiming to get our Treasury assets back to earning following the removal of Multichain bridged assets from Fantom in early June. The focus on approving Aura first is so we can make the most of the upcoming Aura earnings boost.

Impacts/Risk Assessment

1. Granting the ability to farm on Aura allows for higher earn rate on treasury assets
2. There would be an added layer of smart contract risk, but Aura Finance has a track record securing hundreds of millions of dollars on Ethereum and their Optimism contracts are covered by a one million dollar bug bounty as well as having undergone multiple rounds of security auditing.
3. Moving our BPT from staking directly on Beethoven-X/Balancer to staking on Aura does not remove the assets from Beethoven-X/Balancer liquidity pools.

Specification/Execution Plan

Following approval of this proposal, Music Directors will have the ability to deposit DAO Treasury assets with Aura Finance.

Treasury’s existing Rocket Pool BPTs will be unstaked from Beethoven-X/Balancer and then staked on Aura Finance Optimism contracts. Otherwise the existing monthly discretionary limit of $200,000 will not be altered. BAL and AURA earned will be used to increase DAO Treasury veBAL and vlAURA holdings, though this may be changed by future governance vote.

All movements of BPTs, BAL and AURA will be within or between the DAO Treasury addresses on Ethereum 0xea06e1b4259730724885a39ce3ca670efb020e26 and Optimism 0xea06e1b4259730724885a39ce3ca670efb020e26.

Further information on Aura Finance can be accessed here: https://app.aura.finance/