Botto

Summary

This proposal continues the 20% Protocol-Owned Liquidity (POL) allocation from BIP-59, without a fixed BOTTO amount, using the up to 4M BOTTO ceiling from BIP-42 as a cap. The 40/40/20 revenue split (Active Rewards / Treasury / POL) would persist for ongoing Botto sales, including weekly auctions, until modified by future governance.

Rationale

BIP-42 authorized 4M BOTTO for liquidity but lacked implementation until BIP-59 allocated 500K BOTTO. With BIP-59 nearing completion, this proposal ensures uninterrupted POL growth using the same 20% allocation model.

POL enhances long-term sustainability, improves liquidity depth, and earns trading fees for the protocol—especially important with liquidity mining ending on October 15, 2025, and no new solutions (e.g., CEX listings or OTC deals) materializing.

Proposal Specification

1- Maintain the 40% / 40% / 20% split for ongoing auction revenue.
2- Exclude fixed allocation; instead, POL draws from the existing 4M BOTTO cap in BIP-42.
3- No end date: continues until halted by governance or the 4M cap is reached.
4- Applies only to recurring auctions and secondary sales royalties by default. Other splits may be considered in proposals for other special projects and sales from the treasury. 5- Use current mechanism: deploy POL in Uniswap V2 BOTTO/ETH pool on Ethereum mainnet.

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Criteria of Success

• Continued POL growth with no disruption.
• Clarity and simplicity in execution.
• Upholding DAO commitments in BIP-42.
• Protocol earns revenue from LP fees.

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Risks / Disadvantages

• Potential opportunity cost of funds used for POL.
• May need future tuning based on market or treasury conditions.