Dopewars

GM DOPE DAO

DOPE DAO currently has platforms like Dopewars.gg and YouTube that are being hosted by individual Members and then paid for by their personal Credit Cards. Shout out to Faces for doing this for the DAO, we need to relieve him from this burden. Now the DAO is a Legal Entity it can look at having a DAO owned facility. This facility could come in different forms from simple provision of a card that can pay FIAT expenses, to full on Banking set up. The purpose of this DIP is to provide a solution that best suits the DAO’s needs.

BANKING

Conducting research into DAO banking I was given a contact to investigate banking options with Western Alliance Bank who have organised bank accounts for DAO’s in the past. Working through their onboarding documents I could see that the process and requirements are quite onerous. See below:

Needed Information:

• New Account Application
• If any signers are not listed on the Beneficial Ownership Certification, please also provide their address
• Beneficial Ownership Certification
• Complete in its entirety and sign electronically
• If any individual owners are not U.S. citizens, please also provide a copy of their passport and proof of address
• If any entities are listed, please provide full business name, address, and EIN
• Operating Agreement
• Most recent independent audit report
• Entity Organizational Chart including all intermediary owners (If any entities are listed, please provide legal business name, address, and EIN)
• Primary Documentary Verification (Articles of Organization, Certificate of Formation, etc.)
• Pitch deck/presentation materials
• Audited Financial Statements and/or Tax Returns (if applicable)
• State specific document certifying business name (if applicable)
• List of foreign jurisdictions the business transacts in and a copy of all foreign licenses and registrations (if applicable)
• List of virtual and fiat currencies the business transacts in or permits to be traded on its platform (if applicable)
• Copy of any written policy, procedure, or control in place for monitoring the digital currency trading activity (if applicable)
• Previous three months bank statements (if applicable)
• KYC AML Policy/Program (if applicable)
• FinCEN MSB Registration (if applicable)
• Any State and Foreign MTLs (if applicable)

This list is not impossible to achieve, but perhaps it is not required for DOPE DAO at this time. The full range of banking facilities might not be needed.

ELECTRONIC MONEY INSTITUTION

An EMI is a type of financial institution that facilitates digital transactions on behalf of clients. Typically they offer fewer services than a traditional type Bank, but they can be opened quicker with less onerous onboarding requirements. Potentially, a Debit Card provided by an EMI would be suffice for DOPE DAO’s requirements. Upon recommendation from MIDAO I was given a contact with a group called Cavenwell Group. https://cavenwellgroup.com/https://cavenwellgroup.com/ . This organisation facilitates the set up of such accounts.

Details:

• Cavenwell Group would charge $1000.00 USD to set up such a card, only payable on successful completion. No set up of a card then no cost.
• With this facility an account would be opened in the name of the DAO with an EMI, that issues a physical or virtual USD or EUR card. Physical delivery of the card could be at the registered office in Marshall Islands. The card details could be shared securely or you could access the virtual card in a portal.
• The account can be funded with ETH, which you can then exchange in the wallet to fiat EUR/USD which the card will be linked too.
• There’s no further ongoing fees from Cavenwell Group, but there will be transactional based fees on the card. These are between $20-$90 to issue/deliver the card, and then 0.95% - 1.5% for conversion/payments.
• There will likely be the requirement that one Member would have to KYC. It would make sense that I could do this seeing as I have already completed KYC with MIDAO.
• Cavenwell have put together a proposal that would authorise them to begin the process of getting a card with an EMI. See link here: https://go.ignitionapp.com/client-portal/e0e8a5ba0de4be5c33cbb0a482d0779460ffec61ab65f32e6a9ba2725ea0666fc8d403b745a68e12f0c86d7436/proposal/prop_mrdepfg7me3aahialria/option/propscen_mrdepfg7me3aahialrjq/message
• There shouldn’t be any issues with using this for Saas type subscriptions, from a vendors perspective it’s just a normal debit card as you would have personally.

I feel as though the DAO does not currently need a bank account. Obtaining a card through an EMI with Cavenwell Group could fulfil our needs. A Debit card will be easier to manage, operating pre paid will be less risk for the DAO and a system like this will be easier to hand over between DopeLabs Members as they interchange over time. Therefor this proposal seeks confirmation that we should sign and accept the proposal that Cavenwell Group has provided. They will then canvass EMI Card options and if they are successful in establishing one for the DAO, then receive payment as described in the proposal.

For you consideration DOPE DAO.

Tani.