Summary
This treasury decision is for Q2 2025, to fund Association operations with ~$737k USD equivalent (a drop of ~$802,303.89 from Q2 2024).
Overview of request to fund the Badger Association for Q2 2025:
Accounting for Q1 variances, the actual request in tokens is as follows:
Contractor Fees
100% of the Contractor Fees category is related to product development, software engineering, smart contract development, security and risk management, and the operations. Similar cost as Q1 request.
Consulting Fees
BALCO, FinOps, systems, and security costs. See Appendix 1 for a full list of service and software providers.
Marketing Fees
Marketing fees have been temporarily removed until a Strategic Plan is finalized with the help from the Treasury and Association. Strategy will drive the go-to-market strategy.
Audit Expenses
Higher this quarter due to possible new development requirements. Contractors include Guardrail, Hypernative, Spearbit and others (security, web2 and web3 monitoring, and alerts).
Q1 was higher than normal due to the inclusion of the BSM audit. Some costs were covered by the forecast for auditing in general, but the full competition price was higher than expected. Q2 request is building in a buffer for the potential for more audit requirements around BSM and potentially future versions of BSM releases.
Legal and Administrative Fees
Legal fees increased due requests for information on governance issues around the DAO. Travel is the same.
Q2 Planned Milestones
The following product initiatives are currently forecasted for development in Q2:
- BSM deployment and integration (DEX partners)
- Develop a high level cross-chain strategy
- Develop eBTC cross-chain wrappers using LayerZero or a similar technology
- Develop cross-chain escrow for BSM compatible assets
Web2:
- Continue enhancing BSM UI Functionality
- Implement comprehensive cross-chain architecture for the UI, complete with end-to-end (e2e) tests and unit tests
Q1 Delivered Milestones
The following product initiatives were developed in Q1. BSM is currently being tested and audited and continuing through the first two weeks into March and the products will be live in production after that time.
Web3
- steBTC V1
- Bitcoin Stability Module (BSM)
- Support eBTC protocol with monitoring, alerting, and incident response partners
- Provide technical advisory and execution for BALCO recommendations
Web2:
- Migrated both SDK and UI components to Markl V4
- Replaced the deprecated WalletConnect library with Reown, ensuring continuous authentication functionality without service disruption
- Integrated CodeQL analysis tools and remediated all identified security vulnerabilities, strengthening the platform’s overall security posture
- Developed Safe Wallet Integration - completed comprehensive Safe wallet implementation, currently in final review phase before production deployment
- Implementing BSM feature in both SDK and UI, complete with end-to-end (e2e) tests and unit tests (in progress)
Operational milestone - Execute transparency plan
The Association will continue to share Association insights provided through updates and reporting:
- Technical development progress against roadmap
- Product, operations and growth updates
- Financial performance (i.e. budget vs actuals commentary)
- Some functions are temporarily on hold while legal issues are being resolved in the DAO
