Honey DAO report — September 2022
September marks the beginning of a new era for Honey Finance. This month, we’ve seen the various parts of Honey come together after months of hard work, as we were able to fully test our new design of NFT loans, and see our governance and open-source efforts taken to the next level.
This September issue of our monthly glasnost features:
Mainnet deployment of Honey Finance
The next steps after HIP#4
Beekeeper NFTs
Audit
ETH beta
NFT AMMs
Financials
Mainnet deployment
Following an audit from OtterSec, our programs have been deployed to mainnet and are being tested under a private link. This link has been shared with key community members to gather feedback over the last couple of days, as we prepare to share it with the entire ecosystem.
HIP#4
Our biggest Honey Improvement Proposal to date was announced on September 21st.
Including:
Burn mechanism for Honey Genesis Bees
Upfront veHONEY for NFT holders New Beekeeper NFT collection
The vote has already passed the quorum with over 10 million votes and will be finalized on October 4th. After being approved, the team will continue to unveil details of the upcoming beekeeper NFTs.
HIP#4 is uniting the community around veHONEY, giving more focus to the project and more clarity to future investors.
Beekeeper NFTs
Honey Beekeepers are the second NFT collection of the Honey DAO, following the Honey Genesis Bees.
At first, Beekeepers will serve as a reward for participating in HIP#4. While the latest governance proposal removes NFTs through burns, we recognise the power of JPEGs in building a strong community around our protocol. We want to keep NFTs at the heart of our community, which is why we created Beekeepers to be the go-to PFP for DeFi users on Solana, synonymous with the innovative and decentralized spirit that defines Honey.
Utilities of the Bee NFTs are transferred over to the Honey Beekeepers upon being burned.
This means Beekeepers don’t receive the HONEY inflation (since it was minted upfront) but have access to the experimental features being developed by Honey Labs.
The first experimental feature for Beekeepers was completed in September and will go live in the coming weeks. It is an entirely new and powerful primitive for DeFi, which will make lending on Honey unparalleled. Beekeepers will be able to test this product and yield opportunity as we continue experimentation with the product.
Audit
OtterSec has completed the full audit of our Solana programs, marking the beginning of our open-source journey.
Both their team and ours have been working for the last three weeks to ensure that our programs are as safe as possible for users, adding the final security verifications and patching potential vulnerabilities. The full audit report will be made available in the coming days.
This month also featured an in-depth description of our open-source efforts, written by Heron, our head of developer relations. We strongly encourage everyone to read it to learn more about the incentives being created within the DAO which bring in new talent from across the ecosystem.
Hint: The team’s next Honey Improvement Proposal will focus on the theme of open-source, so staying up to date with these efforts will give you the proper context to tackle the next big milestone in Honey’s governance.
Cross-chain
September has been a very exciting month for cross-chain NFTs, with Magic Eden deploying on Ethereum, and alt chains witnessing a surge in NFT activity.
As our code approaches completion on Ethereum, we also prepare to launch on EVM-compatible chains, forming an early presence in their NFT ecosystems. We’re incredibly proud of our work on Ethereum over the past couple of months, offering the benefits of Honey’s innovative model and research to all NFT ecosystems.
While the programs are being polished on Ethereum, most of our efforts currently are on the integration with our new dapp’s front end, featuring a completely redesigned UI/UX.
Financials
This month is our first month handling the DAO financials from our official ETH and Polygon multisig with Gnosis. This also means all of our expenses can be tracked easier as we pay open-source developers, contractors, and artists. If you would like more information on this, please look to our DAO financial page on the Honey Resources notion.
Now let’s dive into the data over this month. Our weekly total spending (rounded up) can be seen below:
With this next image being the chart of the values seen above:
We can break down these costs into sections to better understand where we have “burn”.
As you can see we have had this increase in weekly burn due to additional artist costs, along with our growth in the communications/business development area of our team. This, is of course, due to us approaching launch and needing to truly develop and grow partnerships and deals on behalf of the protocol.
Here is an updated chart on the projected runway:
It also needs to be known that all of our short positions on SOL have been closed as we transfer funds onto the Ethereum network. We are mostly in Stables which is why we have combined the stable and total runway into one number. Some of our funds remain on the Solana network, however, to continue to pay audit and contract fees.
Once these are completed and the majority of what is currently left on Solana will be migrated to the Ethereum or Polygon networks.
In this coming month, we will begin to discuss diversifying our stable holdings as we look into stables like BUSD, LUSD, MIM, and FRAX. The community will be involved in the discussion and later, the decision on whether to execute this diversification.
With this being said, we plan to get a start on holding tokens such as ETH and Polygon in order to handle fees on these networks for contract deployment, contractor payments, etc.
Looking towards the future/Conclusion
We will be having a section next month on the profits and volume of our protocol! It’s been a long journey but here we are.
With a couple of HIPs in mind for the DAO and its treasury, we look forward to hearing all of your ideas and suggestions for management. Make sure to let us know your suggestions for this report and our protocol on https://feedback.honey.finance so we can add them in October.
Have a wonderful month everyone and keep on Buzzing
-
theSailor (aka Perkins) CFO, and Tom Pandolfi CEO
