Summary
The upcoming NOTE staking module has created the need for a new role in the Notional community - the treasury manager. This treasury manager will be responsible for executing the NOTE re-investment plan agreed upon by the community.
We propose that, pending a KYC / background check, Rashomon should fill this role. Rashomon is a good candidate for this position because he has been an early and engaged community member, he has extensive financial markets experience, and he is very interested in the role.
Notional treasury manager description
The current scope of the treasury manager role is narrow and limited to the NOTE re-investment plan. Additionally, the Notional smart contracts force the treasury manager to operate under a narrow set of constraints designed to limit the community’s risk and exposure to a potential bad actor. Over time however, we expect that the scope of this role will grow as the DAO’s finances become more complex and the Notional community continues to decentralize.
The treasury manager will add value by executing the community’s NOTE re-investment plan efficiently and offering feedback that will help improve the structure of future re-investment plans. Feedback might include trading strategies or suggestions to the Notional community for further functionality that could help improve Notional treasury management outcomes.
Contract details
- Contract term: 3 months
- Expected time commitment: 15 - 20 hours per month
- Compensation: $4,000 per month, paid out monthly in NOTE
- Performance compensation: This role will not offer performance compensation for this initial term given that this role is so new. However, it could be useful to offer a performance compensation component in successive contract terms once the Notional community has a better idea how to measure performance.
Role details
- The treasury manager can take the following actions :
- Pull funds from Notional system reserves onto the treasury manager contract
- Pull the accrued COMP incentives onto the treasury manager contract
- Submit trades agreed off-chain via 0x
- Invest ETH into the 80/20 NOTE/WETH Balancer pool
- The treasury manager is subject to the following constraints (enforced at the smart contract level):
- Can’t pull reserves from Notional unless the reserves are greater than the reserveBuffer for that specific currency
- Off-chain trades signed by the treasury manager can’t deviate more than X% from the Chainlink oracle price at the time of submission
- ETH investments into the NOTE/WETH Balancer pool can’t move the price more than X%
- ETH investments into the NOTE/WETH Balancer pool are subject to a XX hour cooldown period. Investments can only be made once every XX hours.
Proposed candidate - Rashomon
Rashomon holds a CFA and spent 19 years in traditional asset management as the manager of a range of fixed income and absolute return portfolios. Before resigning in April 2021 he was the director of an asset management firm and lead manager on portfolios worth over $1.5bn. He was a manager of multi asset funds with experience that extends across bonds, inflation linkers (TIPS), Credit, Currency and Derivatives. With a focus on risk management, credit quality and downside protection, he achieved consistent top quartile performance during his career. Since April 2021 he has been managing a private portfolio in the crypto space.
Rashomon would bring to a strong financial understanding, a record of performance, and a demonstrated interest in Notional to the treasury manager role.