Outline

• Video summary (link)
• Budget / business model (link)
• Overview
• Budget
• Team
• Property Selection
• 90 Day Plan
• Post-close
• Property Multisig

Video Overview

https://vimeo.com/851467740

Budget Estimate

https://docs.google.com/spreadsheets/d/152kX9W8a-bSq1x16h2uPf-9Ojhm6yiqT6a2IgU9ShOc/edit#gid=0

Overview

This CIP authorizes the purchase of a multi-functional space in Denver, Colorado that will serve prominently as CityDAO’s City Hall. The space will be collectively owned by CityDAO and available for Citizens to co-work in, serving as a home base for Citizens to build especially during ETH Denver.

The space can be opened up (or rented out) for events, hackathons, build weeks, and used as co-working to achieve a sustainable business model. This CIP allows for the acquisition of the property but does not force CityDAO to acquire one or operate any specific activities.

Potential Uses & Benefits

Once acquired, the following uses can be immediately considered:

• Flexible co-working space for Citizens - the "City Hall" for CityDAO.
• Community events, hackathons, and educational programs.
• Develop local partnerships and sponsorships.
• Any other community-led initiatives that align with CityDAO's values and objectives.
• Citizen Benefits where permitted

By securing the property, this CIP provides CityDAO with the flexibility to explore various optional avenues for community engagement, innovation, and revenue generation, as deemed fit and approved by the DAO's governance mechanisms.

Budget:

Total Allocation: $1,630,000

• Property Cost: Up to $1.5M Released by multisig upon final property selection
• Operating Expenses Reserve Fund: $100k (property taxes, utilities, maintenance, other operating related expenses) Released by multisig upon final property selection
• Project Budget: $30k (travel, legal, brokers, furnishing, etc) Released by multisig upon passage of this CIP If we the full Property Cost is not spent, up to 10% of the extra funds may be allocated to the OpEx Reserve Fund

Flexible allocation The budget outlined is based on current estimates and while it will not exceed 1.63m, may be re-allocated within these categories based on actual needs and unforeseen circumstances. Upon approval from the CityDAO Multisig signatories, the team may redistribute funds between budget categories (Property Cost, Operating Expenses Reserve Fund, Project Budget) up to a limit of 10% of the total allocation without requiring an amendment to this CIP.

Project Team:

This project is fundamentally a DAO-driven initiative and CityDAO citizens retain the ultimate authority and responsibility for the project. While the DAO provides oversight and final approvals, a dedicated Project Team is in place to execute on the DAO's directives and manage day-to-day operations. The Project Team serves as an extension of CityDAO, carrying out the technical, operational, and strategic tasks necessary to bring the project to fruition.

Team Members:

Scott: Lead Coordinator Roles: Property tours, broker liaison, contract management, and other necessary duties.

Lyons: Strategy & Operations Roles: Community engagement, space utilization, and other necessary duties.

Specialists: Legal advisors, property managers, and architects Roles: To be hired from the project budget as needed.

HQ Task Force: Community Liaisons Roles: Real-time updates, property vetting, and community feedback

Note: While the Project Team will endeavor to select and operate the best possible space, there are no guarantees concerning the quality of the space, revenue generation, or specific use of the space.

Property Selection:

Selection Criteria:

• Convenient access from ETH Denver venues
• Newer or remodeled construction that is low maintenance
• Size and layout conducive for co-working and events
• High quality space with good natural light

Selection Process:

Sample Property Selection Process and Criteria

While the criteria and sample process outlined are designed to guide the property selection towards the most favorable outcome for CityDAO and its members, it is understood that unique opportunities and challenges may arise. Therefore, the Project Team reserves the right to adjust these parameters as deemed necessary for the benefit of the project and community.

Sample Properties

821 22nd St, Denver, CO 80205

1641 California St, Denver, CO 80202

5134 W 29th Ave, Denver, CO 80212

90 Day Plan - Tentative Sample

0-30 days: After the CIP passes, a search will immediately begin for properties. Scott, Lyons, and other interested Citizens will fly out to Denver and tour properties to get a feel for the market and our options. The initial $30k will be converted to fiat for travel to Denver, broker fees, and in preparation for making a deposit. We'll start sharing our favorite properties with Citizens in Discord. 30-60 days: Narrow down the list of properties. Record video tours of the properties, do diligence and put together a plan on the estimated costs and benefits of owning each of the properties. For each property, we will compile a report, video tour, and share them for feedback with the DAO. 60-90 days: If a promising property is identified, we will present it to the DAO on a community call for feedback, questions, and comments. After identifying one we are excited about, we will ask the DAO to do an informal "temp check" vote on that property (not a CIP). If the vote passes, the multisig will offramp up to $1.5m for purchase of the property and transfer $100k in reserve funds to the Property Multisig.

Post-close

After closing on the property, we will plan a CityDAO Build Week where we will invite citizens to come set up the space and help with furnishing, signage, and decorations. We will also try to involve remote Citizens who cannot attend in person for things like design and ideas for the space. Budget permitting, we can subsidize travel and lodging for interested Citizens.

Property Governance and Oversight Multisig

After acquisition, the property will be overseen by a multisig consisting of Scott, Lyons, and one independent member appointed by the CityDAO Multisig or CityDAO Council if the CIP authorizing its creation passes. They will steward the reserve funding in the multisig, from which they will handle things like property management, taxes, and ops hires. Property Multisig shall make best efforts to ensure the property is well kept and managed.

Contingency Plans

If City Hall is unable to sustain ongoing operations due to lack of revenue, management conflict, or other unforeseen circumstances, then the property shall be sold and all funds returned to the CityDAO treasury.

TLDR: This proposal enables the t0wn team to reallocate the resources from Stage 1 of the t0wn project toward building two apps that will more immediately and concretely benefit the t0wn project and CityDAO as a whole. The overall plan for t0wn has not changed.

This proposal asks for only $1 of additional funding to secure a quorum of 250 votes. Other than that, we are merely asking for the ability to reallocate funds that have already been sent to our treasury. We have removed our request for additional funding based on the responses in the forum, which we take very seriously. To us, t0wn is a community made of its valued members, and compromise is the language of cooperation.

OVERVIEW

The t0wn team has been meeting weekly for months. We’ve had several meetings with the Próspera team about possibly acquiring real estate in it’s first tower as a first physical hub for t0wn. Those discussions remain ongoing. We’ve had all sorts of contact, discussion and meetings with potential member DAOs. Our aim is to reallocate the remaining funds toward building apps that will help push this project forward.

As of today, a little over $54,000 remains in the t0wn treasury. Our initial CIP called for $32K in t0wn team compensation and $20K in discretionary funds. $1K compensation has been paid out per team member ($4k total) and no other money has been spent. Based on our internal weekly discussions, meetings with other DAOs and projects, Twitter spaces and independent research, we are clearer on how we think the discretionary funds should be spent.

FUNDING

We would like the ability to reallocate the remaining funds toward:

1. A dominant assurance smart contract
2. A identity verification app that KYCs individuals to global banking standards and ties the verified individual to one and only one ETH address with a soulbound token. This app will consist of two components:
   1. KYC functionality - for example, a custom front end that utilizes the API of a third party KYC service like Plaid.
   2. A NFT smart contract, likely employing the ERC-5484 standard for soulbound tokens.
3. Legal costs relating to analyzing the appropriate DAO structure

PROJECT DETAILS

Assurance contract: Our initial t0wn STAGE 1 plan was to have DAOs sign LOIs stating their intent to contribute to a t0wn treasury to buy land for a “DAO hub.” We decided it would not only benefit t0wn, but also CityDAO and the web3 community at large if we figured out how to program the essence of an LOI into a smart contract. Utilizing Alex Tabarrok’s Dominant Assurance Contract idea, we will create a smart contract where entities can pledge money toward a public good (like t0wn). If the funding threshold is hit by a certain deadline (which is programmed into the smart contract when it is deployed), the project gets funded. If the threshold is not hit by the deadline, everyone gets their money back and those that contributed the earliest get a small monetary “prize” for having been the first movers / believers. Details around the prize mechanics will be sorted out during development, one key component being the prize is big enough to incentivize early contribution but small enough to disincentivize entities wanting the project to fail.

Building a dominant assurance smart contract will not only be a boon to t0wn and CityDAO, but also to anyone who wants to fund a public good on the blockchain without using methods such as Juicebox that take a significant percentage of funds.

Identity Verification: Part of having a community is ensuring that people are not sybils, that identities can be verified. Rather than using a method such as NFT + Gitcoin Passport or Proof of Humanity, we would like to offer individuals the ability to KYC to global banking standards, verify ownership of a wallet address, and then marry the two with a soulbound token. We plan to use the ERC-5484 standard for soulbound tokens which allows both the issuer and the holder to burn the token - the former being necessary in case of identity fraud and the latter being necessary in case the holder wants to disconnect or move their identity to a different address.

RELATIONSHIP TO THE ORIGINAL t0wn CIP (IPFS #QmWXdW6)

This proposal augments STAGE ONE of the original proposal by allowing additional uses of the funding allocated by that proposal. It also adds an additional potential STAGE TWO trigger—a deployed assurance contract that successfully raises at least $750k will automatically trigger STAGE TWO. The t0wn team will determine which avenue to pursue (ie signed LOIs or raising via assurance contract) following development of the latter.

BENEFITS TO CITYDAO CITIZENS

• All the benefits outlined in the original t0wn proposal remain.
• CityDAO Citizens will be able to use the app at cost for a period of one year after the app is launched, subject to reasonable volume of usage and our team’s ability to handle such volume. We will make best efforts to allow CityDAO Citizens to use the app at cost for longer than one year, again subject to reasonable volume of usage and our team’s ability to handle such volume.
• Open use of the dominant assurance smart contract and the ERC-5484 soulbound token contract.

OWNERSHIP OF WORK PRODUCT

• The dominant assurance smart contract and the ERC-5484 soulbound token contract will be open source.
• The rest of the KYC app will be owned by the Friends of Town Foundation corporation.