1. No Formal DAO Approval for December 3rd
This date was never agreed upon by the DAO. A formal vote must occur to establish an execution date. The December 3rd date was unilaterally chosen by a single delegate who authored P-014, which included no inherent timeline for implementation. A ‘stay’ proposal is unnecessary, as no formal launch date was ever established. Allowing the DAO to set this date through a vote is the most transparent and democratic path forward.
Some have claimed that the date was implied through comments made after the vote or through social media announcements. However, these were informal communications that occurred after the voting period had ended and were never included in the proposal itself. It would have been impossible for DAO members to consider or approve a date that was not part of the original proposal.
Allowing the DAO to set this date through a vote is the most transparent and democratic path forward. Relying on informal communications undermines the integrity of governance and risks disenfranchising DAO members.
2. Shifting Market Conditions
P-014 passed in October, during one of Tezos’ lowest points in years in terms of price, transaction volume, and user activity—a moment many would call the market’s ‘bottom.’ Since then, the Tezos ecosystem has experienced a remarkable resurgence, with increasing transaction volumes, rising XTZ prices, and growing user activity. These positive trends provide a unique opportunity to reassess and align our strategies with the current bullish momentum, ensuring we maximize value from the DAO’s most valuable assets, 1D and 2D domains.
3. Reassess for Economic Optimality
Even if the sale of 2D and 1D domains proceeds, it is critical to optimize the timing, structure, and methodology in light of current market conditions. For example, switching from Dutch auctions to English auctions could significantly enhance outcomes by fostering competitive bidding.
Furthermore, selling 1D domains before 2D domains is economically and strategically counterproductive. Sequencing the sales this way defies market logic, as 2D domains should establish a foundation for value and demand ahead of 1D domains. Scheduling the two sales just seven days apart also appears arbitrary, prioritizing convenience for implementors over economic optimization. Such an approach risks severely limiting the DAO’s ability to maximize value from these critical assets. A reassessment is imperative to ensure alignment with sound economic principles and the DAO’s long-term success.
4. Flawed Economic Planning in P-014
P-014 was conceived alongside several other plans during a period of desperation and pessimism. The DAO and Tezos Domains were at a particularly bleak point, and these proposals were drafted with limited input and little confidence. They were designed as experiments to try everything and see what worked, without considering how they might counteract or undermine one another.
The result is a plan lacking economic rigor or foresight. For instance, selling 2D domains just seven days after 1D domains reflects rushed and arbitrary planning, devoid of clear economic logic. With the DAO and Tezos Domains now in a much healthier position, there is an urgent need to revisit and refine P-014 with strategies that reflect the current environment and support long-term growth.
5. Misinterpretation of Governance Principles
Claims that the DAO cannot revisit or amend P-014 are both incorrect and antithetical to the essence of self-amending governance. The DAO was designed to evolve—to create, amend, and revoke its own laws as circumstances require. Blocking amendments undermines these principles and hinders the DAO’s ability to respond to changing conditions. Suggesting that a proposal to amend P-014 is an effort to “overturn the DAO” is misleading and contrary to governance integrity. It is the DAO’s responsibility to remain flexible and adaptive, ensuring decisions reflect the community’s collective will and best interests.
6. Better Plans Already Exist
The DAO’s primary goal must be to generate substantial early revenue to secure the continuity of operations without sacrificing long-term potential. Proceeding with P-014 as is risks locking the DAO into suboptimal outcomes that could inadvertently harm its mid- and long-term prospects. Better alternatives, aligned with current market conditions, have already been proposed but have been obstructed by centralized influences clinging to outdated plans. Allowing the DAO to vote on these alternatives ensures we avoid unnecessary economic harm and align with a forward-looking, community-driven strategy.