Discretionary Budget Thread
Authors: Uniswap Accountability Committee (UAC)
As per delegates’ request, we are publishing this forum thread as a way to disclose the status of any discretionary spending from the UAC budget. For context, the DAO voted to grant discretionary capabilities to the UAC for allocating capital towards high-impact initiatives. This budget provides the UAC with the necessary flexibility during extenuating and time-sensitive initiatives, as the customary budget requests require a 4-week or longer governance process, and time-limited or holiday-aligned deals may fall through.
This thread will be updated at the start of every month, reporting the expenditure—or lack thereof—from the previous month. Each update will include:
- The current balance
- Adjusted balance (accommodating for UNI price fluctuation)
- The corresponding surplus/deficit of the “Incentive Package Budget” Account. This Account holds UNI that is intended to be utilized for incentivizing pools on target chains, along with the associated distribution costs, like payments to Merkl.
The discretionary budget was instituted in December 2024.
Mechanism
- To set limits on spending, the UAC will only be able to draw capital from the surplus while the surplus is at least 50% higher than the Current Balance.
- This leaves a minimum 33.3% buffer for the price to decline and not cut into the payables associated with the balance.
- Only incentive programs with $250k worth of funds or less can be used discretionarily.
- All 5 of the UAC members have to agree that a sourced deal is “high-value.” Otherwise, without unanimous agreement, discretionary funding cannot be allocated.
