ICCP-6

IMPLEMENTED

Simple Summary

This proposal funds the Safety Pool (IIP-29) with revenue generated through the royalties of Illuvitar products and Land. Reserving these funds helps to mitigate the risk of uncertain macroeconomic conditions by providing an emergency source of runway to sustain DAO operations, if necessary.

Abstract

The community has proposed using the revenue generated from royalties to fund the Safety Pool. This proposal will be retroactive, and will include royalties already collected but not yet distributed. 100% of revenue from royalties of Illuvitars and Land will be held in the Safety Pool (IIP-29) up until the maximum quantity denoted in USD outlined in IIP-29, or until authorized for release or use (by future ICCP) by the council. Once the Safety Pool is filled, any future royalties of Illuvitar products and Land will be transferred to the Vault, to be treated as normal revenue and distributed to stakers (ICCP-3).

Rationale

Challenging macroeconomic conditions exist that may adversely impact the financial health of the DAO prior to achieving sustaining recurrent revenue streams. This proposal is an application of the risk management strategy established in IIP-29 that aims to create a greater financial buffer that can extend the development runway if necessary.

Discussion

The Illuvium community has responded favorably (over 42 upvotes) to royalties being added to the safety pool.

Broad community support has been shared in Discord, as seen in the following discussion link.

• https://discord.com/channels/760344898200666112/1096046857358155927