Costs

There are three primary cost centres within our model that require funding, listed below. There is no requirement here to go into more detail as there will be multiple unforeseen costs associated with DAO off-chain operations.

• Treasury operations
• Commercial operations
• Land-use oversight 

To mint GST, land can be funded in different ways, as outlined in the previous chapter. These funds generally do not cover any other expenses or off-chain DAO operations, therefore additional sources of financing are required. 

Such funds can come from: 

1. Direct revenue from land-use;
2. External investment into the operational company;  
3. Indirect financing via 3rd party partnerships; or donations. 

Direct DAO revenue

Land is monetised in adherence to the constitutional limitations under the oversight of DAO members. There are three primary sources of revenue from direct partnerships between the DAO and Land Stewards:

• Carbon credit projects / sponsored conservation / nature-based credits 
• Sustainable ecotourism partnerships
• Regenerative agriculture partnerships

The DAO will have revenue or profit share agreements in place with Land Stewards, the share of which will range from 0-100% depending on the nature and location of any particular project. However, early projections estimate an average revenue share of between 10-20%

Indirect financing. 

• Land donations – GST is minted and sold, with revenues going through the Treasury financial flow process to fund the growth of GST DAO
• Financial donations – the purpose of financial donations can vary, below are a few examples:
  • Purpose: Unspecified, therefore donations will go through the revenue flow process
  • Purpose: Fund off-chain administrative operations
  • Purpose: Contribute to land protection and/or regeneration
  • Purpose: Purchase additional land
• Tree-planting partnerships – there are significant costs associated with restoring nature, therefore it makes sense to partner with the multiple companies and nonprofits that fund regeneration projects. This benefits both parties involved as it provides a cost-saving for the DAO. In return, the trees planted will be on held land, which in theory assures these partners that their trees will remain planted in perpetuity. 
• Nature protection partnerships – with plenty of organisations already in existence doing amazing work protecting and regenerating our planet, we hope to partner with them to expand their impact, as well as scaling our mission.
• Government or private grants – different jurisdictions provide grants to help save the environment and protect ecosystems. We plan to take full advantage of these grants when and where available.

Forming these partnerships will prove pivotal in financing and guaranteeing the protection and regeneration of nature.

Funding flow

Graph below shows the flow and origin of revenue sources: 

External investment 

Additional external investment opportunities may also be sought by the operational company in the form of both non-dilutive capital and equity investments.