6.3. DAO Investment Fund

DAO net-profit is distributed as dividends in GST for holders of GSS, with the remaining surplus forming the DAO Investment Fund. The distribution between these two pools is reiterated below: 

  • GSS Pool: 50% of net-profit, capped at 10% of DAO Revenue and issued in GST 
  • DAO Investment Fund: 50% of net-profit and uncapped

Example with 10% net-profit margin: 

DAO Revenue Net-Profit (10%)  Pool Profit Distribution 
$200m  $20m  Dividend Pool $10m (50%) 
DAO Investment Fund $10m (50%) 

Example with 25% net-profit margin: 

DAO Revenue Net-Profit (25%)  Pool Distribution 
$200m  $50m  Dividend Pool $20m (40%) 
DAO Investment Fund $30m (60%) 

Members can then decide how these funds should be used providing that usage and allotment of funds is in alignment with the special purpose of this DAO.

In the instance where the allocation of funds results in ownership rights being acquired, these will be held exclusively by the GST DAO foundation Treasury. 

A simplified view of how members will decide which projects to back:

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