---
type: decision
entity_type: decision_market
name: "MetaDAO: Fund META Market Making"
domain: internet-finance
status: passed
parent_entity: "[[metadao]]"
platform: metadao
proposer: "Kollan House, Arad"
proposal_url: "https://www.metadao.fi/projects/metadao/proposal/8PHuBBwqsL9EzNT1PXSs5ZEnTVDCQ6UcvUC4iCgCMynx"
proposal_date: 2026-01-22
resolution_date: 2026-01-25
category: operations
summary: "META-035 — $1M USDC + 600K newly minted META (~2.8% of supply) for market making. Engage Humidifi, Flowdesk, potentially one more. Covers 12 months. Includes CEX listing fees. 2/3 multisig (Proph3t, Kollan, Jure/Pileks). $14.6K volume, 17 trades."
key_metrics:
  proposal_number: 35
  proposal_account: "8PHuBBwqsL9EzNT1PXSs5ZEnTVDCQ6UcvUC4iCgCMynx"
  autocrat_version: "0.6"
  usdc_budget: "$1,000,000"
  meta_minted: "600,000 META (~2.8% of supply)"
  retainer_cost: "$50,000-$80,000/month"
  volume: "$14,600"
  trades: 17
  pass_price: "$6.03"
  fail_price: "$5.90"
tags: [metadao, market-making, liquidity, cex-listing, passed]
tracked_by: rio
created: 2026-03-24
related:
- "drift-prioritize-listing-meta"
- "{'MetaDAO': 'Omnibus Proposal - Migrate and Update'}"
- "{'MetaDAO': 'Engage in $100,000 OTC Trade with Ben Hawkins? [2]'}"
- "{'MetaDAO': 'Sell up to 2M META at market price or premium?'}"
- "drift-prioritize-listing-meta"
- "MetaDAO: Omnibus Proposal - Migrate and Update"
- "MetaDAO: Engage in $100,000 OTC Trade with Ben Hawkins? [2]"
- "MetaDAO: Sell up to 2M META at market price or premium?"
reweave_edges:
- "drift-prioritize-listing-meta|related|2026-04-18'}"
- "{'MetaDAO': 'Omnibus Proposal - Migrate and Update|related|2026-04-18'}"
- "{'MetaDAO': 'Engage in $100,000 OTC Trade with Ben Hawkins? [2]|related|2026-04-18'}"
- "{'MetaDAO': 'Sell up to 2M META at market price or premium?|related|2026-04-18'}"
- "Drift: Prioritize Listing META?|related|2026-04-19"
- "MetaDAO: Omnibus Proposal - Migrate and Update|related|2026-04-19"
- "MetaDAO: Engage in $100,000 OTC Trade with Ben Hawkins? [2]|related|2026-04-19"
- "MetaDAO: Sell up to 2M META at market price or premium?|related|2026-04-19"
---

# MetaDAO: Fund META Market Making

## Summary & Connections

**META-035 — market making budget.** $1M USDC + 600K newly minted META (~2.8% of supply) for engaging market makers (Humidifi, Flowdesk, +1 TBD). Most META expected as loans (returned after 12 months). Covers retainers ($50-80K/month), USDC loans ($500K), META loans (300K), and CEX listing fees (up to 300K META). KPIs: >95% uptime, ~40% loan utilization depth at ±2%, <0.3% spread. 2/3 multisig: Proph3t, Kollan, Jure (Pileks). $14.6K volume, only 17 trades — the lowest engagement of any MetaDAO proposal.

**Outcome:** Passed (~Jan 2026).

**Connections:**
- 17 trades / $14.6K volume is by far the lowest engagement on any MetaDAO proposal. The market barely traded this. Low engagement on operational proposals validates [[MetaDAOs futarchy implementation shows limited trading volume in uncontested decisions]] — when there's no controversy, the market provides a thin rubber stamp.
- "Liquidity begets liquidity. Deeper books attract more participants" — the same liquidity constraint that motivated the Dutch auction ([[metadao-increase-meta-liquidity-dutch-auction]]) in 2024, now addressed through professional market makers
- "We plan to strategically work with exchanges: we are aware that once you get one T1 exchange, the dominos start to fall more easily" — CEX listing strategy
- "At the end of 12 months, unless contradicted via future proposal, all META would be burned and all USDC would be returned to the treasury" — the loan structure means this is temporary dilution, not permanent

---

## Full Proposal Text

**Type:** Operations Direct Action

**Author(s):** Kollan House, Arad

### Summary

We are requesting $1M and 600,000 newly minted META (~2.8% of supply) to engage market makers for the META token. Most of this is expected to be issued as loans rather than as a direct expense. This would cover at least the next 12 months.

At the end of 12 months, unless contradicted via future proposal, all META would be burned and all USDC would be returned to the treasury.

We plan to engage Humidifi, Flowdesk, and potentially one more market maker for the META/USDC pair.

This supply also allows for CEX listing fees, although we would negotiate those terms aggressively to ensure best utilization. How much is given to each exchange and market maker is at our discretion.

### Background

Liquidity begets liquidity. Deeper books attract more participants, and META requires additional liquidity to allow more participants to trade it. For larger investors, liquidity depth is a mandatory requirement for trading. Thin markets drive up slippage at scale.

Market makers can jumpstart this flywheel and is a key component of listing.

### Specifications

As stated in the overview, we reserve the right to negotiate deals as we see fit. That being said, we expect to pay $50k to $80k a month to retain market makers and give up to $500k in USDC and 300,000 META in loans to market makers. We could see spending up to 300,000 META to get listed on exchanges. KPIs for these market makers at a minimum would include:

- Uptime: >95%
- Depth (±) <=2.00%: ~40% Loan utilization
- Bid/Ask Spread: <0.3%
- Monthly reporting

We plan to stick to the retainer model.

We also plan on strategically working with exchanges: we are aware that once you get one T1 exchange, the dominos start to fall more easily.

The USDC and META tokens will be transferred to a multisig `3fKDKt85rxfwT3A1BHjcxZ27yKb1vYutxoZek7H2rEVE` for the purposes outlined above. It is a 2/3 multisig with the following members:

- Proph3t
- Kollan House
- Jure (Pileks)

---

## Market Data

| Metric | Value |
|--------|-------|
| Volume | $14,600 |
| Trades | 17 |
| Pass Price | $6.03 |
| Fail Price | $5.90 |

## Raw Data

- Proposal account: `8PHuBBwqsL9EzNT1PXSs5ZEnTVDCQ6UcvUC4iCgCMynx`
- Proposal number: META-035 (onchain #1 on new DAO)
- DAO account: `CUPoiqkK4hxyCiJcLC4yE9AtJP1MoV1vFV2vx3jqwWeS`
- Proposer: `tSTp6B6kE9o6ZaTmHm2ZwnJBBtgd3x112tapxFhmBEQ`
- Autocrat version: 0.6

## Relationship to KB
- [[metadao]] — parent entity, liquidity infrastructure
- [[MetaDAOs futarchy implementation shows limited trading volume in uncontested decisions]] — 17 trades is the empirical extreme
- [[metadao-increase-meta-liquidity-dutch-auction]] — earlier liquidity solution (manual Dutch auction vs professional market makers)
- [[futarchy adoption faces friction from token price psychology proposal complexity and liquidity requirements]] — market making addresses the liquidity friction