---
type: entity
entity_type: decision_market
name: "Dean's List: Enhancing The Dean's List DAO Economic Model"
domain: internet-finance
status: passed
parent_entity: "[[deans-list]]"
platform: "futardio"
proposer: "8Cwx4yR2sFAC5Pdx2NgGHxCk1gJrtSTxJoyqVonqndhq"
proposal_url: "https://www.futard.io/proposal/5c2XSWQ9rVPge2Umoz1yenZcAwRaQS5bC4i4w87B1WUp"
proposal_date: 2024-07-18
resolution_date: 2024-07-22
category: "treasury"
summary: "Restructure payment flows to convert client USDC revenue into $DEAN token purchases for citizen compensation while maintaining USDC treasury tax"
tracked_by: rio
created: 2026-03-11
---

# Dean's List: Enhancing The Dean's List DAO Economic Model

## Summary
The proposal restructures The Dean's List DAO's economic model to create sustained buy pressure on the $DEAN token by converting all client revenue (charged in USDC) into $DEAN purchases for distribution to DAO citizens as payment, while maintaining a 20% USDC treasury tax as a hedge against token price volatility. The model projects 5.33% FDV increase from 6 dApp reviews per month at 2500 USDC each.

## Market Data
- **Outcome:** Passed
- **Proposer:** 8Cwx4yR2sFAC5Pdx2NgGHxCk1gJrtSTxJoyqVonqndhq
- **Resolution:** 2024-07-22
- **Proposal Account:** 5c2XSWQ9rVPge2Umoz1yenZcAwRaQS5bC4i4w87B1WUp

## Mechanism Design
The proposal implements a three-step revenue flow:
1. Client pays 2500 USDC for dApp review
2. DAO takes 20% (500 USDC) to treasury as stablecoin hedge
3. Remaining 80% (2000 USDC) used to market-buy $DEAN tokens
4. Purchased $DEAN distributed to DAO citizens as payment
5. Citizens sell ~80% of received $DEAN for living expenses

The model projects net positive price action because buy pressure (100% of payment budget) exceeds sell pressure (80% of distributed tokens), creating "higher lows on each cycle."

## Financial Modeling
**Baseline metrics (pre-proposal):**
- FDV: $337,074
- Daily volume: $500
- Circulating supply: 100M $DEAN
- Price: $0.00337

**Projected impact (6 reviews/month):**
- Monthly revenue: 15,000 USDC
- Daily buy pressure: 400 USDC (80% increase vs. baseline volume)
- Estimated price increase: 24% from buy pressure
- Estimated sell pressure: 15% from citizen liquidations
- Net price impact: $0.00337 → $0.00355028 (+5.33%)
- New FDV: $355,028

**TWAP requirement:** 3% FDV increase over 3-day window
**Achieved:** 5.33% (exceeded threshold)

## Significance
This proposal demonstrates futarchy pricing a concrete treasury management strategy with measurable cash flows and token velocity assumptions. Unlike abstract governance decisions, the market evaluated a detailed financial model with specific revenue projections, buy/sell pressure estimates, and FDV impact calculations. The passage indicates market confidence in the sustainable buy pressure thesis despite 80% citizen sell-through.

The 20% USDC treasury tax represents a hedge mechanism within futarchy governance—the DAO maintains stablecoin reserves as insurance against $DEAN volatility while using the majority of revenue for token buybacks. This creates a balanced approach between token price support and treasury stability.

## Relationship to KB
- [[deans-list]] — parent entity, treasury governance decision
- MetaDAOs-Autocrat-program-implements-futarchy-through-conditional-token-markets-where-proposals-create-parallel-pass-and-fail-universes-settled-by-time-weighted-average-price-over-a-three-day-window — TWAP settlement mechanism used
- [[futarchy-markets-can-price-cultural-spending-proposals-by-treating-community-cohesion-and-brand-equity-as-token-price-inputs]] — extends to operational revenue flows
- token-economics-replacing-management-fees-and-carried-interest-creates-natural-meritocracy-in-investment-governance — payment structure alignment