Mandate The Sector Budget will be utilized for expanding the protocol’s functionality, maintaining and operating existing smart contracts, and ensuring the safety and correctness of protocol design and implementation. In addition, the budget will be allocated toward marketing, business development, and fostering strategic partnerships to enhance growth and adoption.
The team’s mission is to provide the necessary infrastructure to sustainably scale the ecosystem and onboard the next generation of DeFi users.
2Q24 Review
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We ended the quarter in a $56k surplus compared to our forecast driven primarily by lower engineering costs. We anticipate this going higher in the following quarters as we transition from Robo Labs into a more FT Sector Core team member.
DAO & Treasury
The DAO treasury benefited from the increase in ETH and overall crypto markets over the last few months.
At 2Q24 end, our treasury operations fund is as such.
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Scout - Our Intents Aggregator Infrastructure Development: Significant progress has been made in setting up the backend infrastructure necessary for our market making (MM) capabilities. The development focus continues to be on enhancing our infrastructure, leveraging Rust and Docker virtual machines for deployment. Integrations and Testing: Exchange integrations are progressing well. We aim to complete initial integrations and begin testing within this quarter. Successful test and shadow solver auctions on CowSwap have been conducted, indicating promising results for our MM strategies. Team Focus: The team’s primary focus remains on market making, with continuous advancements in necessary integrations and infrastructure. Live tests are scheduled for the upcoming months, aiming to scale up our capabilities and refine our strategies. Outlook: We anticipate initiating strategy tests in the upcoming weeks, moving towards full deployment and scaling of our MM operations.
Scout - Our Intents Aggregator We’re excited to have released our Intents Aggregator, Scout!
Scout provides quotes from various intents swap protocols to ensure the best prices and transaction transparency. We’re releasing it as a public good with no fees on usage or swaps to improve the DeFi user experience.
scout.sector.finance
As new models emerge to swap digital assets and new protocols arise, one challenge is effectively comparing rates across diverse intent-based protocols and traditional automated market makers. Intents-based swap-centric protocols are often harder to compare given their unique and varying mechanisms for filling orders, off-chain APIs and quoting systems.
Scout aims to streamline this process, standardizing and aggregating information about fees, rates, and token values across each protocol and ensuring the most optimal trades for the user. Network costs, whether paid by users or Fillers, are displayed in the UI and included in the final “Rate”. This breakdown increases transparency and allows users to accurately compare net costs across quotes. Quotes are sorted and compared by their final “Rate” — a sum of all token value received minus network costs and fees.
3Q24 Budget Breakdown
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3Q24 Objectives The following are the high level goals we have for the quarter segmented by what we want to accomplish on the product and business front. The team will continue with our updates where we share our goals and progress.
Internal testing of strategies utilizing Sector liquidity and capital Leverage expertise and development in Scout into new market making opportunities Build own market making capabilities utilizing intents and Scout Add additional features to Scout like swaps and additional integrations Maintain and build upon existing Phase 1 Vaults and Delta Neutral strategies and Concentrated Liquidity strategies by canvassing current DeFi market and adding new strategies and integrations Continue researching changes and opportunities in DeFi around intents and swaps
