---
# System prepended metadata

title: Hydra Research
tags: [Hydra]

---

# Hydra Research

###### tags: `Hydra`

## Resources

- [One Pager](https://docs.google.com/document/d/1Q4-AYID72i909ErSWV39q8GzUKl51Mkx2kPWhCZ3d04/)
- [Hydra DAO](https://hackmd.io/ybVzU2JuS2akWHYVj9hCKg?view)
- [Thing3 DAO](https://hackmd.io/ybVzU2JuS2akWHYVj9hCKg?view)
- [Project: Hydra](https://hackmd.io/4kAKzLBJQMGX11aaIYxDZQ?view)

## Benefits

- Get a Baal audit covered
- Make progress on alpha front-end
- Build cool tools that can be used by other investment DAOs
- Improve docs on component library and SDK

## Concerns

- Complicated project
- Short timeline
- We are already all extremely busy
- High interest/Low bandwidth

## Hydra Sync (5/12/22)

- Potentially refine this and propose to RaidGuild as a project
    - Build Raid Party to push the work forward
- Follow up with Peter to check in to gauge priority level
- Initially wanted to launch in July, so we'd need to move quickly on this

### Audit Notes and Next Steps

- Possibilities but are booking up quickly
- PR from Bill with his changes to the branch
- Scribble annotation in progress

### Scope Notes

- Potential to leverage our SDK and component library
- Do we want to work on this as part of the MC ecosystem?
- While contracts are in the audit range we could start thinking about a UI
    - Look at the current DAOhaus UI and strip it down and bring in v3 features
    - See what elements we could integrate from v3
- What is necessary in a UI to support the functionality? What would need to be added?
- On the fundraising side we have the Y33ter, so may not need additional customization

###  Share Distrubtion Levels

- Y33ter that takes % off the top for the public fund that's not rage quittable
- Capital Contributions (69%):
    - Does this come in through the y33ter?
    - Goes in to the people contributing
- Contribute capital (USDC) for $100 per share
- Set up a mechanic where a Minion holds **31% of shares**:
    - (20%) DAO would control the Coordinape issuance (20%)
    - (8%) Thing3: Potentially stream the 8% vesting over 5 years to individuals
    - Everything except for the *Capital contributions* (USDC)
    - Streamable shares from a Minion (wrap in a super token and stream to people with v3)
    - Need to be careful, could also have a Open Zeppelin vesting contract for each member over 5 years
    - (2%) Ops could handle this
    - (1%) -- Performance bonus based on investment portfolio?

#### Thing3 Harvester

- Harvest liquid tokens from portfolio DAOs and distribute to the members
- Other vesting contracts exist -- could be vesting Shaman but doesn't need to be, could be whatever vesting contract they want
- Vesting *starts immediately* with folks receiving *vested shares*

### Defferred Rage Quit

- **Investment Period** is the 2 year period
- Fundraising interface similar to the y33ter where funds go into a safe that's not connected to shares
- Shaman:
    - Minted shares to people based on contributions, but the *funds* went to a separate treasury owned by Baal
    - Shares need to be non-transferrable
    - Also *shares* go to this Gnosis Safe or can be owned by the Shaman (ones issued via Coordinape Epochs)
    - Every quarter, Shaman could edit the share values directly (if it has access to the raw balances so it would circumvent the transfer function)

### Steps

- 1) Custom Y33ter that has a green list
    - Every 1 share that is minted by this, 69% goes to person who did the y33ting and 31% is held in this Shaman (or similar Shaman)
    - Doesn't need to be a Baal Y33ter -- raising funds that can then be transferred
    - There is no Rage Quit since the intent seems to be more of a fixed period investment
    - Want to enable RQ later (after 2 year initial period)
- Launch Baal Y33ter once raise is done and distribute shares at that point
- Ideal for DAOhaus to have in Baal from the start (mutually beneficial narrative)
- Aggregate all signatures and submit all transactions at end of voting period (batch vote by signature) and get reimbursed
- Raise on Mainnet, but functionality on Gnosis Chain?
    - May need assets on Mainnet for flexibility, but could do assets on Mainnet and Baal on Gnosis Chain
    - End of 2 year period could bridge all ERC20 tokens or use cross-chain minion to call summon factory to summon new Baal with Summoners equal to shareholders (attach to the same safe and then let everyone RQ)
    - Cross-chain transaction to diserpse the funds
- Should it be RQable the whole time? 
- Do they token not be transferrable forever? Make transferrable at some point in the future?
- Management of funds on side chain or Mainnet?

### Fundraiser Contract

Write custom shaman contract based on Yeeter

#### Whitelist Feature

Add feature to Yeeter contracts allowing projects to create list of wallet addresses that are verified to participate in fundraising campaign.

#### Fundraising Mechanisms

- Mints shares at ratio of 1 share per 100 USDC
- 69% of minted shares are immediately available in [Main Treasury](https://hackmd.io/ybVzU2JuS2akWHYVj9hCKg?both#Vaults) (ragequittable at 31% dilution)
- 31% become loot shares in [Gnosis Safe](https://hackmd.io/ybVzU2JuS2akWHYVj9hCKg?both#Vaults)

### User Interface

Inspired by Yeeter configured for the investment flow.

- What needs to be stripped?
- What needs to be added?

@samkuhlmann#3559 has v2 interface on v3 contracts proof-of-concept

DAOhaus Design is currently working on updated proposal views for v3

- Fundraising process flows
- Proposals for Sending Funds
    - To funding recipients
    - For operational expenses

#### Joiner Agreement

Fundraising process flows should include sign-off on Hydra Joiner Agreement

## Questions

### For Team

- Will the Raise Shaman contract use/complement or replace [`YeetSummoner`](https://hackmd.io/@Dekan/BkDs9xSZ5#2-Summon-Yeeter-Shaman-with-YeetSummoner-Contract) and/or [`DaoSafeMinionSummoner`](https://hackmd.io/@Dekan/BkDs9xSZ5#3-Setup-DAO-with-DaoSafeMinionSummoner-Contract)?
- How do we handle loot shares in a Gnosis Safe minion? Or...is this the shaman?
- Is there any benefit to building a Coordinape Boost?
- Can we handle The Book of Rituals ratification with the Poster Boost?
- What does the service DAO set-up look like?
- How does DAO controlled Coordinape issuance work?
- How does the connection with DAOs they invest in work?
- Do we need to create a splits contract that sends harvested tokens?
- How does the harvest of liquid tokens from portfolio DAOs work?
- How should this be broken up into phases?

### For pet3r

- How will we get copy for site and documentation?
- How long is the period of fundraising?
- Would it be ok if the fundraiser is on Mainnet then bridged to Gnosis Chain?
- What do we want to call the Gnosis Safe minion?
- Will Hydra be interacting with other smart contracts (E.g. swapping tokens or providing liquidity)?
- Hydra DAO is member managed (no LPs). Does it allow investment from existing DAOs?

## Team

### Solidity Engineer

- Baal and Yeeter experience

**@dekanbro#7256, @izkp#1401, @dan13ram#7722**

### Web3 Front-end Engineer

 - Ability to integrate with customized Moloch/Baal contracts that are very specific
    - Able to support complex UX flows with as minimal frontend design as possible (clean UX and app UI that "hides" complex functionality by making it seamless)

**@dan13ram#7722, @nitegeist#0110**

### Visual Designer

- With experience in user experience and user interface.
   
**@Chiali#5736**

### Technical Product/Project Manager

- Able to understand the technical requirements, specs, and overall architectural vision for Hydra
- Setup processes to support design and development via Kanban or other workflows
- Ensure that the product vision is met by the implementation
- Handle coordination and communication with the Hydra stakeholders

### Technical Writer

- Familiar with Baal and able to document the specifics about the following in the *Book of Rituals*:
    - How Hydra works from a technical perspective (with as much detail as we'd need)
    - Hydra shares structure
    - Hydra Governance

## Tasks

### ToDo

- [ ] Get answers to questions from pet3rpan
- [ ] Draft proposal for RaidGuild
- [ ] Schedule follow-up meeting with team next week to fill in the blanks on proposal

### Done

- [x] Create `👥-hydra` channel on DAOhaus server
- [x] Share notes from meeting
- [x] Follow-up with old audit companies
- [x] Reach out to new audit companies
- [x] Review the [One Pager](https://docs.google.com/document/d/1Q4-AYID72i909ErSWV39q8GzUKl51Mkx2kPWhCZ3d04/edit)
- [x] Brainstorm asynchronously by adding [Ideas](https://hackmd.io/ybVzU2JuS2akWHYVj9hCKg#Ideas)
- [x] Follow-up meeting to discuss ideas and formulate a plan