Context & Previous Budget Approval
In TFIP-23, the DAO approved an operational budget for Q2 2025, building upon the lean yet ambitious direction initially established in TFIP-19. These earlier proposals were designed to recalibrate TrueFi’s operational cost structure, bring more core functions in-house, reduce reliance on third-party vendors, and ensure DAO-wide transparency, legal alignment, and financial compliance.
Since implementing these frameworks, the TrueFi core contributors have continued to optimize resource usage while advancing major strategic objectives. This includes completing successful transitions of responsibilities such as IT infrastructure management, making headway in legal restructuring, and establishing a more data-driven governance cadence across departments.
Spending through Q2 2025 has remained within the bounds outlined in TFIP-23. Finalized figures for June 2025 will be published on the TrueFi DAO Report - Q2 2025.
This Q3-Q4 budget proposal is intended to continue fueling the DAO’s long-term vision: efficient and compliant operations, best-in-class DeFi products, and an engaged, value-aligned community. It integrates clear KPIs per workstream, a practice strongly requested by community members, to enhance understanding of department-specific activities.
Current Status & Budget Performance
At the beginning of Q2 2025, the DAO held a reserve of 55,502 USDT and 3,870,319 TRU, both remaining from TFIP-19. Under TFIP-23, the DAO approved a new operational budget of $497,000 in 17,138,200 TRU. As part of our treasury management decision, we only converted 9,926,875 TRU into USDT (approximately 368,067 USDT) to cover current operational expenses through Q2, awaiting more favorable market conditions to convert the remainder.
By the end of May 2025, actual spending from TFIP-23 funds amounted to 213,000 USDT out of $497,000 budgeted. As of the date of this report, 210,269 USDT and 11,081,644 TRU remain in the new treasury wallet. We forecast June expenditures of 137,938 USDT and plan to restore the operational reserve by converting an additional 128,933 USDT from ~3,348,909 TRU* at $0.0385/TRU*.
The Q2 2025 expenditures covered all ongoing operational needs outlined in TFIP-23, as well as several unbudgeted but essential backpayments—most notably related to IT infrastructure previously managed externally. Despite these additional obligations, total spending remains below the approved budget. This outcome reflects our continued commitment to lean financial management, which we intend to maintain going forward as we shift our focus toward the next key objective: increasing TrueFi’s TVL, spinning off Elara Finance, and generating sustainable protocol revenue.
Taking all of the above into account, we expect the treasury status at the end of Q2 to be:
- USDT Reserve: 201,264 USDT
- Unspent TRU Tokens: 7,732,734 TRU
*Subject of change based on the TRU price
Budget Request for Q3 and Q4 2025
Total requested budget: $953,000
- This proposal requests six months of operating expenses to support core functions such as governance, operational costs, and community initiatives. The budget accounts for the necessary funding to maintain operational stability and strategic development, with an estimated total of $953,000 for the upcoming 6 months.
- The proposed budget will take a ~30% earmark in TRU’s token price at the execution of the proposal before being swapped into stablecoins. This is to account for price fluctuations before the TRU-to-USDC/USDT conversion.
- Any excess funds will be reported to the DAO at the end of the three months.
This figure includes ongoing operational costs as well as necessary back payments and strategic hires as detailed below. The budget structure remains consistent with previous frameworks to preserve clarity and predictability.
1. Legal
Budget: $100,000
Objectives:
- Implement necessary legal modifications to TrueFi Foundation Ltd, including board member transitions and corporate governance updates in line with new BVI regulations.
- Finalize the Master Services Agreement (MSA) with Elara to formalize terms of engagement.
- Review and adapt internal documentation and obligations to align with evolving jurisdictional requirements in the BVI.
- Finalize the incorporation of Elara’s SPVs
KPIs:
- Amendments filed and confirmed by Q4 2025.
- Signed Elara MSA delivered and made available for DAO transparency.
- Delivery of a legal memo summarizing material regulatory shifts in BVI and their implications for DAO operations.
2. Finance & Treasury
Budget: $82,000
Includes:
- CFO’s (x2): $75,000
- Software subscriptions: $7,000
Objectives:
- Maintain core finance operations, including DAO-level bookkeeping, centralized payments, and monthly cost control reviews.
- Coordinate with legal team to assess how regulatory changes could impact fiscal procedures.
- Prepare and file the BVI Annual Financial Report during Q3 2025.
- Support the rollout of an enhanced treasury strategy that includes stablecoin reserve design, RWA integration, and DeFi yield instruments.
KPIs:
- Zero late payments; Quarterly reporting published via DAO Report
- Q3 financial report and annual submission in BVI completed.
- Treasury diversification plan (incl. ~11M TRU minted via TFIP-23).
- Internal DAO guide created for future treasury strategy iterations.
3. Strategy & Operations
Budget: $172,500
Includes:
- Board Members (x5): $60,000
- Head of Operations (x1): $75,000
- Head of Strategy (x1): $37,500
Objectives:
- Recruit and onboard a Head of Strategy to oversee long-term roadmap planning, cross-stream coordination, and DAO-wide alignment.
- Sustain day-to-day operations management and enhance governance and contributor coordination.
- Provide governance oversight, strategic planning, and operational coordination.
- Execute strategic roadmap, aligning product, legal, and finance streams.
- Manage day-to-day operational continuity and reporting cadence.
KPIs:
- Governance cadence maintained (forum, Snapshot, Tally).
- Strategic input documented for each major initiative (legal, dev, finance).
4. Research & Analysis
Budget: $93,000
Includes:
- Head of Research (x1): $75,000
- Research Analyst (x1): $18,000
Objectives:
- Provide foundational market and competitive research.
- Support financial and treasury strategy with analysis and benchmarks.
KPIs:
We want to increase long form content, quantify growth metrics, improve Dune dashboards, and continue to grow our digital footprint. While most of the work done in Q2 was social media short form and speaking engagements we now want to transition to more fequent coverage of relevant RWA/DeFi protocols
5. Product & Development
Budget: $404,000
Includes:
- Head of Product (x1): $75,000
- Full-Stack Engineers (x2): $200,000
- UX/UI Designers ( 1 Team ): $54,000
- New Developers (x2): $75,000. Transition starting June 2025
- Developer 1: full-stack focused on backend, smart contracts, chain integration
- Developer 2: frontend-focused, responsible for UI/UX reskin delivery
Objectives:
- Manage hand-off from Akemona, whose contract ended June 1, 2025, including support during the offboarding phase.
- Onboard two new developers with different focus areas: backend/smart contracts (started June 2) and frontend/UI improvements.
- Deliver and polish the new UI/UX reskin for TrueFi.
- Support marketing and product with consistent design assets.
KPIs:
- Developer 1 contributing to tech debt backlog within one month of start.
- Developer 2 operational by end of Q3, focused on delivering full UI/UX reskin.
- UI/UX reskin publicly launched before Q4 close.
- Full design support for reskin launch (Q4).
- Monthly design asset delivery for content and product.
6. IT Infrastructure
Budget: $30,000
Objectives:
- Fully internalize IT infrastructure, transitioning services previously managed via Archblock (e.g., GitHub, Gitbook, Cloudflare, INFURA, Heroku).
- Pay down infra costs covering Q3 and Q4 2025 (~$20,000)
- Create a budget for IT Equipment procurement (~$10,000)
KPIs:
- All infrastructure access and billing under DAO control by the start of Q3.
7. Marketing & Community
Budget: $61,500
Includes:
- Marketer (x1): $50,000
- Community Moderator (x1): $1,500
- Other marketing costs: $10,000
Objectives:
- Amplify TrueFi and Elara’s presence in web3 media, through long-form content, podcast appearances, and ecosystem collaborations.
- Drive forward community-led initiatives that increase ecosystem stickiness and TRU retention.
- Optimize budget allocation for industry events, targeting ROI-positive opportunities only.
KPIs:
- One thought leadership piece published each month.
- Two high-quality speaking engagements secured by year-end.
- Quarterly DAO report Town hall call
8. Team Travel for Regional Representation
Budget: $10,000
Includes:
- Team Travel: $10,000
Objectives:
- Maintain a minimal conference presence aligning with GTM launch of Elara finance
Summary Budget Table
| Cost Center | Q3 2025 | Q4 2025 | Total |
|---|---|---|---|
| Legal | $50,000 | $50,000 | $100,000 |
| Finance & Treasury | $37,500 | $44,500 | $82,000 |
| Strategy & Operations | $86,250 | $86,250 | $172,500 |
| Research & Analysis | $46,500 | $46,500 | $93,000 |
| Product & Development | $202,000 | $202,000 | $404,000 |
| IT Infrastructure | $15,000 | $15,000 | $30,000 |
| Marketing & Community | $30,750 | $30,750 | $61,500 |
| Team Travel | $5,000 | $5,000 | $10,000 |
| Total | $473,000 | $480,000 | $953,000 |
Estimated Budget in USD:
| Position/Item | Annual | Q3+Q4 2025 | TrueFi | Elara* |
|---|---|---|---|---|
| Head of Operations (x1) | $150,000 | $75,000 | $0 | $75,000 |
| Head of Product (x1) | $150,000 | $75,000 | $0 | $75,000 |
| Head of Research (x1) | $150,000 | $75,000 | $0 | $75,000 |
| Head of Strategy (x1) | $75,000 | $37,500 | $37,500 | $0 |
| Full Stack Engineers (x2) | $400,000 | $200,000 | $0 | $200,000 |
| Developers (x2) | $150,000 | $75,000 | $75,000 | $0 |
| IT Infrastructure | $45,000 | $30,000 | $30,000 | $0 |
| Marketer (x1) | $100,000 | $50,000 | $50,000 | $0 |
| Directors Fees (x5) | $120,000 | $60,000 | $60,000 | $0 |
| Research Analyst (x1) | $36,000 | $18,000 | $18,000 | $0 |
| Community Moderator (x1) | $3,000 | $1,500 | $1,500 | $0 |
| Designer (UI/UX) | $108,000 | $54,000 | $54,000 | $0 |
| Team Travel | $20,000 | $10,000 | $0 | $10,000 |
| Marketing/PR | $20,000 | $10,000 | $10,000 | $0 |
| Legal and Compliance | $200,000 | $100,000 | $25,000 | $75,000 |
| Financial Admin and Audit | $157,000 | $82,000 | $82,000 | $0 |
| Total Expenses | $953,000 | $443,000 | $510,000 |
*Note on Elara Costs
There would be a loan structure where TrueFi recoups the full development cost of Elara, as well as 10% of token supply on top of this. We feel this is in line with the risk being taken by the DAO and should not only provide liquid capital in terms of loan repayment to TrueFi but also generate significant upside for token holders and the DAO.
| Projected Operational Cost | $953,000 |
|---|---|
| Reallocation from the TFIP-23 | -$297,000 |
| Budget Funding request | $656,000 |
| ~30% earmark | $196,800 |
| Total Funding request | $852,800 |
| TRU price | $0,03761 |
| TRU minting request | ~22,674,820 TRU |
Goals Enabled by TFIP-28
This proposal supports a strategically lean yet high-impact roadmap for Q3 and Q4 2025. If approved, the budget will enable the following critical goals:
-
Ensure Legal & Operational Continuity
Execute legal restructuring of the TrueFi Foundation in BVI, renew board mandates, finalize Elara’s MSA, and maintain full compliance with updated jurisdictional requirements.
-
Deliver Product Advancements
Finalize the UI/UX reskin and continue backend/smart contract integrations with two newly onboarded developers. This includes a full transition from Akemona to in-house technical teams.
-
Strengthen Strategic Oversight & Governance
Introduce the Head of Strategy role to align product, legal, and financial streams under a unified vision while maintaining DAO-wide operational cadence and transparency.
-
Build a Sustainable Financial Framework
Continue financial operations and reporting, execute treasury diversification strategies, and submit required BVI filings, ensuring resilient and responsible capital stewardship.
-
Accelerate Research & Community Engagement
Scale research output toward long-form RWA/DeFi content and dashboards while maintaining strong forum moderation, community responsiveness, and external thought leadership.
-
Internalize Key Infrastructure & Reduce External Dependencies
Complete ownership transfer of all core IT infrastructure (hosting, tooling, documentation) from Archblock to TrueFi, while planning lean internal spending and offboarding legacy vendors.
Next Governance Steps
As the proposals does not fall under the simplified governance exemptions, the proposal will require the following steps:
1. Forum Posting: A 72-hour posting period on the forum to allow the community to provide feedback.
2. Snapshot Vote: A 48-hour Snapshot vote will be conducted with the options: “OK to vote on Tally,” “Not OK to vote on Tally,” and “Abstain.” At least 5% of staked TRU must participate in this Snapshot vote to meet the quorum.
3. Amendment Period: If the 5% quorum is met, with a majority negative vote, a 72-hour period will follow to allow for any amendments or discussions before the proposal is posted to Tally.
4. Tally Vote: Otherwise, the proposal will be posted to Tally for the final vote.